Optimus Properties JV Lands $52M for Los Angeles MOB

Roxsan Medical Tower. Image courtesy of Optimus Properties

Optimus Properties and its joint venture partners have obtained a $52 million loan to refinance Roxsan Medical Tower, a 58,000-square-foot medical office building in Beverly Hills, Calif. Proceeds will pay out an existing $42 million loan. Working on behalf of the borrower, Continental Real Estate secured the financing with a 3.29 percent interest rate.

Located at 465 N. Roxbury Drive in the heart of Beverly Hills Triangle, the 11-story building came online in 1963 and was completely renovated in 2014, according to CommercialEdge data. The property also includes 4,000 square feet of retail and a multi-level parking structure with a ratio of 4 spaces per 1,000 square feet.

Following the 2014 renovation process led by Kanner Architects and executed by ZDX Industries, the owner further improved the building with a seismic retrofit, among other upgrades. The Class A facility was fully leased at the time of closing to a diverse mix of medical tenants.

Located within walking distance of Rodeo Drive, Roxsan Medical Tower is 2 miles from Cedars Sinai Medical Center and 3 miles from UCLA Medical Center. Up the street is another Optimus property, the 104,000-square foot office property at 450 N. Roxbury Drive that houses The Roxbury Institute. One mile east is a 49,721-square-foot medical office building that changed hands for $74.4 million in March.

Big (on) loans

According to CommercialEdge information, the Roxsan Medical Tower refinancing represents one of the largest loans provided to a medical office property in metro L.A. so far this year. Of the 18 financing deals that closed since January, 13 were single-asset transactions totaling more than $450 million.

Another noteworthy deal involved a 104,869-square-foot property adjacent to Roxsan at 9725 Wilshire Blvd. In February, the ownership refinanced Beverly Hills Triangle Medical Plaza with a $43 million loan from Voya Financial.