Philip Orosco’s firm is cashing out of four LA properties for roughly $222M

Los Angeles /
Jan.January 25, 2017 06:37 PM

UPDATED, January 27, 2016, 11:10 a.m.: Sell much? Philip Orosco is on a spree, cashing out of four Westside properties totaling roughly $222 million, The Real Deal has learned.

Orosco’s investment firm Pacshore Partners is in advanced talks to sell the Telephone Building at 1314 Seventh Street in Santa Monica for roughly $52 million, or $867 a square foot, to San Francisco-based DivcoWest Real Estate Investments in a deal expected to close next week, sources said.

In a separate deal that closed Tuesday, Pacshore, in partnership with Canyon Catalyst Fund, sold three creative office buildings totaling roughly 205,000 square feet to LaSalle Investment Management, according to a release from CBRE. The portfolio price was in the ballpark of $170 million, or $829 a square foot, sources said.

The Telephone Building sale

Pacshore acquired the historic Telephone Building for $19.5 million in 2012, in partnership with Boston-based Alcion Ventures, CoStar shows. It spent three years restoring, updating and seismically retrofitting the 60,000-square-foot property.

The $867 per square foot price Divco paid was high, even for booming Santa Monica, sources said — considering Verizon maintained a condominium stake when it sold the building to Pacshore. The rest of the building is fully leased, and rents for around $5.50 a square foot, sources said.

HFF began marketing the property in the summer of 2016, seeking bids around $60 million. 

The three-building portfolio

The partnership between Pacshore and Canyon — the CalPERS fund managed by Canyon Partners Real Estate — smiled all the way to the bank Tuesday when they handed off a portfolio of properties to LaSalle for more than twice what it paid.

The partners paid $72 million for the properties, which they acquired between 2013 and 2015. Two of them are in Playa Vista, at 5340 Alla Road and 12901 Jefferson Boulevard. The third, known as the Enclave, is in Malibu at 22619 Pacific Coast Highway.

Sean Sullivan, Todd Tydlaska, and Michael Longo of CBRE brokered its sale to LaSalle. Brad Zampa procured the financing for the buyer, which purchased the properties on behalf of a pension fund client.

LaSalle plans to hold onto the portfolio for the long term, Sullivan said.

Correction: A previous version of this story said the three creative office properties were purchased  in 2015. The were purchased between 2013 and 2015 for $72 million. 


Related Articles

arrow_forward_ios
Colorado Campus at 2041-2115 Colorado Avenue and Northwestern Mutual CEO John E. Schlifske

Northwestern Mutual picks up Santa Monica office campus for $166M

Northwestern Mutual picks up Santa Monica office campus for $166M
Macerich CEO Thomas O’Hern and Santa Monica Place mall

Here’s what tenants are paying at Macerich’s Santa Monica Place

Here’s what tenants are paying at Macerich’s Santa Monica Place
CEO of Amazon Web Services Andy Jassy

A top Amazon exec buys in Santa Monica

A top Amazon exec buys in Santa Monica
WS Communities CEO Scott Walter and VP of Finance Gregory Proniloff, Madison Realty Capital’s Josh Zegen, 1433 Euclid Street in Santa Monica; and rendering of mixed-use project at 3030 Nebraska Avenue in Santa Monica (Credit: Google Maps and Madison Realty Capital)

WS Communities nabs $150M loan for six renovations and a development site

WS Communities nabs $150M loan for six renovations and a development site
6156 Ramirez Canyon Road and 20 37th Place (Credit: Redfin)

This way to the beach: Homes next to ocean topped priciest sales

This way to the beach: Homes next to ocean topped priciest sales
Shops were looted in Santa Monica (Credit: Mario Tama/Getty Images)

Looters cleared out retailers while police clashed with protesters in Santa Monica and Long Beach

Looters cleared out retailers while police clashed with protesters in Santa Monica and Long Beach
Related California CEO William Witte and the project site (Credit: Google Maps)

Related California eyes latest project in Downtown Santa Monica

Related California eyes latest project in Downtown Santa Monica
From left: Alan, Adam, and Alex Shekhter, with renderings of 501 Broadway and 601 Colorado (Credit: WS Communities and LinkedIn)

Shekhters’ WS Communities lands $157M loan to build 850 rental units in Santa Monica

Shekhters’ WS Communities lands $157M loan to build 850 rental units in Santa Monica
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...