Pacshore Partners and GreenOak Real Estate just sold a three-story building in Downtown Santa Monica for $33 million, or about $830 per square foot, The Real Deal has learned.
The buyer of the Art Deco structure at 631 Wilshire Boulevard is Palisades Capital Partners, a real estate investment firm based in West L.A.
Kevin Shannon of NGKF Capital Markets represented the seller with colleagues Rob Hannan and Ken White, as well as Michael Longo of CBRE. T.C. Macker of Coldwell Banker Commercial was the buyer’s agent.
Built in 1958, the mixed-use structure contains retail and commercial spaces, with residential units above them. The ground floor is 11,005 square feet of retail, the second floor is 17,937 square feet of offices and the third floor includes four live-work loft units, totaling 10,826 square feet, according to marketing materials.
The overall property is about 85 percent leased, he added. Tenants include a Chase Bank, coffeehouse, juicery, and Mendocino Farms restaurant. The price tag of $830 per square foot falls in line with the 12 month submarket average of $832 per square foot, according to CoStar.
Pacshore Partners, a Los Angeles-based real estate investment firm run by Philip Orosco, listed another Santa Monica commercial property in April — a 60,000-square-foot office at the Telephone Building at 1314 Seventh Street.
Pacshore and GreenOak were motivated to sell simply because they had reached the end of their business plan for the property, Shannon said.
Last year, Palisades Capital bought a 5.3-acre Echo Park property at 1111 West Sunset Boulevard for $30 million from the Holy Hill Community Church in the midst of the church’s bankruptcy.
After filing demolition plans for the site, Palisades was challenged by developer Yuval Bar-Zemer. In July, the developer nominated 1111 West Sunset for landmark status in order to protect it from being razed, but the city commission rejected the nomination in September.
Bar-Zemer’s company Linear City converted an adjacent structure at 1115 West Sunset Boulevard — which it acquired from the church in 2011 — into the luxury Elysian Apartments.
Palisades is also behind the 19-unit AIRE residences in Santa Monica and the 56-unit Liddel at 10777 Wilshire Boulevard.
This story has been updated to add input from Palisades Capital Partners about the firm and to reflect that no multifamily plans were officially filed for 1111 Sunset.