Mortgage lender Kondaur Capital Corp. will soon set up shop in a new location in Orange.
The privately held company, which started operations about six years ago, recently inked a lease for 28,995 square feet of space at the TriCentre office building, a 10-story office near the intersection of the Santa Ana (5) and Orange (57) freeways.
The lease with landlord TA Associates Realty runs for five years and is valued at about $3 million.
Kondaur is expected to make the move in June, according to brokers with the Irvine office of tenant representation firm Studley Inc., which worked on the deal.
The new location is less than a mile away from Kondaur’s current offices in the City Plaza building, one of the larger office towers in Central Orange County.
The company leased about 120,000 square feet at City Plaza when it first moved to the building in 2009 and had its name atop the 19-story building at one point.
A downsizing of operations began a couple of years into the lease, as Kondaur’s initial foray into buying “scratch and dent” mortgages—distressed and nonconforming loans that banks wanted to get off their books—was less successful than initially expected.
The downsizing included Kondaur co-founder Jon Daurio, who now is said to be starting another loan-related company in the area that’s expected to be called Nikkeal Capital Corp.
Anaheim-based lender CashCall Inc. ended up taking over Kondaur’s excess space as it cut back at City Plaza, which is owned by Los Angeles-based Hudson Pacific Properties Inc. but expected to trade hands soon.
Fast-growing CashCall inked about 145,000 square feet of space in City Plaza last year and is said to be looking to expand at the building.
Kondaur’s new space at TriCentre minimizes “any geographical disruption for its employees while addressing the company’s core business needs,” said Michael Props, a broker with Studley who worked on the lease with colleagues Royce Sharf and Brad Schmitt.
Greg Brown and David Dowd with Cushman & Wakefield Inc. represented TA Associates.
“This transaction provides an opportunity for Kondaur to achieve significant savings and efficiencies,” said officials with Studley, whose Irvine office said it has been involved in $14 million worth of larger lease transactions of late, including a pair of deals on behalf of Prudential at Park Place and the Jamboree Center office complex, both in Irvine.
Santa Ana Buy
Bertram Partners Inc., an Irvine-based owner and manager of apartments, has bought a sizable complex in Santa Ana.
The company, which counts a portfolio of more than 2,000 apartments in Southern California and Arizona, recently closed on the purchase of Las Fuentes, a 188-unit complex at 727 S. Lyon St.
The property, which totals about 154,000 square feet and was built in 1971, is a few blocks from McFadden Avenue and the Las Palmas Business Park.
Bertram Partners paid a reported $29.5 million, or about $157,000 per unit, for the complex. Seattle-based Security Properties Inc. was the seller.
It’s the second notable area sale by Security Properties in recent months; late last year, it sold the Waterton complex in Fullerton for $23.3 million.
A cap rate of 5.3% was reported at the time of the Las Fuentes sale, according to CoStar Group Inc. records.
Bertram Partners also owns the Rose Garden Apartments, a 239-unit complex in Garden Grove, and Palm Gardens Apartments, a 224-unit complex in Fullerton.
Broker Changes
The Costa Mesa office of brokerage DTZ, a UGL Company, has seen a few changes in personnel in the past few weeks.
The company, which ranked as Orange County’s 20th largest brokerage last year, announced late last month it had appointed Christopher Sausser as a senior vice president for its brokerage operations.
Sausser last served as senior vice president and director of corporate services for the Newport Beach office of CLW Real Estate Services Group.
Another brokerage, Newmark Grubb Knight Frank, said earlier this month that it hired Justin Hodgdon and Drew Netherton as senior managing directors to focus on tenant advisory services.
The two came from DTZ, where they served as managing directors and cofounders of the firm’s Orange County office.
DTZ counted 14 brokers as of last month, according to Business Journal data.
