New York real estate investor Sason acquires Willow Creek Corporate Center for $25.3M

SAN DIEGO, May 10, 2022 – JLL Capital Markets announced today that it has closed the $25.30 million sale of Willow Creek Corporate Center, a three-story office building totaling 121,415 square feet in the Scripps Ranch submarket of San Diego, California. Sason purchased the asset, it’s second acquisition in San Diego in the past three months.

Rebranded as Canvas on Willow, Sason will begin immediately on a $2 million repositioning that will include constructing a new tenant lounge and fitness center complete with rollup doors and access into the courtyard, completely modernizing the building’s central courtyard to create an indoor/outdoor environment for tenants to work, relax and enjoy, updating the HVAC system and controls and modernizing bathrooms throughout the asset.

“San Diego’s I-15 Corridor continues to be a growing business hub with a diverse tenant mix and strong labor pool,” said David Rottenberg, Principal, Sason. “At Canvas on Willow, we’re creating a more dynamic indoor/outdoor work environment which appeals to the new generation of employees, fostering creativity, energy and collaboration.”

Leading the leasing efforts at Canvas on Willow are JLL’s Richard Gonor and Tony Russell. The office property can accommodate a wide range of users from 3,019 square feet to 17,183 square feet.

“San Diego’s I-15 office submarket has been resilient since the start of the pandemic,” said Richard Gonor, JLL Executive Vice President. “Companies are looking for new and redeveloped properties that appeal to their employees.”

Canvas on Willow is located on 6.06 acres close to the Scripps Ranch Technology Park and the 15 Freeway in the 1-15 Corridor of San Diego. The submarket is home to numerous life sciences, communications, tech, defense and financial services industries. Partially renovated in 2020, the asset features three 40,000-square-foot floorplates. On-site amenities include private balconies, an interior courtyard and lockers and showers on the ground floor. The asset was 71% leased to 10 tenants when Sason entered into contract and through creative leasing efforts led by JLL, occupancy increased to 100% across 12 tenants by closing.

JLL Capital Markets led by Managing Directors Bob Prendergast and Lynn LaChapelle marketed the property on behalf of the seller, a joint venture between Harbert Management and Cypress Office Properties.

“The sale represents a well-timed execution by both Buyer and Seller as investors continue to place San Diego among the top tier markets in the country,” commented LaChapelle.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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Jones Lang LaSalle Americas, Inc. ("JLL") is a real estate broker licensed with the California Department of Real Estate, license #01223413.

Harbert Management Corporation (“HMC”) is an investment management firm focusing on alternative assets, with approximately $8.0 billion in Regulatory Assets Under Management as of March 1, 2022.

Cypress Office Properties, LLC (“Cypress”) is a San Diego-based real estate investment and operating company that specializes in acquisitions and asset management of value-add, core plus, and redevelopment office, life science and medical office properties in key markets within the Southwest United States. The company’s primary geographic focus is Southern California, Denver and Phoenix.

The Sason Organization (“Sason”) is a privately controlled real estate investment firm that focuses on creatively repositioning office assets across the U.S. to accommodate the future of work. For more information, please visit: sasonorg.com.