In the News
Things move fast around here, and the most exciting developments – from recent deals and acquisitions to press releases and property highlights – are posted in real time right here.
Things move fast around here, and the most exciting developments – from recent deals and acquisitions to press releases and property highlights – are posted in real time right here.
SAN DIEGO, Calif., December 11, 2018 – Cushman & Wakefield announced today the purchase of a 208,904-square-foot creative office/R&D campus …
SAN DIEGO, Calif., December 11, 2018 – Cushman & Wakefield announced today the purchase of a 208,904-square-foot creative office/R&D campus in Carlsbad (San Diego), California by a joint venture between SteelWave, LLC and funds managed by Angelo Gordon.
Situated on over 13 acres, the single-story, multi-tenant property is located at 2051 Palomar Airport Rd. and was sold by Palomar Acquisitions Partners, LLC. Executive Managing Directors Aric Starck and Rick Reeder with Cushman & Wakefield in San Diego represented the seller in the transaction.
Starck said, “Carlsbad is an ideal choice for this type of redevelopment into a lifestyle campus. Carlsbad has become a hot bed for high-tech, biotech, and medical device companies that are looking for amenity-rich environments so that they can recruit and retain the top talent. The North County market currently has unmet demand for this type of space and no new coastal sites for future development opportunities of this size or scope.”
Originally developed as a build-to-suit campus for Hughes Aircraft Co. in the early 1980s—with a series of renovations over the decades since—the new owner plans for significant interior and exterior upgrades and improved amenities that will completely enhance and modernize the project. In addition, SteelWave and Angelo Gordon are embarking upon a full re-brand of the campus that will both honor the property’s history while embracing its future as a vibrant new creative environment that will predominantly target tech, biotech and creative industry tenants.
Enhancements being made to the campus are to include a new full-service fitness center, a new bistro with indoor/outdoor seating, contemporary architecture, common areas with gaming and lounge areas, and multiple outdoor patios and workspaces. These upgrades will complement existing features such as extensive glass lines garnering natural light, abundant parking, and convenient accessibility to Interstate 5 and its position across from McClellan-Palomar Airport.
The property was approximately 55% vacant at the time of sale, to which Reeder said, “A health and science tenant in the project recently restructured their real estate needs resulting in a large block of available space—though the company still maintains a notable presence in the building. This vacancy provides the new owner an excellent opportunity to add value through the repositioning and subsequent lease-up of the newly refurbished spaces, to either mid-size or larger users.” Starck noted, “Spanning seven miles of coastline, Carlsbad offers beautiful weather which workers remain attracted to, and which demand has helped lead to several hundred thousand square feet of tenant migration in just the past few years. We expect this North County community to remain a key draw for companies wanting to be in Southern California.”
SteelWave is a full-service commercial, residential and mixed-use real estate management, operating company and investment management firm. SteelWave and its predecessor companies, Legacy Partners Commercial and Lincoln Property West, have been active in commercial real estate for 45 years. The firm has built a reputation for successful execution by sourcing sound investments in its 6 key markets: Northern California, Southern California, Denver, Seattle, Portland and Texas. As a vertically integrated leader in the industry, SteelWave sources, entitles, designs, finances, develops, renovates, leases, manages and sells real estate investments on behalf of many well-known institutional clients. In 2017, SteelWave brought Dennis Cavallari of The Cavallari Group (and previously a partner with Legacy Partners Residential) on board to oversee its multifamily and mixed-use development and acquisition opportunities.
Since its inception, the SteelWave team has acquired, developed or managed 6,000 multifamily units, 60.1M SF of industrial product and 36.6M SF of office product across its Western United States target markets at a combined cost of over $10.7 billion.
About Angelo Gordon
We are a leading, privately-held alternative investment firm, managing approximately $32 billion across a broad range of credit and real estate strategies. For 30 years, we have been investing on behalf of pension funds, corporations, endowments, foundations, sovereign wealth funds and individuals. Over our entire history, Angelo Gordon’s investment approach has consistently relied on disciplined portfolio construction backed by rigorous research and a strong focus on capital preservation.
We are entrepreneurial and opportunistic. We have grown by pursuing strategies that complement and build on our core capabilities. We now have over 480 employees in offices across the U.S., Europe and Asia. Combining deep industry sector and market expertise with a collaborative, knowledge-sharing culture, we creatively seek out investment opportunities that allow us to exploit inefficiencies in global credit and real estate markets.
About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with 48,000 employees in approximately 400 offices and 70 countries. In 2017, the firm had revenue of $6.9 billion across core services of property, facilities and project management, leasing, capital markets, valuation and other services. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.
SteelWave is set to begin developing a mixed-use project on a prime 15- acre Fremont property owned by Ohlone College …
SteelWave is set to begin developing a mixed-use project on a prime 15- acre Fremont property owned by Ohlone College that has been plagued with false development starts for more than two decades.
Ohlone College’s Board of Trustees has approved an agreement to enter into a ground lease with the Foster City-based real estate management and investment firm for the property at 43600 Mission Blvd., where SteelWave is planning a $106 million mixed-use project.
The company has proposed building 275 residential units alongside a commercial town center with nearly 18,000 square feet of commercial retail and office space.
When the development is completed, SteelWave would pay about $1.3 million in rent annually. The developer will lease the property for 80 years, with an option to extend it up to 99 years – the longest term a community college can lease land to a single entity.
