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BKM Recapitalizes Three Otay Mesa Business Parks
BKM Capital Partners has recapitalized three San Diego business parks from its BKM Industrial Value Fund II, LP with Tokyu Land US Corporation for $76.9 million. The recapitalization represents the first joint venture between BKM and Tokyu Land US, a real estate investment and operating company owned by Japan-based Tokyu Fudosan Holdings Group.
Totaling 342,073 square feet, the small-bay facilities are located in San Diego’s Otay Mesa submarket. The three properties involved in this recapitalization include the three-building Borderpoint Business Park located at 6754, 6774, and 6794 Calle de Linea; the two-building Otay Crossing Business Park at
2340 Enrico Fermi Dr. & 10025 Siempre Viva Rd.; and the two-building Otay Distribution Center at
6987 and 6995 Calle de Linea. They’re leased to 21 tenants with 2.2 years of WALT and rents approximately 17% below current market rates.
“Our repositioning efforts transformed the Otay Mesa Industrial Portfolio into a highly functional and desirable product,” said Brett Turner, senior managing director, acquisitions & dispositions at BKM.
- ◦Financing
