Ygnacio Center, a California office complex recently bought by Hines and Oaktree Capital Management, exchanged for less than the original expected price after one of its tenants left during the negotiation process, according to multiple sources familiar with the transaction.
The 514,918sqft building in Walnut Creek was sold by LaSalle Investment Management for $206m, below the original price point of $221m – but still above the $158m it paid for the asset two years ago on behalf of its value-add fund, LaSalle Income & Growth Fund VII.
LaSalle declined a request for comment.
Hines and Oaktree plan to reposition the complex, including the introduction of 8,200sqft amenity centre with conference facilities, co-working space, bike lockers, showers and outdoor collaborative space.
