Clarion Partners LLC, a New York-based real estate investment firm, has bought a Westminster building that holds a large portion of the local operations of medical device maker B. Braun Medical Inc.
The deal is believed to be one of the area’s larger industrial sales so far this year.
Brokers with the Irvine office of Cushman & Wakefield Inc. recently announced the sale of the 258,506-square-foot building at 7400 Hazard Ave.
The industrial property sits on a 12-acre site a few blocks east of the San Diego (405) Freeway. Property records show that an affiliate of San Francisco-based RREEF America LLC sold the building.
Terms of the sale weren’t disclosed.
In January, when the building was put on the market, the Business Journal estimated that the property could expect to fetch offers in the $25 million range.
The property is said to have received interest from more than 20 potential buyers.
The building is an “institutional quality opportunity with a strong in-place cash flow from an international credit tenant,” said Jeff Cole, executive director at Cushman, who worked on the sale with colleagues Jeff Chiate, Rick Ellison and Ed Hernandez.
B. Braun, which employs more than 1,300 people in Irvine and Westminster, has leased the entire building as a distribution center since 2007 and late last year signed a new five-year deal for the property.
The tenant is a unit of B. Braun Melsungen AG in Germany and has its U.S. headquarters in Bethlehem, Pa. The company also operates out of a 650,000-square-foot building on McGaw Avenue, off Jamboree Road, in Irvine.
Crossroads Sales
Brokers with the Irvine office of Cushman & Wakefield also worked on the recent sale of one of the two properties at the Crossroads Anaheim industrial campus near the intersection of the Orange (57) and Riverside (91) freeways.
Duke Realty Corp., an Indianapolis-based real estate investor, paid close to $14.3 million, or about $117 per square foot, for a building at 1650 N. Kraemer Blvd.
The 122,600-square-foot building was sold by an affiliate of Yardley, Pa.-based Equus Capital Partners Ltd., whose predecessor company bought the Anaheim building and an adjoining property in 2006 and rebranded the renovated campus as Crossroads Anaheim.
Pods of Los Angeles LLC, a portable-storage company, has a lease at the building that runs until next year.
Cushman & Wakefield’s Jeff Chiate and Rick Ellison brokered the latest sale to Duke Realty.
The second campus property, a 154,225-square-foot building at 1600 N. Kraemer Blvd., was sold to Advantage Mailing Inc. in 2010, reportedly for about $11.2 million.
Emmes Refi
New York-based real estate investor Emmes Group of Cos. has secured a $55 million loan to recapitalize its two-tower, 4000 MacArthur office complex in Newport Beach.
Emmes acquired the property in 2011 in a deal valued at about $94 million. The landlord last year renovated the east tower, which holds the headquarters of chipmaker Mindspeed Technologies Inc.
The west tower of the complex is expected to get a similar revamping this year, following the departure of fellow chipmaker Conexant Systems Inc., which plans to move its headquarters to a smaller location in Irvine.
Emmes is looking for a large tenant to lease the bulk of the 187,000-square-foot building following Conexant’s departure.
Los Angeles-based Mesa West Capital said it originated the $55 million loan for the Newport Beach property. It’s the first loan of the company’s Mesa West Real Estate Income Fund III, which provides short-term, first-mortgage debt in deals expected to range from $15 million to $150 million.
The company’s first two income funds were used to originate more than $3.5 billion in financings on apartment, office, retail, industrial and hotel properties.
Denver Deal
Irvine-based apartment investor Bascom Group LLP has secured $230 million to refinance one of the largest properties in its portfolio, The Breakers Resort, a six-village, 1,523-unit complex in Denver.
The Irvine office of Holliday Fenoglio Fowler LP arranged the financing deal, which includes a $165 million first mortgage, a $26.3 million mezzanine loan, and $38.8 million of preferred equity.
Bascom and Denver-based Koelbel and Co. bought The Breakers in 2006 for a reported $190 million.
Koelbel retains an ownership interest in the property following the latest refinancing, which will buy out another existing institutional equity partner, according to HFF officials.
