Mission Viejo’s Kaleidoscope Retail Center, which went into foreclosure earlier this year, has been sold to an East Coast-based investment management company.
Westport Capital Partners LLC, a Connecticut-based company known for investing in distressed real estate, paid $22 million for the distinctive 220,000-square-foot mall, which is at the intersection of the San Diego (I-5) Freeway and Crown Valley Parkway.
The building was sold by C-III Asset Management LLC, the special servicer of the property. The mall was put up for sale earlier this year after the prior owners defaulted on their mortgage, said to be in excess of $30 million.
The mall is the largest distressed retail property in Orange County to trade hands this year.
The mall is about 62% full. It was built in 1998 for a reported $60 million.
The local offices of Santa Ana-based Grubb & Ellis Co. brokered the cash sale, and will be handling leasing of the mall for Westport, which has an office in El Segundo.