FOR IMMEDIATE RELEASE
Properties include 107,000 square feet of medical office space
LOS ANGELES – May 16, 2022 – Stockdale Capital Partners (“Stockdale”), a Los Angeles-based, vertically-integrated real estate investment firm, announced that it sold two medical office properties at 9090 Wilshire Blvd. in Beverly Hills and at 2825 Santa Monica Blvd. in Santa Monica in a $156 million deal that closed on April 29, 2022. The total square footage of the two properties is approximately 107,000 square feet.
“The sale of these two prime West L.A. properties is part of Stockdale Capital Partners’ continued medical office strategy,” said Dan Michaels, Managing Director of Stockdale Capital Partners. “Being able to execute our value-add initiatives, which included a renovation of both assets, as well as capitalize on the growing demand for medical office product has enabled us to generate a significant return on our investment.”
“It’s incredibly rare for two assets of this caliber to be marketed as a portfolio,” said Chris Bodnar, Vice Chairman, CBRE, Inc. “This was truly a once-in-a-generation opportunity.”
The 9090 Wilshire Blvd. property is a three-story medical office building located at the corner of Wilshire Blvd. and Doheny Dr. Close to both the Beverly Hills Triangle and the Cedars-Sinai Medical Center, the property represents one of only a handful of true, institutional-quality medical office buildings in the entire city of Beverly Hills. Due to the city’s medical office moratorium enacted in 2011, a shortage of medical office space has driven vacancy rates below 3%, all while pushing medical office rents to some of the highest levels nationwide. 9090 Wilshire features a two-story, comprehensive oncology clinical and outpatient treatment center operated by Cedars-Sinai’s medical foundation, as well as a ground floor surgery center anchored by some of the most prolific surgeons in the Beverly Hills area, specializing in ophthalmologic and orthopedic procedures.
“Both assets are extremely well-located in strong, system-driven markets,” said Angie Weber, First Vice President of CBRE, Inc., who leased the properties on behalf of Stockdale Capital Partners for both assets. “The tenant base in both buildings is strong and sophisticated, led by Cedars-Sinai Medical Center for the 9090 Wilshire Blvd. property and by UCLA for the 2825 Santa Monica Blvd. property. It has been a pleasure working with the Stockdale team.”
The 2825 Santa Monica Blvd. property is a three-story medical office and research building anchored by UCLA’s Translational Genomic Research Program focusing on gene-specific cancer treatments and research. The property is just east of Providence St. John’s Medical Center and has prominent visibility and access from Santa Monica Blvd. Along with UCLA’s research facilities, the property also houses Dr. John Jain of Santa Monica Fertility, one of the Los Angeles area’s most preeminent fertility specialists. Dr. Jain’s practice, Santa Monica Fertility, includes both a surgery center and a clinic. 2825 Santa Monica Blvd. underwent several million dollars of capital improvements, including modernization of the building interior and exterior. Stockdale Capital Partners also repositioned the property in an increasingly tight medical office market where rents have increased by more than 20% in the past four years.
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About Stockdale Capital Partners
Stockdale Capital Partners is a vertically-integrated real estate investment firm with a 30-year history of investing in commercial real estate across multiple asset classes throughout the Southwest. The company is an owner-operator specializing in the redevelopment and repositioning of real estate assets with expertise in revitalizing urban properties of all types. The firm currently manages approximately $1.25 billion in AUM on behalf of several joint ventures, as well as a discretionary closed-end fund. For more information, please visit our website at www.stockdalecapital.com
Contact:
David Gershwin
david@davidgershwin.com
323.791.2319
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