Ohlone has been eyeing the site for development for decades, seeing the potential ground lease payments as a new source of stable income for the public college.
Carmel Partners was the most recent developer to fall through on plans for the site, which is split up into three adjacent parcels along Mission Boulevard between Pine Street just past Witherly Lane. The San Francisco-based developer had proposed building hundreds of residential units on the land, but ultimately backed out of the deal.
SteelWave still has a way to go before its project is set in stone. The company has won over the college, but will still need to secure approvals, zoning changes and building permits from the City before construction can start.
College officials last month said they were confident that SteelWave would be the team that would bring project to fruition.
“I think that they are approaching it differently than others may have in the past. They are looking at the political aspect,” Susan Yeager, Ohlone’s Vice President of Administrative Services told the board last month “These projects are never just about dollars and are never just about traffic … they do have a political aspect to them and they are aware of that.”
Despite the board’s confidence, some said they wished it had included more housing set aside for educators or senior citizens. Out of the 275, about 6 percent, or 16 units, will be set aside for those groups.
Some Ohlone College leaders said they would have liked to see more, including Trustee Greg Bonaccorsi, who said he hoped more units could be added for seniors and public servants before development began.
“I feel that if we are a community college we are also sensitive to the needs of the community,” he said. “I was very disappointed to see only 16 units.”
Even so, the board approved the agreement unanimously. Ultimately, the project will provide funds for the college during economic downturns when states mandate cuts to various programs.
“When the college has to start cutting classes it tends to be a downward spiral and it’s hard to come back out of,” Yeager said. “We’ve not yet recovered from the last economic downturn, so … we are fighting to keep the enrollment we have and then increase it.”
This development, if it moves forward, will be that safeguard, college leaders and faculty said.
“I’m sure there are pros and cons to any decision,” Leta Stagnaro, Vice President and deputy superintendent at Ohlone said to trustees as she urged then to move forward with the approval. “But at the core of this decision, keep in mind what we’re here for: We are here for the students, we are here to help them make they meet their educational goals and to make sure, as a college, we meet the needs of the community.”
Janice Bitters – Commercial Real Estate Reporter Silicon Valley Business Journal
A public review period has begun for the Draft Subsequent Environmental Impact Report for Phase III of the America Center …
A public review period has begun for the Draft Subsequent Environmental Impact Report for Phase III of the America Center project in Northern San Jose. The comment period ends on July 27 to be followed by Planning Commission and City Council hearings, though the dates aren’t yet confirmed. The project’s developer, SteelWave, has been working with LRG Architecture, BKF Engineers and landscape architect Carducci & Associates Inc. throughout the planning process.
“They had submitted the application in October 2015,” stated Lea Simvoulakis, project manager. “A community meeting and scoping meeting was held on October 11 last year. The next step is to schedule the hearings with the goal of going to the Planning Commission in August and City Council in September.”
America Center is 70.5-acre campus offering office, R&D and retail space just north of Highway 237 at the end Great America Parkway within the Alviso Master Plan area. The development is touted as offering an unparalleled combination of accessible Class A office space, scenic views and competitive amenities. Phase I at 6001 America Center Drive is complete offering two LEED Gold Class A office buildings surrounded by an open space preserve with nature trails.
Construction is already underway for Phase II of the project, adding another two office buildings totaling 457,450 square feet with numerous amenities such as a sports court, fitness center, cafe and entertainment center. Phase III would deliver the fifth and final office building at just under 200,000 square feet, for a full campus buildout of 1.1 million square feet. The building would reach 90 feet in height and utilize an expanded parking garage shared with the other America Center buildings.
“Right now the goal is to get it approved,” said Steve Dunn, senior managing director, SteelWave. “It’ll provide more space for users and result in a larger campus. The floor plates for building five are slightly smaller due to height constraints; they’ll be 33,000 square foot floor plates. The design and amenities are consistent with the rest of America Center, complementing the campus and making it a bit bigger to meet the demand in Silicon Valley.”
Buildings three and four, part of Phase II, are located at 6220 and 6280 America Center Drive, and are anticipated for Q3 2017 delivery. The floor plates are slightly larger than building five at 36,795 square feet. Amenities include a roof deck, and other outdoor areas such as dining, a presentation theater and collaborative meeting areas.
“It’s a premier site and there aren’t many locations like it,” commented Phil Mahoney, vice chairman, Newmark Cornish & Carey. “It has unprecedented views of the Bay with access to the services and amenities at Great America. The buildings feature View Dynamic Glass and are state-of-the art in terms of amenities. It’s a great project for one to five tenants; the demand is definitely there for the fifth building with the growing tech sector.”
The America Center development is situated in a block of land between Highway 237 and the Bay. The modern Aloft Hotel Santa Clara occupies a long stretch of America Center Court. There are also a number of other hotels in the greater vicinity, Levi’s Stadium, California’s Great America and Intel Museum. The project is in close proximity to several bus routes and the Lick Mill light rail station. Both the Lawrence and Sunnyvale Caltrain stations are about five miles from America Center and an AC Shuttle amenity will provide connectivity for employees who use transit for their commute.
Pending confirmation of the Planning Commission and City Council hearings, there is no estimated date set for ground breaking on Phase III.
