Colliers International had to overcome two major hurdles – a building without a single tenant and a lack of willing financiers – in order to close the investment sale of a Torrance office building in a transaction valued at $5.5 million, company officials have reported.
Geoff Ludwig, senior vice president and Eric Lastition, executive vice president of Colliers’ El Segundo office represented both sides to the transaction. The seller was Jamison Properties and the buyer was a private real estate investor.
“The challenge was that the building was 100 percent vacant, which makes financing very difficult,” said Ludwig. “It is also a much larger property than traditional office users in Torrance are accustomed to so finding a buyer proved a challenge, as well.”
Located at 22939 Hawthorne Blvd., the three-story building totals 27,495 square feet on 1.06 acres. The steel-frame building was built in 1978. The new owner plans to occupy a portion of the building and lease the remainder of the structure, which includes ample surface parking for tenants and visitors.
“We were able to overcome what was the biggest hurdle and that was financing by using a combination of traditional financing coupled with the seller carrying back part of the mortgage,” added Lastition. “Now, the new owner can focus on finding office tenants to fill the space..”