The co-founders of Redwood West (RW), a boutique commercial real estate firm that specializes in tenant representation, leasing, and investment sales, have acquired 1101 and 1111 Bayside Drive, also known as Bayside Square, a fee-simple ofﬁce and medical project in Newport Beach, California, according to a release from a representative of the firm. SoCal Real Estate has learned that the sale price was $23.2 million.
Bayside Square is located on the bayfront and consists of two buildings totaling approximately 40,000 rentable square feet, the statement says.
Through the entity Bayside Square Investments LLC, John Pomer, Ben Gott, and Korbin Duley of RW purchased Bayside Square alongside long-time strategic partners David Frosh and David Ellis, according to the statement, which adds that the two-building, multi-tenant medical and office building was sold by Invesco as an off-market deal.
The development is currently 87.84 percent leased, is well stabilized, and leased to a diverse tenant mix, the source says. It will undergo a renovation “to enhance its overall image and accentuate the irreplaceable nature of the waterfront real estate.” The new ownership plans to re-brand the property and upgrade the interior and exterior, “allowing tenants to take advantage of the indoor–outdoor waterfront experience,” according to the release.
Pomer, co-founder and managing director of RW, is quoted in the release as saying, “There are only three buildings considered part of the Newport Center/Fashion Island waterfront, and we now own two of them.”
Gott, also co-founder and managing director of RW, adds in the release that while Bayside Square is well-known among the local CRE community, “the newly renovated Bayside Square will be one of the most sought-after waterfront commercial office buildings in Southern California. Through this renovation and enhancements made to the project, Bayside Square will appeal to top-quality tenants looking to be part of an exclusive community in a world-class destination.”
The statement also says RW has contracted with SMS Architects to plan the renovation and will serve as the leasing agent and asset manager for the property moving forward.
Waterfront properties in Newport Beach seem to be a focus of RW. As we reported in April, on behalf of Texas-based owner Third Palm Capital, RW began offering 11 waterfront creative-office condominiums for sale at VUE Newport in Newport Beach. The project is the only ground-up waterfront office development to be for sale in Newport Beach in 28 years.