The lease the Los Angeles Chargers signed for space in Costa Mesa to serve as their new headquarters and training …
The lease the Los Angeles Chargers signed for space in Costa Mesa to serve as their new headquarters and training and practice facility is for 10 years, the city’s top administrator said Friday.
“I think we’ve all got to be Chargers fans moving forward,” City Manager Tom Hatch joked during a joint liaison committee meeting among the city, Costa Mesa Sanitary District and Mesa Water District.
In December, the team agreed to lease part of the Hive — a Costa Mesa office complex north of the 405 Freeway at 3333 Susan St. — and an adjacent parcel if it decided to leave San Diego for Los Angeles. The Chargers announced the move this month.
The team will play its home games at the StubHub Center in Carson until moving into a new stadium in Inglewood that it will share with the Los Angeles Rams, who moved from St. Louis last year. The new stadium is scheduled to open in 2019.
The Hive is “going to be their home, their headquarters, their practice facilities and their training facilities,” Hatch said. “So they’ll be there every day except when they’re either driving to L.A. for eight games a year or they’re in some other city playing somebody else.”
The Hive site contains three two-story office buildings totaling about 184,000 square feet. The Chargers’ lease is for the largest of the three, Building C, which is nearly 102,000 square feet.
The team also plans to lease an adjacent 3.2-acre parcel called “The Corner.”
He acknowledged, however, that it’s possible the team could look for accommodations elsewhere in the future.
“I think we’re going to make them feel welcome,” Hatch said. “I think they’re going to like the area. Could they move somewhere else to a permanent site? Do they want to build their own facility to meet all their needs for the long term? They might.”
In the 1960s, El Segundo made history in aerospace thanks to the insight of its visionary business leaders and engineers. However, …
In the 1960s, El Segundo made history in aerospace thanks to the insight of its visionary business leaders and engineers. However, with this abundance of large, corporate R&D users, the City lacked office serving amenities. Over the past 10 years, the major El Segundo defense tenants have consolidated and/or relocated outside of California. This tectonic tenant shift has offered developers the opportunity to re-position large “horizontal” buildings into cutting edge, highly-amenitized creative campuses. Today, this coastal city enjoys a diversified tenant base and is a hub for creative innovators in design, technology and new media. Additionally, El Segundo has a thriving entrepreneurial community, and offers immediate connections to primary North/South and East/West corridors. Los Angeles and Santa Monica are within easy reach, and LAX is just minutes away.
In April 2015, SteelWave took advantage of this flourishing market and purchased one of the classic industrial buildings. Now known as INSITE, and located at 2030 E. Maple Ave., the project is a compelling adaptive re-use project. SteelWave’s renovation program has preserved the historical industrial elements and retro feel of the building while providing a modern, state-of-the-art creative working environment catering toward professionals in leading-edge industries. SteelWave retained HLW, a leading design architect experienced with similar transformation, to convert the now obsolete, former Raytheon R&D facility into the South Bay’s most-amenitized creative office campus. The project was very capital intensive and the approximately $11M program included: a complete demo of interiors, new roof, façade, parking field, hardscape and landscape, an entirely new central plant, the addition of over 20,000 square feet of mezzanine space, a new signage program, and the addition of extensive shared amenities including a coffee bar/pantry, fitness facility with showers, bicycle storage and repair, firepit lounge, basketball half court, beanbag toss, food truck parking, and a dog run. CBRE’s Bill Bloodgood, Bob Healey and Erin Rierson were hired to assist in the implementation of an aggressive marketing and leasing plan. The project was completed in November, 2016.
101,874 rentable square feet, including 22,389 of mezzanine, located on a 4.8 acre site
A prime “horizontal campus” with an abundant parking ratio of 3.75 per 1,000 SF
Striking, contemporary architecture can accommodate tenant needs for large or smaller spaces, while outdoor seating amid eco-friendly landscaping creates a uniquely intimate, campus-like setting
Extensive windows, solar tubes and skylights permit natural light to flow throughout the interior space at both the ground and mezzanine levels
An architectural “sky-cut” opens the structure to provide an individual entry point for each tenant
On-site amenities include a coffee bar/pantry, fitness facility with showers, bicycle storage and repair, firepit lounge, basketball half court, beanbag toss, food truck parking and a dog run
Ample green space and indoor/outdoor collaboration areas equipped with Wi-Fi provide opportunities for recreation and relaxation
Close to El Segundo’s Main Street retail area filled with abundant shopping and restaurant amenities
The post-Cold War decline of Southern California’s aerospace industry left numerous industrial buildings in El Segundo without occupants. Decades later, …
The post-Cold War decline of Southern California’s aerospace industry left numerous industrial buildings in El Segundo without occupants. Decades later, the spread of Silicon Beach is finally offering a path forward.
SteelWave is rehabilitating a former Raytheon research facility at 2030 E. Maple Avenue into creative office space. The one-story structure, located east of Sepulveda Boulevard, was previously used in the development of the B2 bomber and other defense type planes.
The adaptive reuse of the building, which is now known as INSITE, will create nearly 100,000 square feet of commercial office space. The redesign by HLW Architects has reimagined the facility as an indoor-outdoor experience, with lush gardens along the exterior, and a walkway cutting through the center of the building.
