Meridian Closes 5th MOB Acquisition in California
The company will invest $3.6 million in upgrades to the property, which was vacant at the start of negotiations. While the sale was in escrow, Newmark Knight Frank found a tenant for half the building.
By Roxana Baiceanu
Meridian has acquired a 26,000 square-foot medical office building in Torrance, Calif., marking its 5th acquisition this year. The company paid Providence Health $7.5 million for the asset and plans to invest $3.6 million in upgrades by the third quarter of 2019. JLL worked on behalf of the seller, while Meridian represented itself.
Although the building was fully vacant at the beginning of negotiations, during escrow, NKF—the company Meridian tapped to be in charge of leasing—managed to secure a tenant for half the space.
Located at 3531 Fashion Way, the property sits across the street from Del Amo Fashion Center and is near two major hospitals, Providence Little Company of Mary Medical Center and Torrance Memorial Medical Center. The asset was completed in 1961 and underwent several renovations over the years. The upgrades Meridian has in the works are expected to include an exterior facelift, improved lobby, the addition of common area restrooms, a new roof, HVAC systems, landscaping, parking lot restriping and signage.
The brokers that represented Providence Health were Brendan McArthur, Steve Solomon, Jeff Adkinson, and Kristen Bowman. NKF’s John Scruggs will spearhead leasing efforts. The transaction comes three months after Meridian sold a 13,000 square-foot medical office building in Oakland, Calif.
Image courtesy of Meridian
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