Santa Monica-based investment firm Montana Avenue Capital Partners has acquired a 122,734-square-foot office building in Torrance as part of a joint venture with Contrarian Capital Management,The Real Deal has learned.
Montana Avenue and the Connecticut-based real estate management company forked out $17.3 million on the two-story property at 19701 Hamilton Avenue.
The seller was an LLC connected to Beverly Hills-based Latitude Management Real Estate.
“Our basis ensures we can make the capital investment necessary to provide our current and future tenants with the first-rate creative improvements and on-site amenities available in other submarkets,” Montana Vice President Steve Elson said in a statement.
Specifically, planned improvements include bathroom renovations, the addition of a tenant cafe and exposing the wood truss ceilings of the 1984 structure.
At the time of the sale, the property was 60 percent leased. Tenants include the Honda Federal Credit Union, nonprofit mental health organization Counseling 4 Kids, detective agency Pinkerton Government Services and UPS Supply Chain Solutions, according to CoStar.
“[Montana Avenue] has a proven track record of buying, renovating and leasing creative office projects in L.A. and this asset presents another immediate repositioning and lease-up opportunity,” Elson told The Real Deal in an email statement.
Montana Avenue has quite the portfolio of commercial properties in the South Bay. The firm most recently acquired the three-building office campus Torrance Pointe for $25.5 million and it bought a 50,000-square-foot office and industrial building, also in Redondo Beach, for $9.6 million last year.