Recent years have seen other investors reimagine nearby properties as a mixture of creative offices and retail space. Just down the street from INSITE, the Los Angeles Lakers are building a $80-million, 120,000-square-foot practice facility.
Potential tenants at the building are expected to come from traditional creative industries, as well as bioscience firms.
SAN DIEGO — An affiliate of Alexandria Real Estate Equities Inc. (NYSE: ARE), an urban office REIT based in Pasadena, …
SAN DIEGO — An affiliate of Alexandria Real Estate Equities Inc. (NYSE: ARE), an urban office REIT based in Pasadena, Calif., has purchased Torrey Ridge Science Center in San Diego’s Torrey Pines submarket. Walton Street Capital and SteelWave sold the campus to Alexandria for $182.5 million.
Torrey Ridge Science Center is a Class A life science campus leased to companies such as Regulus Therapeutics, Pacira Pharmaceuticals, Nitto BioPharma, Interpreta and BP Technology Ventures. The three-building, 291,799-square-foot campus was 87 percent leased at the time of sale.
“This was a highly strategic acquisition for Alexandria in Torrey Pines, one of our core San Diego submarkets,” says Daniel Ryan, executive vice president and regional market director of San Diego for Alexandria Real Estate Equities.
Located at 10578, 10614 and 10628 Science Center Drive, Torrey Ridge Science Center was built in 2004 and since 2012 the sellers invested $55 million in base building and tenant improvements. The renovations included upgrading common areas, signage and landscaping, as well as creating a new dedicated central plant and adding chilled water systems for each building. The campus also features newly built tenant amenities including a fitness center, conference center and Wich Addiction café.
“The Torrey Ridge Science Center campus provides us with the opportunity to achieve significant cash flow growth as leases are renewed or rolled over, given that many of the in-place leases are below market,” says Ryan. “The campus also gives us the flexibility to convert traditional office space, which is approximately 22 percent of the project, to wet lab research space in order to respond to strong demand from leading biotech entities in San Diego.”
Louay Alsadek and Hunter Rowe of CBRE were the investment advisors, and Rich Danesi and Ryan Egli of CBRE were the market experts representing the sellers. Alexandria Real Estate Equities represented itself.
San Diego is home to one of the top three life science clusters in the United States, according to CBRE. The San Diego life science direct vacancy rate in the second quarter was 6 percent and in the Torrey Pines submarket the rate was 1.4 percent, according to CBRE.
Founded in 1994, Walton Street Capital is a private equity real estate manager that has invested and managed over $8 billion of commercial real estate on behalf of public and corporate pension plans, foreign institutions, insurance companies and banks, endowments and foundations, trusts and high-net-worth individuals.
SteelWave is a commercial, residential and mixed-use real estate management and operating firm. SteelWave and its predecessor company, Legacy Partners Commercial, have been active in commercial real estate for 44 years in five target markets: Northern California, Southern California, Denver, Seattle and Texas. SteelWave has acquired or developed over $9 billion of commercial assets in these target markets.
Alexandria Real Estate Equities has a total market capitalization of $12.4 billion and an asset base in North America of 24.4 million square feet as of June 30. The asset base in North America includes 18.8 million square feet of operating properties and development and redevelopment projects (under construction or pre-construction) and 5.6 million square feet of future ground-up development projects.
In San Diego, Alexandria has nearly 4 million square feet of office/laboratory space (including development and redevelopment projects currently under construction) in the Torrey Pines, University Town Center, Sorrento Valley and Sorrento Mesa submarkets.
Alexandria’s stock price closed on Wednesday, Oct. 12 at $103.25 per share, up from $92.25 per share this time last year.
— John Nelson
America Center, a 70.5-acre office, R&D, and retail complex in Northern San Jose near Highway 237 is up for an …
America Center, a 70.5-acre office, R&D, and retail complex in Northern San Jose near Highway 237 is up for an expansion from its two existing Class A office buildings and Aloft hotel, which reside on America Center Drive and America Center Court, respectively. Developer SteelWave, LLC already has construction underway for its Phase II project, which will add two more office buildings totaling 457,450 square feet on a 13-acre site. The planning process has just began for Phase III calling for a fifth structure to add another 190,000 square feet of office space to the development.
According to Lea Simvoulaski, City of San Jose Planning project manager, because the original plans for a fifth building had been cancelled, the 190,000 square feet were incorporated elsewhere in the development. Now that plans have been re-ignited, a rezoning is required as the maximum square footage was reached based on the prior rezoning requirements in 1999. The proposed building’s height would remain at 90 feet due to zoning limits and a modification would be made to the development plan area based on the sale of 6.7 acres on the northeastern portion of the property. The current parking garage serving other buildings on the complex will be expanded to serve the fifth building, if approved. The bulk of the square footage is devoted to office-R&D, however up to 10-percent of the total space can be used for retail and personal services.
A community meeting at the Aloft Hotel is scheduled for October 11 to serve as a scoping session for the environmental review process and an opportunity for public commentary on the proposed project. The central focus of the EIR will be analyzing potential impacts for the increased traffic associated with the fifth building. The rezoning will be decided upon by both the Planning Commission and City Council.
“The development is located within the Alviso Master Plan Area,” said Simvoulaski. “It used to be a landfill and was envisioned for office park use. They saw this area as a place for an industrial-office park. It’s helping the City reach one of its goals by creating balance between jobs and housing. The project will add 190,000 square feet of office space and the resulting jobs.”
