Sterling Organization pays $24M for Huntington Park shopping center

The firm recently deployed nearly $60M in LA on 2 similar projects

TRD LOS ANGELES /
Sep.September 13, 2018 01:00 PM
Margarita Plaza and Sterling Organization CEO Brian Kosoy

The Sterling Organization has followed a big retail purchase in Westlake Village with an encore in Huntington Park.

The Palm Beach, Florida-based firm paid $23.8 million for Margarita Plaza, a 76,800-square-foot shopping center at 6920 Santa Fe Avenue, about four miles south of Downtown L.A.

The property, which is 93 percent occupied, is anchored by a 43,350-square-foot Food 4 Less grocery store. Other tenants include a Little Caesar’s Pizza and Jackson Hewitt tax preparation office. The sale comes out to $309 per square foot.

Last month, Sterling topped L.A. County’s retail investment sales list with the $35 million purchase of the North Ranch Gateway shopping center in Westlake Village.

The Margarita Plaza deal was an off-market sale. The seller was Oakland-based Rubenstein Capital LLC, which first bought a stake in the property in 2007 as part of a larger investment group that paid $15.8 million. Rubenstein bought out its partners in 2009. The firm took out a $12.5 million mortgage on the property with First Foundation Bank in 2016.

Sterling made the purchase for its institutional grocery-anchored shopping center core fund, Sterling United Properties I, LP. That’s a different fund than the value-add fund it started this year, which it used to buy the shopping center in Westlake Village. Sterling closed that fund in July with $500 million to buy up ailing shopping centers. 

The firm landed in L.A. in 2016 with the purchase of a 4,700-square-foot storefront in Beverly Hills for $23.5 million. It’s made three big moves in the southeastern U.S. this year, including the $72.8 million sale of an Orlando-area shopping center it purchased in 2013 for $45.1 million.


Related Articles

arrow_forward_ios

Blackstone affiliate nabs Home Depot-anchored retail center

Rancho Plaza Vista sold for $11 million

Local dentist picks up Palmdale retail space for $11M

Petra Durnin, CBRE’s director of research for the Pacific southwest, and the Whole Foods grocery store that opened at the Vineyards at Porter Ranch (Credit: CBRE)

LA retail market in Q2 clawed back from an abysmal Q1, report shows

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

LA Mayor Eric Garcetti

Down goes Measure EE: Property tax referendum routed at polls

CIM Group Founders, Shaul Kuba, Richard Ressler, and Avi Shemesh and 4750 Wilshire Boulevard (Credit: Google Maps)

CIM Group lists part of its Miracle Mile office campus

arrow_forward_ios