Regent Properties Adds $420M Office Portfolio to its Coffers
Regent Properties recently acquired a portfolio of four high-rise commercial office buildings located in downtown San Diego for $420 million. The transaction reflects a price of $281 per square foot.
Further terms of the sale were not disclosed. This acquisition is Regent’s first investment via Regent Opportunity Fund V.
The properties, 1 Columbia Place, 701 B Street, 2 Columbia Place and 707 Broadway, represent a combined total of 1.5 million square feet of commercial space or approximately 16 percent of all class- A/B office inventory in downtown San Diego. The portfolio also includes the 6th and A Parking Garage.
“We are pleased to have acquired this portfolio of assets in such a supply-constrained metropolitan area and look forward to being an integral part of the city’s thriving central business district,” said Eric Fleiss, CEO of Regent Properties. “With this investment, Regent is continuing its push to acquire high-quality office projects across the Sunbelt. We are seeking to purchase over $2 billion of assets over the next 24 months.”
Prior to Regent’s acquisition, the previous owner had extensively renovated the portfolio’s common areas.
“As an emerging gateway city, San Diego has the strongest relative value compared to any other tier-one location on the West Coast,” said Sam Kraus, Regent Properties’ EVP and head of acquisitions. “The opportunity to acquire these particular assets to improve, lease-up and stabilize them was especially compelling, given our conviction in the long-term growth prospects of downtown San Diego.”