(MENAFN- PRLog) With a goal of acquiring more than $250 million in suburban Southern California commercial real estate assets in the next 12 months, Harbor Associates, LLC ("Harbor") has acquired Encino Office Park, a four-building, 213,459-square-foot transit oriented office campus in Encino, CA for $47.85 million.
Located at 6345 Balboa Boulevard, Encino Office Park is adjacent to the Balboa station of the Orange Line transportation system that connects the property to Warner Center, Universal City and downtown Los Angeles. One of the only true campus environments in the submarket, Encino Office Park also benefits from direct access to Interstate 405 and its proximity to the 2,000-acre Sepulveda Basin Recreational Park. The property, which was 89% leased at closing, features 12-foot slab-to-slab ceiling heights, subterranean parking and offers unobstructed views of the Santa Monica Mountains.
Harbor has been one of the most active investors in North Los Angeles in the last year, having acquired projects in Thousand Oaks, Toluca Lake, Glendale and Valencia. With the acquisition of Encino Office Park, Harbor's local office portfolio now totals approximately one million square feet.
"We've seen strong tenant demand for differentiated and well-appointed office space in our North LA portfolio, particularly from tenants in the 1,000 – 8,000 square foot range," said Harbor Principal Paul Miszkowicz. "We think there's unmet demand in this space and look forward to executing our multi-tenant lease-up strategy."
Harbor plans a comprehensive renovation program that is designed to breathe new life into the project that was built in two phases between 1988 and 1990. As part of the renovation efforts Encino Office Park will receive a new building entry experience, new project lobbies, installation of new EV charging stations & bike rooms, new LED site lighting, and improvements to the corridors and restrooms. The vacant office inventory will be repositioned as modern spec suites and feature a high-impact reception area, flooring upgrades, glass conference rooms, new paint, new carpet and the implementation of energy efficient LED lighting to replace existing florescent lighting fixtures.
"Encino Office Park represents our 21st office acquisition in the last four years as a firm and expands our Southern California office portfolio," added Harbor Principal Justin Loiacono. "We intend on building on our recent momentum by sourcing new opportunities and pursuing similar strategies in suburban office markets with interesting demand drivers in order to meet our acquisition goal of $250M over the next 12 months. We have a robust pipeline of activity behind this transaction and look forward to continuing to build our Southern California portfolio."
"We are excited about the opportunity to breathe new life into the project, work with best in class third-party property management and leasing teams and reintroduce the renovated project to the tenant and brokerage communities. Our focus is on meeting our tenant's real estate objectives and delivering efficient solutions," said Harbor Vice President Brad Johnson.
Anthony Delorenzo, Mark Shaffer, Todd Tydlaska and Mike Longo of CBRE represented the seller in the transaction. Shaun Moothart, Bruce Francis, Dana Summers and Katie Diaz of CBRE arranged the financing for the project with PNC Bank.
About Harbor Associates
Harbor Associates, LLC ( http://www.harborassociates.com ) is a value-add operating platform focused on acquiring and repositioning under-performing commercial real estate assets throughout Southern California and Denver. The three Principals of Harbor collectively have over 35 years of experience in Denver and Southern California and collectively have closed over $2.3B in acquisitions and asset managed over $3.1B in assets totaling over five million square feet of office. The company is a joint venture with The Bascom Group, LLC.
Contact
Bruce Beck
DB&R Marketing
***@dbrpr.com
MENAFN0304201900703076ID1098341788
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.