BPG, Kingsbarn Realty acquire 560,000 SQFT Griffin Towers in Santa Ana

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Barker Pacific Group and its JV partner Kingsbarn Realty Capital purchased Santa Ana’s Griffin Towers, two 13-story office properties at 5 and 6 Hutton Centre Drive, for $82M.

That represents an approximately $47M loss for the property’s seller, Blackstone.

Blackstone bought the towers in 2014 from Lincoln Property Co. and Angelo Gordon & Co., paying $129M, according to reports at the time. County property records indicate the towers have not changed hands since then and the owner of the towers is listed as an LLC connected to Blackstone in public records, since the recent sale has not yet posted.

The towers hold about 560K SF of office and count UKG, Michael Baker International, Psomas, Nations Direct Mortgage, HNTB and the Ayn Rand Institute as tenants.

Barker Pacific announced the sale and price but did not disclose the seller. Kevin Shannon, Paul Jones and Brandon White of Newmark represented the seller. David Milestone and Henry Cassiday of Newmark represented the buyer in its debt financing efforts.

The Orange County office market had an average asking rent of $2.67 pre SF at the end of the first quarter of this year, compared with the national average of $2.92 per SF, according to Kidder Mathews. The county’s vacancy rate is 12.6% which KM classified as “substantial.”

Bianca Barragan

Staff Reporter - Biznow

ABOUT GRIFFIN TOWERS
Griffin Towers are landmark 13-story twin office towers located at 5 and 6 Hutton Centre Drive in the prestigious South Metro area of Santa Ana, California. Built in 1987, the towers offer about 560,000 rentable square feet of Class A office space with flexible and efficient floor plans, as well as a fitness center with shower and locker rooms, a conference center with full catering kitchenette, and six-story parking structure with 1846 spaces and four EV charging stations. Barker Pacific Group (BPG), a commercial developer based in Los Angeles with numerous assets throughout the Western U.S., acquired the building in March 2023. Major tenants include, UKG, Michael Baker International, Ferry International, Psomas, Nation’s Direct Mortgage, HNTB, and the Ayn Rand Institute.

ABOUT BARKER PACIFIC GROUP
Barker Pacific Group (BPG) was founded more than 39 years ago and is comprised of experienced real estate professionals active in asset management, acquisitions, and development of major commercial projects. BPG developed 100 First Plaza in San Francisco and also owns and manages One Sansome Street in San Francisco. Some of the firm’s other notable projects include Hamilton Landing and Rowland Plaza in Marin County; The Fine Arts Building, 626 Wilshire Blvd., and 5055 Wilshire Blvd. in Los Angeles; 101 Continental in El Segundo, Calif.; City Square in Phoenix; and Tower 300 in Las Vegas. Additionally, BPG manages Storage Solutions, a growing leader in the self-storage industry, offering consumers and businesses a variety of self-storage space and supplies throughout California.

BPG also has self-storage facilities in Arizona. BPG has offices in San Francisco, Los Angeles, Phoenix, Sacramento, and Las Vegas. The company specializes in developing and acquiring institutional quality office, retail, and residential projects in select U.S. cities.