News By Tag
News By Place
Vista Investment Group Acquires San Diego Office Building
Plaza 2020 is situated on a 3.16-acre site at 2020 Camino del Rio North adjacent to Interstate 8, with immediate access to SR-163. It is also within walking distance to the Westfield Mission Valley Mall and to Metropolitan Transit System's Rio Vista Trolley Station, providing access to Downtown San Diego, Amtrak and the Coaster commuter train. One of the city's more important retail and entertainment districts, Mission Valley is benefiting from more than $3 billion of recent and planned investment in commercial office, retail and residential development.
Built in 1970, Plaza 2020 was extensively renovated in 2000, with a complete redesign of the exterior façade, upgraded lobby and common areas along with new mechanical, electrical and plumbing systems. The 10-story office tower also features more than 10,000 square feet of tenant-serving ground floor retail. The building was above 95 percent leased at closing and offered a 7.8% cap rate on in-place income. Major office tenants at Plaza 2020 include the University of Redlands and American Preferred Lending both of which occupy full floors.
"Mission Valley should see strong office demand in the coming years as a surge of residential and retail development is delivered into the sub-market. Plaza 2020 fits well within Vista's strategy of owning well-located middle market assets, below replacement cost, with strong upside potential," said Vista President Jonathan Barach.
Vista plans to make improvements to the building's lobby, common areas, restrooms, and front entryway in order to attract high quality tenants and compete more closely with Class A product within the submarket.
This is Vista's second significant investment in San Diego since entering the market in January, when it acquired an 80-unit apartment community in La Mesa for $19 million.
The acquisition of Plaza 2020 was financed with a $16.6 million fixed-rate life company loan arranged by Holliday Fenoglio Fowler, L.P. (HFF), led by Senior Director Marc Schillinger in the firm's Los Angeles office. HFF's investment sales team of senior director Nick Frasco, senior managing directors Nick Psyllos and Ryan Gallgher, associate Kara Mathis and analyst Taylor Bergthold marketed the property for sale on behalf of the seller and secured the buyer.
Attorney Andrew Kirsh, of the Los Angeles-based law firm Sklar Kirsh, represented Vista Investment Group in the transaction.
About Vista Investment Group
Vista Investment Group, LLC (http://www.vistainvestmentgroup.com) is a privately held real estate investment firm engaged in the acquisition and active management of commercial real estate in the western United States. Established in 2008, and headquartered in Santa Monica, CA, the Company focuses on value-add and opportunistic strategies in the multifamily, mixed-use and office sectors. Vista's portfolio, primarily located in urban infill markets within California, includes approximately 1,200 multifamily units and 750,000 square feet of office space.
HFF and its affiliates operate out of 24 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment sales, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. Holliday Fenoglio Fowler, L.P., HFF Real Estate Limited (collectively, "HFF"), HFF Securities L.P. and HFF Securities Limited (collectively, "HFFS") are owned by HFF, Inc. For more information, please visit hfflp.com or follow HFF on Twitter @HFF (https://twitter.com/
DB&R Marketing Communications, Inc.