TA Realty Scoops Up El Segundo Office Property for $138.5M
By Alison Stateman May 3, 2019 11:42 am
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Boston-based TA Realty shelled out $138.5 million for a Class-A soon-to-be-vacant office building at 101 Continental Boulevard in El Segundo in a sale that closed on Wednesday, according to a release from Newmark Knight Frank, which represented the seller, Phoenix-based VEREIT.
TA Realty was self-represented.
“The marketing process for 101 Continental was highly competitive and a reflection of the abundance of value-add capital and the scarcity of value-add investment opportunities in gateway West Coast markets,” Kevin Shannon, co-head of of NKF, said in the release. (In addition to Shannon, Ken White, Rob Hannan, Laura Stumm and Michael Moll represented VEREIT.)
A spokeswoman for TA Realty declined to offer further details.
VEREIT purchased the 340,000-square-foot property in 2014 for $98 million, which was fully leased by Northrop Grumman. The aerospace giant will be vacating the property upon its lease expiration this month, at which point the buyer is planning to undergo a comprehensive building renovation.
“Based on the strength of the El Segundo office market and the quality of the building, we were able to achieve over $400 per square foot sale price. Disposing of this property decreased office exposure and strengthened VEREIT’s portfolio,” Thomas W. Roberts, chief investment officer, VEREIT, said in the release.