The America Center Development is nearby an ACE Train Rail route and in close proximity to Caltrain and VTA Light Rail. An AC Shuttle will connect office park riders with Caltrain. America Center amenities include a 14,544 square foot fitness center and cafe topped with a roof deck equipped with miniature golf. The complex also has access to a jogging trail, sports court and bike pathway. The buildings themselves offer panoramic views of the San Fransisco Bay and Silicon Valley. The abundant windows feature Dynamic Glass, which reduces glare and maintains optimal building temperature. Thirty acres of burrowing owl habitat on the property will remain intact and be dedicated to open space. Fully landscaped outdoor collaborative meeting areas are also onsite.
“We are very excited not only about ACII, which features significant amenities such as a sports court, fitness center, cafe and entertainment center and Dynamic View glass — which is midway in construction and has created a lot of buzz in the Valley and a lot of interest from prospective users — We’re seeking ability to move forward on Phase III in order to provide users flexibility with up to 1,100,000 plus square feet,” offered a SteelWave spokesperson.
SteelWave is working alongside LRG Architecture, landscape architect Carducci & Associates Inc, and BKF Engineers for the Phase III project.
SteelWave today announced the acquisition of Capitol Center, a 100% occupied, two building office complex in a prime location in …
SteelWave today announced the acquisition of Capitol Center, a 100% occupied, two building office complex in a prime location in downtown Denver, CO. The property consists of a 22,857sf landmark building 100% leased through 2028 to The Colorado Trust, a 131,291sf 12 story office building 100% leased to 18 tenants, and an adjacent 234 space parking structure. The acquisition marks the first joint venture between SteelWave and Empire Square Group.
Located in vibrant Uptown, which is known as the city’s financial, energy and legal center, due to its close proximity to the State Capitol and other state and local government offices, the location is also easily accessible to public transportation, both light rail and bus routes are nearby, as well as an abundance of nearby amenities.
According to Peter Llorente, SteelWave’s Managing Director for Denver, Seattle and Texas regions, the company plans to invest over $4M in capital upgrades to the LEED Gold Certified property, including improvements to common areas, landscaping entries and elevators.
SteelWave Acquires Development Sites in Southern California and Colorado. SteelWave, a full-service commercial, residential and mixed-use real estate management, operating company …
SteelWave Acquires Development Sites in Southern California and Colorado.
SteelWave, a full-service commercial, residential and mixed-use real estate management, operating company and investment management firm, announced it has acquired two multi-family development sites in Aurora, CO and Westchester, CA.
“This is a new chapter for our firm. We’re not abandoning what we’ve done so well in the commercial arena for the past 40+ years, but rather we’re adding to it by broadening our scope,” said Barry DiRaimondo, Steelwave’s CEO. “In today’s world there is a confluence of ‘live, work, play,’ and the idea of mixing residential alongside commercial in a single project is compelling. It’s creating value by adding multi-use capabilities to projects that used to stand alone.”
SteelWave, formerly Legacy Partners Commercial, was for years traditionally focused in the commercial realm. However, since last year when they separated from Legacy Partners to launch SteelWave, the firm has moved full steam ahead in to the residential-multi-family arena. SteelWave has formed a strategic alliance with the Cavallari Group out of Los Angeles to execute the entitlement and development of these two projects. More projects will likely follow as part of this alliance.
Future deals will be location driven, with the firm targeting its existing markets: Seattle, Portland, the San Francisco Bay Area, Los Angeles, Orange County, San Diego, Denver and Austin.
SteelWave’s first residential development acquisition includes 1.2 acres in Westchester, CA, located at La Tijera and 74th Street, just west of Interstate 405 near the Los Angeles International Airport.
SteelWave expects to break ground in May with completion anticipated in the first quarter of 2018. The project will include 140 one- and two-bedroom units, a pool, a club/sports bar and a state-of-the art gym. It will also include 13 below market units to help support the broader LA Basin’s need for affordable housing.
In addition to the site in Westchester, SteelWave acquired 15 acres in Aurora, Colorado for the development of 424 market rate apartments. Development costs will be approximately $100M.
“Aurora, Colorado needs more housing and our transit oriented project will bring a best in class apartment community to serve the area’s expanding workforce,” said DiRaimondo.
The development will target individuals and families employed by nearby companies: Fitzsimons Medical Center (45,000 employees), Denver Tech Center (75,000 employees) and Buckley Airforce base (17,000 employees). The site is also located directly adjacent to the newly constructed Iliff Station train station that will provide quick access to all parts of the Denver Metro area. Construction is slated to begin in June.
SteelWave is a full-service commercial, residential and mixed-use real estate management, operating company and investment management firm. SteelWave and its predecessor companies, Legacy Partners Commercial and Lincoln Property West, have been active in commercial real estate for 44 years. As a vertically integrated leader in the industry, we source, entitle, design, finance, develop, renovate, lease, manage and sell real estate investments on behalf of many well-known institutional clients. Since its inception, SteelWave has acquired, developed or managed over 125 million square feet of commercial property in the western United States.
