SAN DIEGO—HFF announced that it has arranged the sale and acquisition financing for Regents La Jolla, a 333-unit, mid-rise multi-housing building in La Jolla, California.
HFF marketed the property on behalf of the seller, LaSalle Investment Management, Inc. Raintree Partners purchased the asset free and clear of existing financing. Additionally, the HFF team worked on behalf of the new owner to secure 10-year, fixed-rate financing with Pacific Life Insurance Company.
Regents La Jolla consists of nine four-story buildings and one single-story cabana building housing a mix of one- and two-bedroom units averaging 966 square feet.
Completed in 2000, the property is part of a 574-home development that includes 241 condominium units not included in the sale. The 96-percent-occupied community is situated on approximately 8.48 acres at 9253 Regents Road. Located within the University Town Center (UTC) neighborhood, Regents La Jolla is surrounded by La Jolla’s demand drivers, including being half a mile from the University of California, San Diego, which is the No. 1 employer in San Diego; several of the area’s premier medical/research facilities; Westfield UTC Mall; and 14 million square feet of commercial space. Community amenities include two swimming pools, a fitness center, sports lounge, movie theatre and professional entertaining kitchen.
“The rare opportunity to acquire a Class A trophy asset in the UTC submarket, coupled with the $1 billion redevelopment at the Westfield UTC Mall as well as the $2 billion Mid-Coast Trolley project, created a high level of interest,” Combs said. “The recent additions of Amazon and Apple to the submarket, along with the continued growth of UCSD, will keep demand for quality assets such as this robust.”
The HFF investment advisory team representing the seller included senior director Hunter Combs and senior managing director Sean Deasy.
HFF’s debt placement team representing the borrower consisted of senior managing director Charles Halladay and director Chris Collins.
“We view the acquisition of Regents La Jolla as a strategic long-term investment and a great addition to the 302-unit community we currently own within walking distance of Regents,” said Ian Couwenberg, director of Acquisitions for Raintree Partners. “The evolution of UTC into a major CBD within the San Diego metro area and clear commitment of neighboring owners as well as the city to re-invest in apartment communities, medical campuses, office, retail and infrastructure made the acquisition of Regents La Jolla an exciting opportunity.”
