Newmark arranges sale of office building in Newport Beach, Calif. For $ 64 million
November 4, 2021 9:00 AM
Newmark announced that it has completed the sale of 1301 Dove, a 214,858 square foot, 10 story Class A office building at 1301 Dove Street in Newport Beach, Calif., for $ 64 million, or $ 298 per square foot. The property was the subject of an off-market transaction.
Newmark Co-Head of US Capital Markets Kevin Shannon, Executive Managing Directors Paul Jones, Brunson Howard and Ken White and Director Brandon White represented the seller, a Global Real Estate Investment Advisor. The buyer, a joint venture between Ocean West Capital Partners and Rockwood Capital, was looking for the rare opportunity to acquire a value-added Class A office building with a Newport Beach address.
“With an address that benefits from the prestigious name of Newport Beach, as well as the ideal location in the Metro Airport sub-market and a fully renovated Class A building, this property will enjoy the benefits of being able to tap two main drivers of demand: tenants wishing to land in Newport Beach and those wishing to work in the Orange County CBD, ”Jones said.
Shannon added: “1301 Dove allowed the buyer to take advantage of a rare opportunity to purchase a value-added deal that also benefited from a recent full repositioning plan.”
Newmark Vice President David Milestone and Senior Managing Director Brett Green arranged the financing on behalf of Ocean West and Rockwood Capital.
Originally built in 1980, the property underwent a transformational $ 11.5 million capital renovation plan in 2018 that included a complete lobby upgrade, living room implementation tenants / conference center, upstairs common area renovations, elevator cabin upgrades, electric vehicle charging station additions, base building upgrades, site upgrades and tenant improvements, including a speculative suites program. With Alliant Insurance’s known upcoming vacancy, the multi-tenant property is 49% leased, providing the new owner with the ability to market leading signage opportunities with a private outdoor patio space unique in the market.
“We are delighted with the off-market acquisition of 1301 Dove and thank the Newmark team for providing this opportunity,” said Ryan Tucker, Director of Ocean West Capital Partners. “Our attractive base and planned additional renovations, including a state-of-the-art tenant fitness center and the activation of a 7,000 square foot outdoor patio, will allow us to aggressively pursue tenants eager to single custom block of 100,000 square feet of contiguous space. in Newport Beach with signage on top of the building and a private outdoor patio, an ideal post-Covid work environment. ”
The property’s location in the Greater Airport Area submarket provides accessibility throughout the greater Orange County metro. Commuters can easily reach commercial hubs in the airport area via arterial freeways, including Interstate 405 and California State Routes 55 and 73. The location also provides easy access to John Wayne Airport. The accessible location coupled with the presence of the University of California at Irvine has continued to attract a highly educated and skilled workforce to the region.
According to Newmark Research, the Orange County office market is on the verge of a post-pandemic recovery given its strong demographics, growing technology base, and diverse occupancy pool that spans multiple industries. The availability of subleases in the market has likely peaked, and leasing fundamentals are expected to improve later this year through 2022, as employees return to the office and more businesses start. to meet long-term real estate needs.
 Dba Newmark Knight Frank in California
Newmark Group, Inc. (Nasdaq: NMRK), along with its subsidiaries (“Newmark”), is a global leader in commercial real estate, seamlessly fueling every phase of the property lifecycle. Newmark’s full range of services and products are uniquely tailored to suit every customer, from owners to occupants, investors to founders, and startups to blue chip businesses. Combining the platform’s global reach with market intelligence in established and emerging real estate markets, Newmark provides superior service to clients across the industry. Newmark generated revenues of over $ 2.2 billion for the twelve months ending June 30, 2021. The offices owned by the Newmark company, as well as its business partners, operate from more than 160 offices with approximately 6,200 professionals worldwide. To learn more, visit nmrk.com or follow @newbrand.
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