ABOUT THE CAVALLARI GROUP
The Cavallari Group, headed by President & CEO Dennis Cavallari, develops and procures entitlement approvals for residential land and multifamily properties in the western US. Previously, Mr. Cavallari was the lead development partner in Southern California for SteelWave’s former sister company, Legacy Partners Residential. During his time with Legacy, Mr. Cavallari was responsible for developing some of the most noteworthy luxury apartment communities in all of Southern California. Prior to his tenure at Legacy, Mr. Cavallari was based in Denver, Colorado as a partner in charge of development for JPI, a national apartment community developer. Preceding JPI, Mr. Cavallari was a partner on the east coast running the northeast office of the former national apartment development group, Property Company of America. To date, Mr. Cavallari has overseen the development of 6,000 units in the western United States at a cost of $1.5 billion.
SteelWave announced today the acquisition of an 180,000 square-foot office campus located at 3333 South Susan Street in Costa Mesa. …
SteelWave announced today the acquisition of an 180,000 square-foot office campus located at 3333 South Susan Street in Costa Mesa. The acquisition is another addition to the firm’s joint venture platform with Goldman Sachs, which also includes The Arbors in Thousand Oaks and InSite in El Segundo. Situated on 14.24 acres, the campus features 656-space surface parking and an additional 3.2 net acres, zoned for office and retail, for future development. It is located near numerous amenities, including South Coast Plaza, SoCO/OC Mix, Metro Pointe at South Coast and Segerstrom Center for the Arts, with access to the 405, 55, and 73 freeways. Building C, the largest building in the three-building, Class A, two-story office campus will continue to be occupied by Emulex Corporation.
The former Emulex campus represents a compelling creative reposition opportunity, and SteelWave plans to convert the corporate campus into Orange County’s first large scale creative office project. “We are extremely excited about this deal”, said Seth Hiromura, SteelWave’s Managing Director for the Orange County and San Diego regions. “The location, directly next door to the future repositioned LA Times site and Van’s corporate headquarters development, and within the Greater Airport Area submarket, with one of the lowest vacancy rates in Southern California at 9.7%, couldn’t be better.”
SteelWave announced today the acquisition of an 18 building portfolio within Canyon Park in Bothell, Washington. The buildings are located …
SteelWave announced today the acquisition of an 18 building portfolio within Canyon Park in Bothell, Washington. The buildings are located in one of the premier master-planned business parks in Seattle’s Eastside market, at the intersection of Interstate 405 and the Bothell-Everett Highway, adjacent to a major transit center and retail services. The acquisition, totaling 717,702 sf, was acquired in a joint venture with NorthStar Realty Finance.
The 17 buildings in Canyon Park Business Center consist of flex buildings totaling 632,591 square feet, currently 71.3% leased, allowing for significant value creation. The buildings have a diversified tenant roster with a broad range of uses including office, medical-office, bio-technology, warehousing, manufacturing, retail, dining and hospitality.
The Woodlands Campus Building, located within Canyon Park, was developed in 2007 and is the newest and highest quality multi-tenant office building in the Bothell submarket. Woodlands is a three-story, Class A property currently 84.2% leased. The property is strategically situated at the entrance to Canyon Park offering tenants high visibility to the Bothell highway.
SteelWave will immediately begin significant upgrades to the project including renovating the landscaping & signage, as well as the building exteriors and interiors.
In one of the largest commercial transactions in San Francisco this year, New York City-based Tishman Speyer finalized a deal …
In one of the largest commercial transactions in San Francisco this year, New York City-based Tishman Speyer finalized a deal with SteelWave to acquire 160 Spear St. in downtown San Francisco. The purchase price is reported to be around $200 million, or approximately $683 per square foot.
160 Spear St. is a 289,253-square-foot, Class A office tower located in the South Financial District’s Spear Street corridor. Built in 1984, the building is 95% leased to a tenant roster that includes The Regents of the University of California, Workday, Conversant, and the GSA.
SteelWave, formerly known as Legacy Partners Commercial, put the 19-story high-rise on the market in early 2015 after originally acquiring the asset in 2006 for $86.5 million, according to CoStar information.
Tishman Speyer, which now owns seven properties in the market, plans to upgrade the building’s lobby and plaza.
Representatives with Eastdil Secured coordinated the disposition on behalf of SteelWave.
SteelWave today announced the acquisition of Twenty30 Maple located in El Segundo, California. The acquisition is part of the firm’s …
SteelWave today announced the acquisition of Twenty30 Maple located in El Segundo, California. The acquisition is part of the firm’s joint venture platform with Goldman Sachs, which also includes The Arbors in Thousand Oaks.
Twenty30 Maple represents a compelling adaptive re-use opportunity for the firm. Located in the strong infill market of El Segundo, SteelWave plans to convert the vacant, 90,000 square foot former Raytheon R&D facility into one of the South Bay’s most amenitized creative office campuses.
The transformation is very capital intensive and will include: modernizing the building exteriors (wall treatment, unique entry and roof features, storefronts, etc.); introduction of native drought tolerant landscaping; many amenity areas (bike storage/repair, coffee bar, Cross Fit, fire pits, bocce); the addition of over 20,000 square feet of mezzanine space; and a new signage program. New roofs and a new central plant (HVAC, building control systems) are also part of the planned renovations. SteelWave has hired HLW, a leading global architecture and creative design firm, to provide architectural services.
