Saturday, September 15, 2018

Hanley Investment Group Brokers $23 Million Sale of 39,290-SF Landmark Walgreens Building in Downtown Pasadena, CA

Walgreens, 310 South Lake Avenue, Pasadena, CA
PASADENA, CA - Hanley Investment Group Real Estate Advisors, a nationally-recognized real estate brokerage and advisory firm specializing in retail property sales, announced the sale of the landmark building occupied by Walgreens at 310 South Lake Avenue in Pasadena, California.
The sale price for the fee-simple property was $23 million, representing a cap rate of 4.9 percent.  
Carlos Lopez
Hanley Investment Group Executive Vice President Carlos Lopez and Vice President Lee Csenar represented the seller, AEGON USA Realty Advisors, LLC of Cedar Rapids, Iowa.

The buyer, a private investor based in Beverly Hills, California, was represented by John D. Repstad of Realty Advisory Group, Inc. of Los Angeles.

Built in 1949, the iconic freestanding 39,290-square-foot building is located on 0.79 acres at the signalized intersection of South Lake Avenue and Del Mar Boulevard.

The first and second floor of the building (totaling 27,025 square feet) is leased to Walgreens until 2027. Walgreens subleased the second floor to Sit 'n Sleep for a 14,057-square-foot store.

Lee Csenar
The building’s 12,265-square-foot basement space is leased to Premier Dental Care Group. The sale also included a portion of the parking lot behind the property and the use of the adjacent reciprocal parking managed by the City of Pasadena.

“The sale represented an extremely rare opportunity for an investor to purchase 39,290 square feet of prime retail along South Lake Avenue in the heart of Pasadena,” said Lopez.

“This is a secure and stable generational asset with a long-term triple-net lease with Walgreens representing 85 percent of the annual income. There is an additional triple-net lease with Premier Dental Care Group, which has been successfully operating at the property since 2013.”

According to Csenar, “Investors were attracted to the high identity, very desirable South Lake Avenue location and co-tenancy. 

"The property is situated at the hard corner of South Lake Avenue and Del Mar Street directly across the street from the Shops on Lake Avenue Mall, anchored by Macy’s,

John D. Repstad
"Trader Joe’s and T.J.Maxx. Additional retailers along South Lake Avenue are Ann Taylor, LA Fitness, Pacific Sales, Pavilions, Pet Food Express, Pier 1 Imports, Pottery Barn Kids, Ross Dress for Less, Talbots and Williams Sonoma.” 

The revered South Lake Avenue corridor consists of 12 blocks of shopping and dining that includes over 600 businesses that draw from the region, including nearby cities of Arcadia, Eagle Rock, La CaƄada Flintridge, South Pasadena and San Marino.

Within three miles of the site, the average household income is $117,600 with 38 percent of the households averaging $100,000 or more. More than 560,000 people live within a five-mile radius of the property.

The population is also highly educated with 64 percent of the residents with a bachelor’s degree or higher within one mile and 7.7 million square feet of Class A office that continues to draw employers to Pasadena, creating office demand.

According to Lopez, South Lake Avenue has an incredible 94 out of 100 Walk Score, calling it a “Walker’s Paradise” due to the proximity in all ranking categories including dining, groceries, shopping, errands, parks, schools, culture, and entertainment.

South Lake Avenue, Downtown Pasadena, CA
The property is also located less than one mile from the Metro Gold Line stations at Lake Station and Del Mar Station, connecting Pasadena to Downtown Los Angeles, San Fernando Valley, San Gabriel Valley, Santa Monica/West Side, the South Bay, Downtown Long Beach, and East Los Angeles.

 The Metro Gold Line boasts over 50,000 daily riders per weekday and 34,000 daily riders on the weekends.

Pasadena is home to top employers including Kaiser, Parsons, and Nasa Jet Propulsion Laboratory (JPL). Nearby colleges include Caltech, Pasadena City College, Occidental College, and ArtCenter College of Design.

“This transaction is another great example of the high demand for well-located retail assets, specifically in Pasadena on South Lake Avenue and Colorado Boulevard,” said Csenar.

Lopez has sold more retail on South Lake Avenue than any other agent in the last five years, with a total of 220,000 square feet of retail worth $59 million. According to CoStar Group, there have only been 13 retail transactions along South Lake Avenue in the last five years.

