PACIFIC PALISADES, CA—Caruso Affiliated has purchased the Pacific Palisades Village from a consortium of trustees and private individuals. The Los Angeles-based developer plans to renovate the shopping center and add a specialty grocer, theater, restaurants and shops. The purchase price of the property is undisclosed.
“Caruso Affiliated has a highly successful track record of repositioning and developing attractive retail and mixed-use properties throughout California,” Dan Riley, SVP at CBRE, tells GlobeSt.com. “In addition, Caruso Affiliated showed a detailed understanding of how to connect their properties with the cultural fiber of the community, balancing the varied wishes from the residents and creating unique, timeless settings for locals and visitors to enjoy.” Riley represented the seller in the transaction along with his CBRE colleague SVP Philip Voorhees. Caruso represented themselves.
Located between Swarthmore Avenue, Sunset Boulevard and Monument Street, the 48,998-square-foot retail property has 23 units with street-front visibility. The property includes a 43,000-square-foot parking structure and sits on 2.77 acres of land. It is 78% occupied and has a tenant mix that includes City National Bank, Pearl Dragon, Michele International, Boca Man Enterprises, Mayberry Restaurant, Maison Giraud, Benton’s Sports, Palisades Playthings, Palisades Beauty Supply and Carly’s.
“The property owners and their heirs/trustees have owned these properties for approximately 50 years and although they have enjoyed ownership of these properties and the wonderful community they are located in,” says Riley. “The sellers decided in 2012 that it was time for them to go their separate ways and sell the properties.” The sale of the property generated significant interest from local, national and international investors. According to Riley, the sellers received 16 qualified offers, eventually settling on Caruso, which also owns the Grove and the Americana at Brand.
According to Riley, the retail sector in Pacific Palisades is experiencing a recent resurgence due to new ownership with new ideas and tenant mixes. “From Palisades Highland Center, the Clock Tower Building and Palisades Village Properties, among other prominent retail/mixed-use properties sold by our CBRE team, the Pacific Palisades retail sector is evolving to better serve this affluent community with goods, services and restaurants that many residents have been requesting for years,” he says.