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Starwood acquires El Segundo office complex for $174M
DivcoWest bought the property in 2014 for $133M
Starwood Capital is buying an El Segundo office complex from DivcoWest for about $174 million, or $354 per square foot.
Starwood, headed by Barry Sternlicht, is partnering with Artisan Realty of Santa Monica in the deal, according to REAlert. The property at 300 and 400 Continental Avenue, dubbed Continental & Grand, hit the market in April.
Built in 1986, the two six-story buildings are about 80 percent leased. Major tenants include the Los Angeles Kings hockey team, Estee Lauder, and Crain Communications.
San Francisco-based DivcoWest bought the buildings from a Tishman Speyer partnership in 2014 for $133 million, or $273 per square foot. The firm has since spent $7.5 million on improvements, such as renovations to the common areas.
Eastdil Secured brokered the sale on behalf of DivcoWest in the most recent transaction.
The deal is just the latest for El Segundo. In February, Live Oak Properties acquired a nearby seven-story office building at 2300 E. Imperial Highway for $52 million from V.C.I. Corporation.
Last year, DivcoWest bought the Telephone Building in Santa Monica for $52 million from Pacshore Partners. [REAlert] — Cathaleen Chen