The Irvine Company has scored $150 million to refinance Westwood Gateway II, a 549,000-square-foot office complex in West Los Angeles.
Bank of America originated the 10-year, fixed-rate loan on the property, located at 11100 Santa Monica Boulevard, according to a report from Fitch Ratings and property records filed with Los Angeles County. The loan was then packaged into a commercial mortgage-backed securities deal.
The Irvine Company did not respond to a request for comment.
For the loan, the Irvine Company will pay an interest rate of 5.56 percent, according to Fitch Ratings.
Almost all of the proceeds will go to return equity to the Irvine Company, the Fitch report said. The Irvine Company paid off a $112 million loan tied to the building before scoring the new debt.
In the current market, few lenders are willing to hand out cash for office properties, given the uncertainty around whether the building will be leased in the future. But this property, according to Fitch, has good financial bones and a solid tenant base.
Westwood Gateway II, recently appraised at $330 million, was 96 percent leased as of February. That’s markedly higher than West L.A.’s average occupancy rate of about 76 percent in the first quarter, according to Colliers.
Tenants at the property are mostly financial firms: Capital Group, Crescent Capital and B Riley Securities are the three largest, according to Fitch. Brentwood Associates, SVP Strategic Value Partners, Balmoral Funds and Aristotle Capital Management also occupy space at the buildings, according to property records filed with L.A. County.
The Irvine Company built the property in 2007, and spent $16 million between 2019 and 2023 to upgrade it — adding everything from a fitness center to a koi pond.
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