“High-quality urban locations in great cities and the urban core of Southern California in districts such as Pasadena, Hollywood, Downtown Los Angeles and Santa Monica continue to attract investors from the region, as well as from across the nation and the global investment community,” said Lopez.

Anne Monaghan

Meridian Sells Dialysis Clinic for $15.7 Million or $1,230 PSF in Northern California

Dialysis Clinic, 4242 Broadway, Oakland, CA

John Pollock
SAN RAMON, CA – Meridian, a full-service real estate developer and owner of medical real estate, is pleased to announce that it has closed escrow on the sale of its 12,754-square-foot dialysis clinic in Oakland, California.

The purchase price was $15.7 million, representing a price of $1,230+-per-square-foot or a cap rate of 5.1 percent. 

This is Meridian’s fifth transaction in 2018, having acquired four new buildings earlier this year and selling its 104,000-square-foot multi-tenant office building in Brisbane, California in June.

The outpatient dialysis clinic is located at 4242 Broadway in Alameda County, in the North Oakland neighborhood in a busy corridor near Kaiser Permanente and Sutter Hospitals on Pill Hill.

The site is also positioned within proximity to the MacArthur BART station, Interstate 580 freeway, Highway 24 and adjacent to a variety of retail services.

In 2013, Meridian acquired four lots to create a 19,600-square-foot parcel for ground-up construction of the new, state-of-the-art outpatient healthcare clinic.

Mike Conn
According to Meridian’s CEO John Pollock, “Having a visible outpatient facility that also provides easy access and convenience for patients and staff has been a growing trend for systems and healthcare providers.

"Patients often have difficulty navigating the large and often confusing hospital campuses, entrances and large parking garages. It is all about the patient experience.

"Meridian has seen this trend over the past few years given the cost advantage and convenience factor of providing services in an outpatient setting as opposed to a higher acuity, higher cost hospital.”

Senior Vice President Mike Conn adds, “Given that this requirement was in an extremely tight urban infill market, paired with the attractive Oakland market in recent years, this was a difficult type of site to locate.

"With a little flexibility regarding development style, we were able to deliver a desirable building in a perfect location.”

The site required Meridian to vacate and demolish three different buildings while maintaining the structural integrity of a large retaining wall built into the rear of the buildings.

Chris Sheldon
 “Through a coordinated team effort with our client, vendors, and the City, we were able to construct the OSHPD 3 clinic in just under 10 months,” Conn said. The clinic was completed in September of 2017.

Since its inception in 1999, Meridian has developed over 15 dialysis clinics.

“Kidney failure, also known as end-stage renal disease, is a fatal condition unless a kidney transplant is available, or a patient undergoes dialysis, in which a machine filters toxins and fluids from the blood outside the body," Conn added.

"In-center dialysis patients are treated approximately four hours a day, three times a week. There is a tremendous need to bring these types of services to the communities where patients live, and we are committed to doing so for our client.”

Chris Sheldon of Cushman and Wakefield, based in the firm’s San Francisco office, represented Meridian in the transaction.

The buyer was a Fremont-based family office in a 1031 exchange who was looking to invest in an iconic location that gave them access to the healthcare market. The buyer was represented by Bay Area-based The Kase Group. 


Anne Monaghan

Warner Pacific Properties Announces Grand Opening of Ulta Beauty at Monrovia Landing in Monrovia, CA

Ulta Beauty at Monrovia Landing Shopping Center,
729 East Huntington Drive, Monrovia, CA

MONROVIA, CA – Warner Pacific Properties, a real estate investment and development company, announced the opening of Ulta Beauty at Monrovia Landing shopping center at 729 E. Huntington Drive (Historic Route 66) and S. Shamrock Avenue, in the City of Monrovia, California.

Philip Voorhees
The new store will celebrate its grand opening on Friday, September 14th, at 9:45 a.m. Ulta Beauty will join T.J.Maxx, HomeGoods, ALDI, O’Reilly Auto Parts and two new tenants.

"We're thrilled to welcome Ulta Beauty to Monrovia Landing,” said Michael Odell, principal and co-founder of Warner Pacific Properties.

“We have also signed two new tenants, Kids Empire and Tapioca Express, which brings the occupancy to 100 percent with long-term quality tenants that provide the best-possible synergy for this completely renovated and repositioned center.”

