Pasadena Office High-Rise Trades for $82 Mil
A joint venture between Barker Pacific Group (BPG) and Rockwood Capital has acquired 301 N Lake Avenue, a 227k sf, Class A office building in Pasadena. The 11-story high-rise, north of Colorado Blvd at the 210 Fwy, traded for $82 mil, or $361/sf.
Built in 1989, the property is located along one of Pasadena's most prominent and active thoroughfares. Previously operated by Washington Capital Management on behalf of an unidentified seller, the building is in pristine condition.
“We’re excited to return to Pasadena,” said Michael Barker, BPG’s Managing Director. “301 N Lake is in a fantastic location, and there is a great opportunity to take advantage of the city’s strong market conditions.”
CBRE’s Mike Longo and Sean Sullivan brokered the sale of the property. Debt financing was provided by JP Morgan.
Pasadena is currently seeing a boom in office market activity, with nearly 230k sf of positive net absorption through the second quarter of 2018. The area is picking up steam, with over 20 new deals in the last quarter and several large tenants looking for space. Average office rents in the city are still below their previous peak. The BPG-led joint venture plans to make strategic improvements to modernize the property, adding value while taking advantage of market conditions and bringing businesses to the area.
Rockwood Capital’s John MacDonald noted, “This property is a great fit with one of Rockwood’s key investment strategies - investing in dynamic mixed-use urban environments in properties that benefit from public transportation. We are confident in the long-term desirability of office space in downtown Pasadena.”