According to Gregg Hall, Managing Director of the Greater Los Angeles Region for SteelWave, “El Segundo was historically a major defense and aerospace headquarters location where much of the world’s great defense technologies were developed. With the presence of large, corporate R&D users, this mostly “big box” market lacked office serving amenities. Over the past 10 years, the major El Segundo defense companies have consolidated and/or relocated outside of California. This tectonic tenant shift has offered landlords the opportunity to re-position large “horizontal” buildings into cutting edge and highly-amenitized creative campuses. The total of all creative conversions to date (over 2M square feet) have witnessed robust leasing and rent growth and currently offer only 9% vacancy. Therein, the opportunity for SteelWave to create an inspiring workplace at Twenty30 Maple.”
SteelWave today announced the acquisition of 225 Hillcrest located in Thousand Oaks, California. The acquisition is part of the firm’s …
SteelWave today announced the acquisition of 225 Hillcrest located in Thousand Oaks, California. The acquisition is part of the firm’s growing joint venture platform with NorthStar Realty Finance.
225 Hillcrest consists of a 157,508 square foot office building, currently 100% leased long term to Bank of America. Situated off the 101 Freeway, the property benefits from an amenity-rich location and offers a unique 14.6 acre campus environment. 225 Hillcrest is walking distance to both the Oaks Mall and Janss Marketplace and is only 2.5 miles west of the Lakes at Thousand Oaks; the three primary destination retail centers in Thousand Oaks.
This is the second time around for SteelWave at 225 Hillcrest, having previously owned the asset in the late 1990’s with Whitehall (Goldman Sachs).
Legacy Partners Commercial announced today the acquisition of a six building, 420,000 sf portfolio purchased from Westcore Properties. The assets …
Legacy Partners Commercial announced today the acquisition of a six building, 420,000 sf portfolio purchased from Westcore Properties. The assets were acquired in a joint venture with NorthStar Realty Finance.
The Portfolio, scattered throughout the greater Denver Metro area, consists of:
105 Technology Single-story office building located in the Interlocken Advanced Technology Business Park, one of Denver’s premier business parks. The asset is currently 89% leased to two publicly traded tenants. The building offers tremendous views of the Rocky Mountains and Boulder Flatirons.
Centennial Valley II Two-story 69,145 sf building located minutes from both Boulder and Interlocken Advanced Technology Business Park. Currently 96% leased to four tenants, with nearby amenities that include McCaslin Boulevard retail corridor, Coal Creek a Golf Course, numerous hotels, and thousands of acres of protected open spaces.
Highland Park 72,610 sf building 100% leased to Elavon, a subsidiary of U.S. Bancorp. The asset is walking distance to the Park Meadows Mall, a 1.6 million square foot super-regional retail destination.
5350 Roslyn Located in the heart of the prestigious Greenwood Plaza sub market in Southeast Suburban Denver, The Roslyn building is currently 98% leased to various tenants. The asset is adjacent to The Landmark: a $500-million mixed-use development 175,000 sf of luxury retail and two 15-story high end residential towers.
400 Inverness 111,482 sf Class A project located in the Inverness Business Park in Southeast Suburban Denver – within steps of the Light Rail Station. The asset is conveniently located near amenities such as Park Meadows Mall, Colorado Athletic Club and dozens of retailers/restaurants.
141 Union Located in the Union Square sub market in West Denver. The 63,573 sf Class A asset is 86% leased and within walking distance of the new West Light Rail line. It’s adjacent to Union Square Park offering walking/ jogging trails.
Legacy plans to undertake a range of cosmetic renovations to the portfolio, including: exterior landscape enhancements, general site improvements, project signage, and building interiors.
The Irvine Co. has purchased Tech Park at Freedom Circle, a 12-building, Class A office and R&D park totaling 427,873 …
The Irvine Co. has purchased Tech Park at Freedom Circle, a 12-building, Class A office and R&D park totaling 427,873 square feet in Santa Clara, Calif., it was announced Thursday by HFF, which had represented Legacy Partners, the seller.
Legacy Partners had purchased the asset in a joint venture with AllianceBernstein’s Real Estate Group in 2013.
The transaction closed Jan. 9, an Irvine Co. spokesperson told Commercial Property Executive. The company declined to disclose how the $136.5 million acquisition was financed.
The park’s 12 one- and two-story, steel-reinforced buildings are sited on 25.74 acres at 2518–2560 Mission College Blvd. and 3900–3990 Freedom Circle at the intersection of Highway 101 and Great America Parkway.
The property is 95 percent leased to 28 tenants in the telecommunications, hardware manufacturing, software, networking, publishing and biotechnology/life sciences sectors, including Samsung Research America, Netflix and electronic textbook publisher Chegg.
Amenities at Tech Park at Freedom Circle include an outdoor bocce court, outdoor meeting areas, an on-site café with corporate catering and electric vehicle charging stations. The property is within walking distance of Santa Clara Valley Transportation Authority bus service for easy connection to light rail.
The HFF team that represented the seller included senior managing director and co-head of HFF’s San Francisco office Steven Golubchik and senior managing director and co-head of both the San Francisco office and HFF’s national office investment sales platform Michael Leggett. Directors John Simerlein and Ben Bullock and senior analyst Josh DiSalle also assisted with the deal.
“This sale is a win/win for both sides,” Steve Dunn, Legacy Partners senior managing director, said in a release. “With our strong local team in place, Legacy capitalized on market momentum, successfully and swiftly executing a project upgrade and strategic leasing plan well ahead of schedule.”
