High Net Worth Capital Becomes More Aggressive

Diablo Technology Center is located in the Hacienda Business Park.

PLEASANTON, CA—A three-building portfolio was acquired by Ridge Capital Investors LLC and Contrarian Capital Management LLC last year for $35.1 million. After an extensive rehab of common areas, landscaping, signage and tenant space improvements, the 191,009-square-foot Diablo Technology Center has sold for a reported $47 million or $246 per square foot, according to Real Capital Analytics. The class-A office/R&D property is located within the Hacienda Business Park.

Not only did the sellers invest in significant improvements during its time of ownership, the JV owners signed 66,000 square feet of new leases during that time. The three properties were 100% leased and occupied at closing to 11 tenants, with most of the tenancy from longer term, credit-quality tenants.

The three-building ensemble was sold in two parts to two separate Bay Area investors, including Black Mountain Properties LLC, which was seeking 1031 exchange properties, GlobeSt.com learns. Properties on Willow Road and Stoneridge Drive were sold together and the West Las Positas asset was sold alone.