Multi-tenant office building in Sacramento trades for $55.1M
JLL Capital Markets led the sales efforts for 925 L St., a Class A office property adjacent to the state Capitol in downtown Sacramento
SAN FRANCISCO – September 26, 2022 – JLL Capital Markets announced today that it has closed the $55.1 million sale of 925 L St., a Class A, multi-tenant office building totaling 168,844 square feet in downtown Sacramento, California.
JLL represented the seller, a joint venture between Soma Capital Partners and Hazelview Investments, and procured the buyer, a partnership between Seagate Properties and Cottonwood Group.
925 L Street is a 13-story, LEED® Gold office building that is located adjacent to the state Capitol in the heart of Sacramento’s Government Affairs district. The 94%-occupied tower has 4.7 years of weighted average lease term with 63% of the building leased to investment grade tenants, including the State of California.
Prior to sale, ownership had signed a 13-year lease with a large State tenant demonstrating the mission-critical location adjacent to the state Capitol.
The JLL Capital Markets team representing the seller was led by Senior Managing Director Rob Hielscher, Senior Director Erik Hanson and Director Nick Deaver.
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.
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About JLL
JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $19.4 billion, operations in over 80 countries and a global workforce of more than 102,000 as of June 30, 2022. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About Soma Capital
Soma Capital Partners is a privately held real estate investment and advisory company based in San Francisco focused exclusively on commercial and multifamily real estate investments in the Western United States, having acquired over 2.7 million SF of commercial property since inception. For more information, please visit: www.soma-capital.com.
About Hazelview Investments
Hazelview Investments is an institutional asset manager headquartered in Toronto, Canada with approximately $12 billion (CAD) in assets under management. Hazelview (formerly Timbercreek Asset Management) have been active investors, owners and managers of real estate since 1999. For more information, please visit: www.hazelview.com.
About Seagate Properties Inc.
Seagate is a privately held value-add real estate investment company focused on commercial opportunities in the industrial warehouse, multi-family and office sectors throughout the Western United States. Seagate maintains offices in San Francisco and Denver with transactional experience in excess of $3 billion and is actively pursuing new opportunities throughout the west. 1. To learn more, visit: www.seagateprop.com.
About Cottonwood Group
Headquartered in Los Angeles, Cottonwood Group is a private equity real estate investment firm focused on equity and debt opportunities across all property sectors and geographies. The firm's ability to act as a lender, investor, operator and sponsor of real estate investments of all sizes and complexities is fundamental to delivering a risk-adjusted absolute return for investors. Investing out of its discretionary Cottonwood Real Estate Founders Fund and separate institutional accounts, Cottonwood targets U.S. real estate opportunities with a capitalization of up to $1 billion. For more information, visit www.cottonwoodmgmt.com.