Newton, Massachusetts-based Seven Hills Realty Trust has acquired a $23.8 million mortgage for a warehouse facility in Los Angeles, the REIT's manager, Tremont Realty Capital, announced Monday.
Staley Point Capital provided a variable-rate, three-year initial term loan for the 80,000-square-foot Extra Space Storage facility at 2515 South Broadway in south downtown Los Angeles. JLL advised Staley Point on the transaction.
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“The closing of the 2515 South Broadway loan further expands our portfolio and diversifies us into the self-storage sector,” Tom Lorenzini, president and CEO of Seven Hills, said in a statement. “This Class A self-storage property is located near the University of Southern California's main campus and in a supply-constrained market.”
Representatives for Staley Point did not immediately respond to a request for comment.
Staley Point has had a strong run in Southern California over the past year. In January, the company and partner Bain Capital Real Estate sold a 91,000-square-foot warehouse in Industry City, Calif., for $38.4 million, a strong gain and a 75% premium over the $22 million the joint venture paid for it in early 2022.
A few months earlier, in October, the joint venture signed a lease for 123,000 square feet at another warehouse at 2197 Garfield Avenue in Commerce, Calif. Third-party logistics company LAX Freight Delivery signed a lease for the entire seven-acre site.
Nick Trombola can be reached at ntrombola@commercialobserver.com