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Newmark has advised on a new joint venture agreement for California Market Center (CMC), an iconic 1.8-million-square-foot property in the Fashion District of downtown Los Angeles. Covering an entire city block and located at the corner of 9th and Main at 110 E 9th Street, the complex consists of three interconnected 13-story buildings. Since it was developed in 1963, the property has consisted of showrooms for the region’s wholesale apparel industry.
Newmark’s Capital Markets President, West Coast Kevin Shannon and Executive Managing Director Ken White represented both parties in the off-market agreement. A private equity fund of Brookfield, downtown Los Angeles’ biggest landlord, acquired an interest in the asset as part of a joint venture with Jamison Properties. Brookfield will take control of the asset’s operations
“CMC is a value-add creative office format product which is a nice complement to Brookfield’s Class A vertical portfolio in downtown,” said Shannon. “Over the next few months the new ownership will embark on a major repositioning of the asset which is anticipated to be completed in 2019.”
As part of the vision, CMC’s ownership will completely modernize the complex’s ground-floor, consumer experience along Main and West 9th Streets, integrating local and regional streel-level retailers, curated year-round site activations, and amplify connectivity to the surrounding neighborhood.
Brookfield, which currently owns 8.6 million square feet of Class A office space in downtown Los Angeles, is one of the world’s largest owners, developers and operators of commercial real estate across North America, Europe, Asia, Brazil, India, U.A.E. and Australia. In the U.S. it owns and operates 60 properties totaling 50 million square feet across seven of the largest cities in the country.
About Newmark
Newmark is one of the world’s leading commercial real estate advisory firms. Together with London-based partner Knight Frank and independently-owned offices, Newmark’s 14,100 professionals operate from more than 400 offices in established and emerging property markets on six continents.
With roots dating back to 1929, Newmark’s strong foundation makes it one of the most trusted names in commercial real estate. Newmark’s full-service platform comprises BGC’s real estate services segment, offering commercial real estate tenants, landlords, investors and developers a wide range of services including leasing; capital markets services, including investment sales, debt placement, appraisal, and valuation services; commercial mortgage brokerage services; as well as corporate advisory services, consulting, project and development management, and property and corporate facilities management services. For further information, visit www.ngkf.com.
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