From SoCal Real Estate’s January 2019 issue:
A roundup of CRE leases, sales, and financing
Carleton Management Inc. 1460-1490 Island Avenue a 12,000-square-foot vacant historical building and an 11,000-square-foot light-industrial building located in Downtown San Diego’s East Village, for $7.025 million to a wholly owned subsidiary of Shapery Enterprises.
Kevin Mulhern and Rachel Parsons of the CBRE Multifamily team represented the local seller, while the buyer represented itself.
Located at the Northwest corner of Island Avenue and 15th Street, the site is situated on 0.64 acres. The designated historical building dates back to 1907 and was the former Electric Laundry Company site.
Shapery plans to restore the historic Electric Laundry building and reposition it for a commercial tenant.
The adjoining light-industrial building currently has two tenants: Crossfit Fortius and Urbana Design Build, a general contractor. Adam Attia, VP of development and acquisitions at Shapery Enterprises, will be handling the leasing of the property.
Mulhern says, “East Village is Downtown San Diego’s largest and most rapidly developing neighborhood, and this was a unique opportunity to own a building that is rich in history and architectural distinctions. San Diego anticipates a tripling of Downtown’s population and doubling of Downtown’s work force over the next 20 years.”
The property is across the street from the new Pinnacle on the Park development, Fault Line Park, and two blocks from the planned East Village Green. It is within walking distance to many new multifamily units, employment, restaurants, and the trolley and is near Petco Park and the San Diego Library. It also enjoys easy access to I-5 and I-94.
Inspire Home Loans Inc. has signed a five-year lease for 13,266 square feet at MacArthur Court, a 303,852-square-foot office building at 4695 MacArthur Court in the Irvine Business Complex in Newport Beach, California, with landlord The Irvine Company. Inspire is relocating and expanding its Orange County office.
The firm’s new third-floor space will house more than 25 employees and serve as its national headquarters.
Jason Palda, a director in Cushman & Wakefield’s Irvine, California, office, represented the tenant in the transaction. Other corporate tenants at the property include Grant Thornton LLP, Gensler, and Capstone Partners.
A San Diego County–based private investor has sold a single-tenant Tutor Time Learning Center located at 14273 Baseline Avenue in Fontana, California, to a Los Angeles-based private investor for $4.6 million in an all-cash 1031-exchange transaction. The center is one of the top-performing Tutor Time childcare centers in the Inland Empire with a successful operating history of over 15 years at this location.
Progressive Real Estate Partners SVP Frank Vora exclusively marketed the property and represented the seller in the transaction. The buyer was represented by Chris Wen of Walton Realty.
The 10,492 square foot Tutor Time was built in 2003 and is directly adjacent to Heritage Village, a 110,000-square-foot neighborhood center anchored by Vons, US Bank, Fitness 19, Panda Express, and Wendy’s.
Efren R. Cota Ltd., a private investment company, has purchased Casa Loma, a 48-unit multifamily community located at 218 West Clemmens Lane in Fallbrook, California, for $6.9 million from commercial real estate investment company Woodspear Properties in a 1031-exchange investment.
Built in 1975, Casa Loma is a two-story, garden-style community with a mix of studio, one-, and two-bedroom units. It is located in a residential neighborhood within walking distance to the town center.
The seller was represented in the transaction by Kidder Mathews multifamily investment brokers Merrick Matricardi, Jim Neil, and Eric Comer. The buyer was represented by Bob Cota Realty brokers Robert Cota and Mark Edwards.
Matriarci says, “The property is well maintained, and in-place rents are below market compared to similar communities in Fallbrook, giving Casa Loma rents room for growth in the current market.”
A 1031-exchange investor has purchased two multifamily properties in Tustin, California, totaling 34 units to local private investor for a combined total of $9.55 million. The sales consisted of a 30-unit property at 15962-16002 South Myrtle Avenue, which sold for $8.25 million, and four apartments at 14502 Del Amo Avenue that traded for $1.3 million.
CBRE’s Dan Blackwell represented both parties in the transaction. Blackwell says, “The seller’s motivation was to exchange into a newer property with less deferred maintenance that would reset their depreciation schedule. The buyer was attracted to the strength of the submarket, which has strong rental demand that is positioned for continued growth.”
Blackwell adds that his team had previously facilitated the buyer’s sale of a nine-unit property in Fullerton, California, that was the down-leg of that buyer’s 1031 exchange. “Each step was contingent upon the other in order to successfully complete the transactions for all parties involved.”