Layton-Belling & Associates, Newport Beach, partnered with Boston pension-fund advisor AEW Capital Management to pay around $160 million for more than 1 million square feet of office space, including the Taco Bell headquarters building in Irvine.
The seller, a unit of Japan’s giant Shuwa Corp., wanted to take advantage of rising rents and property values in Orange County after assembling the portfolio in the 1980s and then watching market conditions plummet in the early 1990s.
Some of the larger buildings in the deal were The Taco Bell tower at 17901 Von Karman Ave. in Irvine and the Downey Savings building at 3200 Bristol St. in Costa Mesa.
Another big part of the deal was the 150,000-square-foot MacArthur Plaza at 19000 MacArthur Blvd. in Newport Beach, which is undergoing a $5 million renovation.
Los Angeles-based Shuwa Investments originally wanted to sell its entire California portfolio as one 8.5 million-square-foot package. But it decided to sell its properties in parcels last year. Besides the local properties, Shuwa sold a pair of Los Angeles towers and buildings in Chicago and Boston for around $560 million to New York-based Westbrook Partners.
LBA and AEW have been working together on other deals, including acquisition of the Anaheim Corporate Plaza.
LARGEST OFFICE SALES
SHUWA PORTFOLIO
Nine office and industrial buildings, plus 8.65 acres of land
Cypress, Irvine, Newport Beach, Costa Mesa
1.4 million sq. ft.
Buyer: AEW/LBA
Buyer Agent: Grubb & Ellis
Seller: Shuwa Investment Corp.
Seller Agent: Grubb & Ellis
Deal Terms: $160 million, all-cash sale
TWO TOWN CENTER
3233 Park Center Drive
Costa Mesa
745,000 sq. ft.
Buyer: Fifth Street Properties
Buyer Agent: Eastdil Realty
Seller: Two Town Center Association
Seller Agent: Eastdil Realty
Deal Terms: $145 million; all-cash sale
XEROX CENTRE I
1851 E. First St.
Santa Ana
305,155 sq. ft.
Buyer: DRA Realty Advisors
Buyer Agent: CB Richard Ellis
Seller:v Xerox Realty
Seller Agent: CB Richard Ellis
Deal Terms: $57 million; all-cash sale
IRVINE OAKS EXECUTIVE PARK
Laguna Canyon Road at Alton Parkway
Irvine
321,090 sq. ft.
Buyer: Sares-Regis
Seller: Magellan
Deal Terms: $52.6 million; all-cash sale
REDSTONE PLAZA
1300 Dove St.
Newport Beach
168,935 sq. ft.
Buyer: RREEF America REIT II
Buyer Agent: Legacy Partners
Seller: Redstone Plaza Associates
Seller Agent: Legacy Partners
Deal Terms: $32,650,000; all-cash sale
SUMMIT OFFICE CAMPUS
95 & 101 Enterprise
Aliso Viejo
169,352 sq. ft.
Buyer: OhioSTRS
Buyer Agent: None
Seller: Parker Properties/AEW Capital Management
Seller Agent: None
Deal Terms: $31 million; all-cash sale
CYPRESS POINT
5606-5856 Corporate Ave.
Cypress
266,323 sq. ft.
Buyer: IRP Muller Associates
Buyer Agent: Cushman & Wakefield
Seller: OMA Cypress Properties
Seller Agent: Cushman & Wakefield
Deal Terms: $24,375,000; all-cash sale
WESTERN FINANCIAL SAVINGS BANK 23 Pasteur
119,000 sq. ft.
Buyer: Haskell & White CPA
Buyer Agent: CB Richard Ellis
Seller: Western Financial Savings Bank
Seller Agent: CB Richard Ellis
Deal Terms: $21,420,000; all-cash sale
PACIFICARE BUILDING
23046 Avenida de la Carlota
Laguna Hills
111,805 sq. ft.
Buyer: Lend Lease
Seller: Sumitomo Bank
Deal Terms: $20.3 million; all-cash sale
PAYCHEX BUILDING
200 Sandpointe Ave.
148,694 sq. ft.
Buyer: VEF III, LLC
Seller: John Hancock Mutual Life Insurance Co.
Deal Terms: $20,150,000; all-cash sale
BERGEN BRUNSWIG BUILDING
4000 Metropolitan Drive
Orange
175,000 sq. ft.
Buyer: Bergen Brunswig Corp.
Buyer Agent: The Spiezia Corp.
Seller: Burnham Pacific Properties
Deal Terms: $20 million; all-cash sale
BREA TECH CENTER
3151 E. Imperial Highway
Brea
115,583 sq. ft.
Buyer: Richard Colyear, et al
Buyer Agent: CB Richard Ellis
Seller: Layton-Belling & Associates
Seller Agent: CB Richard Ellis
Deal Terms: $19,675,000; all-cash sale
OAKBROOK PLAZA
24422 Avenida de la Carlota
118,847 sq. ft.
Buyer: Spieker Properties
Seller: Met Life International Real Estate Shares
Deal Terms: $18.5 million; all-cash sale
TOWN & COUNTRY OFFICE PARK
702-1078 W. Town & Country Road
184,261 sq. ft.
Buyer: The Colton Co.
Buyer Agent: Lee & Associates
Seller: Real Estate Holdings Inc.
Seller Agent: Lee & Associates
Deal Terms: $14,455,000; all-cash sale
BRISTOL PARK MEDICAL
2405-2485 McCabe Way
Irvine
106,735 sq. ft.
Buyer: McCabe Way Irvine LLC
Buyer Agent: The Center Group
Seller: Bristol Park Investment Group IV
Seller Agent: Sperry Van Ness
Deal Terms: $13.8 million; all-cash sale
CIVIC CENTER TOWERS
600 West Santa Ana Blvd.
Santa Ana
169,285 sq. ft.
Buyer: Lam Robinson
Buyer Agent: Voit Commercial
Seller: FJS International
Seller Agent: Voit Commerical
Deal Terms: $12.5 million; all-cash sale
CITY CENTRE II
765 The City Drive
Orange
95,470 sq. ft.
Buyer: Colton Capital
Seller: Confidential
Deal Terms: $12,250,000; all-cash sale
MACARTHUR CORPORATE PLAZA
17701 Cowan
86,503 sq. ft.
Buyer: Menlo Equities
Buyer Agent: Lee & Associates
Seller: The Shidler Group
Seller Agent: Lee & Associates
Deal Terms: $12 million; all-cash sale
SATURN BUSINESS PARK
2929 E. Imperial Highway
125,000 sq. ft.
Buyer: Magellan Real Estate LLC
Buyer Agent: CB Richard Ellis
Seller: Unocal
Seller Agent: CB Richard Ellis
CENTRUM SOUTH
725 W. Town & Country Road
88,595 sq. ft.
Buyer: The Realty Associates
Seller: CIGNA Real Estate
Deal Terms: $11,550,000; all-cash sale
WARNER RED HILL BUSINESS CENTER
15901-15991 Red Hill Ave.
Tustin
94,645 sq. ft.
Buyer: Touchstone Investments
Buyer Agent: Cushman Realty
Seller: PaineWebber Properties
Seller Agent: Cushman Realty
Deal Terms: $10.9 million; all-cash sale
2A LIBERTY
2A Liberty
64,800 sq. ft.
Buyer: Temple Beth El of South County
Buyer Agent: Collins Commercial Corp.
Seller: Westec Security Group
Seller Agent: Cushman & Wakefield
Deal Terms: $10,350,000; all-cash sale
Source: Cushman & Wakefield of Southern California
