TPG, Strategic Office sell empty Thousand Oaks building at discount

TPG Real Estate Finance Trust and Strategic Office Partners have sold half of an office complex in Thousand Oaks for $14.9 million — a 25 percent lower price on a per-square-foot basis than what TPG bought it for, The Real Deal has learned. 

Ventura County Fire Department bought the office property at 2400 Conejo Spectrum Street, Newmark announced on Tuesday, without disclosing the seller. A team led by Newmark’s Kevin Shannon brokered the deal. 

TPG and Strategic still own the second building at the complex, at 2380 Conejo Spectrum Street, which spans roughly 100,000 square feet. 

The deal came out to $150 per square foot — in line with other recent office sales across the greater Los Angeles region. Almost all have traded at values well below what they last sold for. 

In 2019, TPG and Strategic bought the roughly 198,000-square-foot complex for $41.35 million, records show, or roughly $200 per square foot, after the former owners, Harbor Associates and Blue Vista Capital Management, renovated the property. 

At the time, Sage Publications and Atara Biotherapeutics together occupied both buildings. 

Now, 2400 Conejo Spectrum is entirely vacant. 

The sale to the fire department is an example of “a growing trend of owner-users capitalizing on pricing dislocation in the market,” Newmark’s Laura Stumm, who worked on the deal, said in a statement. 

The location will serve as the department’s administrative headquarters. 

Though few office deals have traded this year, as rising interest rates have made it harder to obtain financing and remote work continues to take hold, some have squeezed in deals during the final weeks of the year.

Earlier this month, Kennedy Wilson sold an office building in Glendale for $136 per square foot, according to property records filed with L.A. County.