San Diego Business Journal

Law Firms to Keep the Upper Hand in Property Negotiations

Monday, November 26, 2012

The housing commission invested $7.11 million to acquire the land for the apartments, and provided a loan toward development. Officials said the housing commission will have an option to buy the apartments after a 15-year tax-credit compliance period.

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Local Retail REIT Goes Shopping: Retail Opportunity Investments Corp. moved its headquarters from suburban New York to San Diego earlier this year. Now it is moving to build up its portfolio of shopping centers.

The REIT recently confirmed that it acquired the Bay Plaza retail center in National City for approximately $21.5 million. The seller was Irvine-based Pacific Castle Inc., according to CoStar Group.

The two-building center, located at 1420-1430 E. Plaza Blvd., was 88 percent occupied at the time of sale. The 73,025-square-foot center has 36 tenants, including Big Lots, Jo-Ann Fabric and Seafood City. Broker Reza Investment Group Inc. represented the seller, and ROIC represented itself in the transaction.

Retail Opportunity Investments Corp., which trades as ROIC on the Nasdaq stock exchange, owns more than 40 shopping centers nationwide, totaling more than 4.3 million square feet. The REIT said in a statement that it has purchased 10 shopping centers totaling $156.2 million so far this year, and has binding contracts to acquire three centers in separate transactions for a total of $58 million.

Those include a contract to acquire the 38,000-square-foot Bernardo Heights Plaza in Rancho Bernardo for $12.4 million. That center is anchored by Sprouts Farmers Market and is 100 percent leased, the company said.

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Beverly Hills Apartment Buyer Makes Local Entrance: Triumph Properties Group of Beverly Hills has acquired the 163-unit Villa Real Apartments in Carlsbad for $20.1 million. It is the first San Diego County purchase by the family owned investment and development company, which owns more than 1,350 multifamily units throughout Southern California and has acquired $50 million in assets during 2012.

Noah Hochman, the investment firm’s vice president of acquisitions and dispositions, said the Carlsbad property was acquired from San Diego-based receiver Douglas Wilson Cos. The 14-building community, built in 1979, is located on 10.5 acres at 2701 Avenida de Anita.

Send commercial real estate and development news of general local interest to Lou Hirsh via email at lhirsh@sdbj.com. He can be reached at 858-277-8904.

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