Ground lease for 138-unit complex in Whittier sells to East Coast firm for $28M

Bascom Groups continues selling its multi-family assets

Otto Ozen and Citrus Court (Credit: The Mogharebi Group)
Otto Ozen and Citrus Court (Credit: The Mogharebi Group)

An East Coast firm has purchased a ground lease from The Bascom Group for the 138-unit Citrus Court community in Whittier.

A source familiar with the matter told The Real Deal that an undisclosed buyer purchased the lease for around $28 million. The sale closed earlier this month.

Irvine-based Bascom Group acquired the lease at 8121 Broadway Avenue for $13.4 million in 2014, according to a press release from The Mogharebi Group (TMG), which represented both parties in the transaction. The real estate website Multi-Housing News first reported the deal.

The property is on a ground lease through 2064, which means the land and property are owned by different entities. Ground leases give the lessee the right to build or redevelop property, or collect rents.

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Otto Ozen, executive vice president at Costa Mesa-based TMG, said Bascom started improving Citrus Court with new amenities, and the new buyer plans to finish the renovations.

The multi-family community was built in 1967 and spans five acres. Units rent from $1,350-$2,020, and the complex features two pools, a pet park, a fitness center, and a business center.

Ozen pointed to Whittier’s education system and its improving retail mix as reasons to invest in the 15-square-mile city that’s southeast of Downtown Los Angeles near Pico Rivera.

Earlier this year, Bascom Group sold an 89-unit condominium complex in San Pedro for $36.3 million.