“We are seeing strong demand across our Silicon Valley portfolio driven by the strength of the region’s innovation economy,” Hanns Lee, regional senior vice president overseeing Irvine’s Northern California office portfolio, told CPE. “Santa Clara is one of Silicon Valley’s most attractive workplace locations, with net absorption of 1.16 million square feet in 2014.”
Legacy Partners Commercial announced today the acquisition of 5505 Morehouse, located in San Diego, California. The asset was acquired in a joint …
Legacy Partners Commercial announced today the acquisition of 5505 Morehouse, located in San Diego, California. The asset was acquired in a joint venture with NorthStar Realty Finance.
5505 Morehouse is a 71,016 square foot, 3-story office building that is 100% leased to Qualcomm, a world leader in 3G, 4G and next-generation wireless technology. The building has recently been improved to accommodate Qualcomm’s occupancy and includes new modern, state-of-the art office space and small electronic laboratories. 5505 Morehouse is directly adjacent to Qualcomm’s global headquarters and less than a block away from numerous dining, retail services and hospitality amenities. Located on the west side of Sorrento Mesa, one-half mile east of Interstate 805 via Mira Mesa Boulevard and one mile south of Interstate 5, the property is conveniently located to access all of San Diego County.
SteelWave today announced the acquisition of Sorrento Canyon Technology Center in San Diego, California. The asset was acquired in a …
SteelWave today announced the acquisition of Sorrento Canyon Technology Center in San Diego, California. The asset was acquired in a joint venture with Goldman Sachs and purchased from Embarcadero Capital.
Sorrento Canyon Technology Center, is a four building lab project situated on a 6.58-acre lot in the Sorrento Mesa sub-market of central San Diego. The asset consists of four, single-story buildings totaling 98,987 square feet; 70% leased to life-science and high-tech companies. The project is located at the western edge of Sorrento Mesa, near the confluence of I-5/I-805 – and with recently completed major highway improvements, it provides exceptional access to these main thoroughfares. The asset is also ideally located so as to be in walking distance to some of the best amenities in Sorrento Mesa.
Legacy Partners Commercial plans a significant transformation, with capital improvements that will transform the project into a creative campus environment. Improvements to include exterior facade and landscaping modernization, lobby upgrades and a new amenity “necklace” — an outdoor amenity area that traverses through the buildings with activity areas and seating nodes.
Legacy Partners Commercial today announced the acquisition of what’s known as the First Range Portfolio located in Boulder and Denver, …
Legacy Partners Commercial today announced the acquisition of what’s known as the First Range Portfolio located in Boulder and Denver, Colorado. The assets were acquired in a joint venture with NorthStar Realty Finance.
The First Range Portfolio consists of one building in downtown Denver, and three buildings in Boulder.
1900 Grant, located in the Uptown submarket of downtown Denver, is a 12-story, class B+ office building totaling 126,789 square feet; 97% leased at acquisition. The Uptown district has transformed from the eastern edge of the CBD to a desirable, trendy place to live and work, with apartments, restaurants and retail being developed at a rapid pace. This asset has historically been occupied by a high concentration of legal firms, however recently its tenant base has been expanding to include corporate users and technology firms. The four-level parking garage has above average parking ratio for downtown (2.2 / 1,000 sf) and will provide an exceptional source of increased revenue.
The three Boulder assets are 2-story, class B buildings that range from 29,000 square feet to 44,000 square feet with a variety of tenants that include a life science company & financial and technology firms. Located just 25 miles north of Denver, Boulder is a compelling real estate submarket. Situated at the base of the Rocky Mountains, Boulder offers a desirable “quality of life” experience, as well as an excellent transportation infrastructure, a well-educated labor force, proximity to the University of Colorado, a strong retail amenity base, and residential diversity – making it one of the most coveted submarkets in the Denver metropolitan area. Boulder also has a reputation as an outdoor playground, with over 45,000 acres of open space and more than 150 miles of biking and hiking trails.
According to Peter Llorente, Legacy’s Managing Director for its Denver, Seattle & Texas regions, the firm plans significant renovations for the Portfolio, including: landscaping, various site improvements, project signage, and building interiors.
Legacy Partners Commercial announced today the acquisition of The Arbors at Thousand Oaks, located in Thousand Oaks, California. The asset …
Legacy Partners Commercial announced today the acquisition of The Arbors at Thousand Oaks, located in Thousand Oaks, California. The asset was acquired in a joint venture with Goldman Sachs and Texas Pacific Group (TPG).
The Arbors is a Class A suburban office project that consists of four, two-story office buildings totaling 275,329 square feet. The project is currently 88% leased to seven tenants including Agmen, Skyworks Solutions, Sage Publications and Verizon. Located in the highly desirable Conejo Valley market, along the Los Angeles/Ventura County line, the project has access to endless recreational hiking, biking and equestrian trails as well as nearby amenities including national retailers, restaurants, performing art centers, the Sherwood Country Club and spectacular views of the Santa Monica and Santa Susana Mountains.
SteelWave plans a capital upgrade program that includes the creation of outdoor decks, a bocce ball court, fire pit, multiple seating groups and a trellised grilling station. Site improvements will include a major signage upgrade, landscaping upgrades, as well as parking lot repairs.