“Adding Kids Empire and Tapioca express, Monrovia Landing is 100 percent leased to category-leading, value-focused and necessity/grocery retailers providing a bulwark against internet competition,” said Philip Voorhees, executive vice president, CBRE National Retail Partners - West.

“In fact, T.J.Maxx, HomeGoods, ALDI, O’Reilly Auto Parts and Ulta Beauty account for 80 percent of the total leasable area in the project, and at one of the most visible, high traffic locations in this trade area.”


Anne Monaghan

Arbor Funds $4.1 Million FHA Loan in Terrell, TX

Brownstone Apartments, Terrell, TX

Stuart Gans
UNIONDALE, NY – Arbor Realty Trust, Inc. (NYSE:ABR), a real estate investment trust and national direct lender specializing in loan origination and servicing for multifamily, seniors housing, healthcare, and other diverse commercial real estate assets, recently funded an FHA 223(f) loan in Terrell, Texas.

 Brownstone Apartments, a 107-unit multifamily property, received $4.1M in refinance funding under the FHA 223(f) loan program. 

The deal provides a fixed-interest rate for the entire length of the loan.

Stuart Gans of Arbor’s Dallas office originated the loan. “Arbor helped our client take advantage of the amazing benefits of the FHA refinance program for market-rate properties,” said Gans.

“The borrower wanted a fixed-interest rate for the entire length of the loan, and needed funds for critical and noncritical repairs. 

"The FHA refinance program was the perfect solution, offering advantages such as being non-recourse and assumable.”

 Built in 1963, Brownstone Apartments are located in a suburb east of Dallas and boast small-town living with big-city conveniences. 

On-site amenities include a community picnic area, playground, security system and smoke-free areas.


Arbor Realty Trust, Inc.
333 Earle Ovington Blvd, Suite 900
Uniondale, NY 11553

Bina Handa
Tel: 516.506.4229

Pathway to Living Begins Pre-Leasing at 105-Unit Senior Housing Community in North Suburban Milwaukee, WI

Rendering of planned Heartis Village Northshore,
100 West River Woods Parkway, Glendale, WI
CHICAGO, IL — Pathway to Living, a Chicago-based developer, owner and operator of senior living communities, announced the start of pre-leasing at Heartis Village North Shore, a 105-unit assisted living and memory care community in Glendale, Wis. 

Situated on 12 acres at 100 W. River Woods Parkway, about 10 minutes north of Milwaukee, the community is scheduled to open in February 2019.

“We are very excited to be a part of the team bringing this high-end senior living community to Milwaukee’s North Shore,” said Maria Oliva, chief operating officer at Pathway to Living, which will operate the community on behalf of its developer, Caddis Healthcare Real Estate.

Maria Oliva

 “Heartis Village North Shore is being built on a beautiful site that will afford picturesque views of the Milwaukee River throughout the various seasons.

"Seniors from the North Shore who love the area and want to remain near friends and family now have a great new option that also provides for their future healthcare needs.”

A welcome center showcasing Heartis Village’s finishes, services and amenities is open seven days a week from 9 a.m. to 5 p.m. at 5150 N. Port Washington Road, Suite N115 – about a mile north of the community in Glendale.

 Team members available to answer questions and provide information on the new community include Sue Kubiak and Christine Denton, who joins the staff on Sept. 24.

 Meanwhile, the 34 memory care studios, located in a secure neighborhood on the community’s ground level, range in size from 293 to 306 feet.

 For more information on Heartis Village North Shore or to schedule an appointment, visit or call (414) 409-6700.


Kathryn Kjarsgaard, (312) 267-4514
Abe Tekippe,, (312) 267-4528

Marcus & Millichap Brokers $1 Million Sale of 23-Unit Sierra Condominiums in Stuart, FL

Berkley Bloodworth
STUART, FL – Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, announced the sale of Sierra Condominiums, a 23-unit broken-condo apartment property located in Stuart, FL, according to Justin W. West, regional manager of the firm’s Orlando office.

The asset sold for $1,092,500.

Berkley Bloodworth, a multi-family specialist on the Turchi-Travis Team in Marcus & Millichap’s Orlando office, had the exclusive listing to market the property on behalf of the seller, a private investor. 

Sierra Condominiums is located at 1021 SE Monterey Rd in Stuart, FL.  The buyer was also a private investor.


Justin W. West
Vice President / Regional Manager,
 Orlando, FL
(407) 557-3800