Colliers Wins Four-Year Pact to Represent California Lottery
California Lottery Commission Plans to Buy Future Facilities
After a lengthy qualifying process and competitive review, Colliers International has been awarded a contract to represent the California Lottery for the next four years as the state agency transitions from leasing commercial properties throughout the state to owning the buildings it will occupy, company officials announced today.
Under terms of the contract, Colliers will represent the state agency in all real estate transactions and provide real estate advisory services for its real estate portfolio. As part of the contract, Colliers will conduct solicitations for appropriate space, prepare site reviews, conduct market and cost benefit analyses, provide property valuation, and manage the disposition of all real property transactions for the agency, officials said.
Led by Senior Vice President Heath Charamuga, who is based in the brokerage firm’s Sacramento office, other team members and the geographic areas they cover include Senior Vice President Gregory J. Maradei, who leads the Southern California team for Los Angeles, Riverside, San Bernardino, Orange, San Diego and Ventura Counties; Mike David, San Francisco Bay Area; and David Herrera, Sacramento. Colliers also has formed an administrative team to provide support services exclusively to the California Lottery team.
“Above all, this was a smart business decision made by the California Lottery after careful consideration of the benefits that would accrue to it from owning rather than leasing its own facilities,” said Charamuga, who spearheaded the Colliers presentation. “The result of that careful study was a long-term plan that spelled out a strategic vision for purchasing the facilities it will need to meet its needs both now and in the future.”
Although the agency currently owns and occupies a new 155,000-square-foot headquarters facility in Sacramento, plus two other smaller properties in the capital, it leases nine other buildings of varying sizes and uses throughout the state, including regional district offices and distribution industrial properties. Six of the nine leased properties are concentrated in Southern California, reflecting the state’s population density.
“What we responded to was a very detailed request for proposal (RFP) presented by the California Lottery, which required that we demonstrate extensive knowledge of the various submarkets throughout the state,” said Maradei. “We also had to accurately reflect our past experience and successes in all the disciplines that will be required for this assignment – office, industrial, retail and investment brokerage services.”
Although unwilling to disclose too many specifics at this key starting point in the relationship, both Charamuga and Maradei did confirm the locations of the leased properties that will be among the first to fall under the team’s scope of duties. They include facilities with combined office and warehouse capacity in Fresno, South San Francisco, San Bernardino, Santa Ana, Rancho Cucamonga, Hayward, Van Nuys, Santa Fe Springs, and San Diego.