Newport Beach-based chipmaker Conexant Systems Inc. said on Tuesday it has reached a $23.5 million deal to sell buildings and land next to its headquarters.
The company said it’s selling the property—consisting of 25 acres that have been eyed for residential development, and two leased buildings—to Uptown Newport LP.
The buyer is venture that includes a fund controlled by New York-based DRA Advisors LLC and an affiliate of Irvine real estate investor Shopoff Group LP. It’s one of the largest local deals for Shopoff Group in several years.
Conexant said it will keep a $2.2 million stake in the land. The transaction is expected to close by year’s end.
The move is being made by Conexant as part of its effort to clean up its balance sheet by raising money and paying down debt.
It’s the second deal that Conexant has made this year for the land along Jamboree Road, near the Newport Beach-Irvine city line. A $26 million deal struck with Santa Ana-based City Ventures LLC fell apart in March.
The buildings being sold total about 450,000 square feet of space, and include a production plant used by Israel’s Tower Semiconductor Ltd.
