SHERMAN OAKS, CA—A well-known shopping center in Sherman Oaks, CA has traded hands for $16.8 million for the first time since the original owner purchased the center after it was built in 1960. The Festival Cos. of Los Angeles acquired the center from a private family, who sought to capitalize on the current market.

At the time of purchase, the family owner had arranged for the developer of the property to remain the operator of the center. The original 55-year lease expired this year, reverting back to the original owner. The buyer, the Festival Cos., purchased the asset as part of a 1031 exchange. It recently sold the Gucci retail property on Rodeo Drive, which it originally purchased in 2007 for $30 million. The buyer plans to remain both the owner and operator of the asset.

The $16.8-million sale price equates to $550 per square foot, one of the highest prices per square foot in the area. The sale attracted many potential buyers who sought to rezone and redevelop the site.