JLL arranges financing for Santa Barbara County office assets
Positioned within the University Business Center proximate to UCSB
LOS ANGELES, December 17, 2019 – JLL announced today that it has arranged two loans totaling $15.72 million in financing for 125 and 175 Cremona Drive, two office buildings totaling 133,299 square feet in the Santa Barbara County city of Goleta, California.
JLL worked on behalf of the borrower, Majestic Asset Management, Inc., to secure a $6.66 million, non-recourse, 36-month, floating-rate bridge loan through a regional bank for 125 Cremona Drive, a building that was going 100% vacant three months into the acquisition. Additionally, JLL closed a $9.1 million, five-year, fixed-rate acquisition loan through a separate regional bank for 175 Cremona Drive. Majestic is extremely active in the Santa Barbara and Goleta market. They currently own 11 assets in this region while looking to expand further.
125 and 175 Cremona Drive are located within the University Business Center, which is just south of Highway 101 and offers convenient access to Santa Barbara Airport and University of California, Santa Barbara. 125 Cremona sits on a 5.02-acre site and offers 82,132 square feet of office space as well as abundant onsite parking. 175 Cremona, which is located on a 3.15-acre lot, offers 51,167 square feet of flexible office and industrial space that is fully leased to four tenants.
The JLL Capital Markets team representing the borrower was led by Senior Director Jeff Sause, Associate Sean Moynahan and Analyst Harrison Kalt.
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 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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JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. Our vision is to reimagine the world of real estate, creating rewarding opportunities and amazing spaces where people can achieve their ambitions. In doing so, we will build a better tomorrow for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.3 billion, operations in over 80 countries and a global workforce of more than 93,000 as of September 30, 2019. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
Majestic Asset Management, Inc. (“Majestic”) is a private investment firm that focuses on value creation via the acquisition of commercial real estate in attractive Western US markets. They focus on geographic markets with attractive fundamentals to capitalize on localized market trends, which are diligently studied prior to and after any transaction is consummated. Majestic specializes in middle-market transactions and pays cash or finances their acquisitions with preferred lenders.
Majestic was officially founded in 2008, but their ownership team brings experience in real estate investment, development and management dating back to the 1970's. Majestic owns/manages a real estate portfolio valued around $400 million and is actively involved in the acquisition and disposition of assets. They hold in-depth knowledge of capital markets, a disciplined focus on underwriting and hands-on management style with an emphasis on cost management and tenant relations. Majestic's broad experience in acquisitions, financing, development, leasing, and management allows them to capitalize on a wide range of real estate opportunities where timing, complexity size or other challenges may limit the availability of capital. They seek to unlock intrinsic property value by developing and executing thoughtful business plans to reposition properties.
Since its inception, Majestic's goals have been simple: be pro-active and the most responsible company, not the biggest. Their efforts are focused on the needs of each individual property in order to maintain and improve the integrity of our portfolio. For more information on Majestic please visit their website: majesticllc.com.