Sterling Organization scoops up 86K sf Westlake strip mall

It's the company's first buy via its new value-add fund

Aug.August 28, 2018 09:00 AM
Sterling Organization CEO Brian Kosoy and North Ranch Gateway

The Sterling Organization has picked up a Westlake Village shopping center for $35 million.

The Palm Beach, Florida-based firm paid around $404 per square foot for North Ranch Gateway at 30819 Thousand Oaks Blvd. The purchase was the first made through Sterling Value Add Partners III, LP, an institutional fund.

Sterling closed the value-add fund in July with nearly $500 million to deploy. Investors include endowments, foundations, and private and public pension plans, according to Bisnow.

North Ranch Gateway spans 86,500 square feet and was built in 1989. It recently underwent significant renovations, according to Sterling. A T.J. Maxx discount store anchors the center. The rest of the tenants are mostly national chains, including Bank of America, Dunkin Donuts, Subway, Baja Fresh Mexican Grill, and Domino’s Pizza.

The property is 74 percent leased. Sterling CEO Brian Kosoy said the firm’s plans are to lease the remaining square footage, but did not elaborate further. Property records link the seller to Dallas, Texas investment firm Crow Holdings Capital, led by Bob McClain.

Sterling expanded to Los Angeles three years ago. The firm’s last big transaction was the sale of 456 N. Rodeo Drive in Beverly Hills. The prime retail storefront sold for $110 million to Louis Vuitton Moet Hennessy earlier this year, double what Sterling paid.

The firm owns another Beverly Hills storefront it purchased in 2016 for $23.5 million.

CBRE’s Preston Fetrow and Sam Alison represented Sterling in the Westlake purchase.

Related Articles

LA City Councilmember Gil Cedillo and Jade Enterprises’ Sapphire development (credit: Scott L on Flickr)

Westlake abandoned its affordable housing requirements a decade ago. Things have changed

Carlyle Group co-CEO Kewsong Lee, Holland Partner Group CEO Clyde Holland, and the Sofia Los Angeles (credit: North American Sekisui House, LLC)

Carlyle Group pays $273M for big apartment complex in Westlake

29th Street Capital founder Stan Beraznik, Jason de Guzman, the firm’s senior vice president for acquisitions for L.A., and the three buildings at 131, 143, and 171 S. Burlington Avenue

Westlake apartment portfolio sells a year after tenants battled landlord over rent hike

Medical office building at 2100 W 3rd Street and HTA CEO Scott D. Peters

Stockdale Capital sells Westlake medical office complex for 40% more than it paid

Richard Heyman and May Phutikanit with the project site (Credit: Google Maps and iStock)

Hollywood hotel developer Relevant Group is getting in the affordable housing game

From left: Saeed Nourmand, Michael Nourmand, Grant King and Richard Heyman

Relevant Group sues Nourmand & Associates’ founder, alleging extortion over hotel projects

Centennial founder and CEO Steven Levin with a rendering of the project

Centennial Real Estate approved for sprawling $300M mixed-use village

Apartment complex at 1435 Stanley Avenue and Raintree Partners CEO Jeffrey Allen (Credit: Apartment Finder)

Raintree Partners spends $79M on Glendale multifamily portfolio