Newmark has completed the $39 million off-market sale of Park Del Amo, a three-building, 204,468-square-foot office campus located at 2355 and 2377 Crenshaw Blvd. in Torrance, CA.
Newmark’s Co-Head of U.S. Capital Markets Kevin Shannon, Executive Managing Director Ken White, and Senior Managing Director Michael Moore represented the seller, TA Associates. The buyer, Omninet, a venture capital firm in Beverly Hills, was self-represented.
“The buyer was attracted to the asset’s central location, given its proximity to two major arterials and convenient access to the deep Central Torrance amenity base,” said Moore. “Additionally, the Palos Verdes Peninsula area offers abundant executive housing, which is a compelling draw for recruiting and retention of senior talent.”
Shannon added, “This sale price represents a substantial discount to replacement cost and a massive basis advantage compared to the adjacent El Segundo office submarket.”
Built in 1985, the property is situated on 12.78 acres and is 92 percent occupied by multiple tenants including Keenan & Associates, which occupies 43 percent of the property and recently signed a five-year lease extension.
Park Del Amo is situated at the corner of Crenshaw and Sepulveda Boulevards and is equidistant to Los Angeles International Airport (LAX) and the Ports of Los Angeles/Long Beach. The campus is also near the 405, 110 and 91 freeways.
The Greater Los Angeles office market showed a strong first quarter, even amid COVID-19, according to Newmark’s 1Q20 Los Angeles Office Market report. Torrance currently has no new office product under construction and has a low vacancy rate of 8.1 percent - the lowest within the South Bay market.
Newmark (“Newmark”), operated by Newmark Group, Inc. (“Newmark Group”) (NASDAQ: NMRK), is one of the world’s leading and most trusted commercial real estate advisory firms, offering a complete suite of services and products for both owners and occupiers. Together with London-based partner Knight Frank and independently-owned offices, Newmark’s 18,000 professionals operate from approximately 480 offices on six continents. Newmark’s investor/owner services and products include investment sales, agency leasing, property management, valuation and advisory, diligence, underwriting, government-sponsored enterprise lending, loan servicing, debt and structured finance and loan sales. Occupier services and products include tenant representation, real estate management technology systems, workplace and occupancy strategy, global corporate services consulting, project management, lease administration and facilities management. For further information, visit www.ngkf.com.
Discussion of Forward-Looking Statements about Newmark
Statements in this document regarding Newmark that are not historical facts are “forward-looking statements” that involve risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements. Except as required by law, Newmark undertakes no obligation to update any forward-looking statements. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see Newmark’s Securities and Exchange Commission filings, including, but not limited to, the risk factors and Special Note on Forward-Looking Information set forth in these filings and any updates to such risk factors and Special Note on Forward-Looking Information contained in subsequent reports on Form 10-K, Form 10-Q or Form 8-K.