One World Trade Center Long Beach, CA
Identification – Waterford utilized a relationship with a local investment sales broker to acquire the 52% leased 575,000 SF Office tower in August of 2015 from a Institutional fund looking to dispose of the asset after buying it at the top of the previous real estate cycle.
Evaluation – Waterford utilized its strong market knowledge to underwrite the opportunity quickly.
Business Plan – Waterford felt the project could be re-positioned well by modernizing the common areas and amenities at the project and bring it back to being the highest quality Office building in the Downtown Long Beach submarket. It also went through a formal re-branding of the project so it was more widely known in the brokerage world.
Capitalization – Waterford partnered with an Institutional real estate equity fund to acquire the project with debt for $105M within 45 days of going under contract.
Asset Management – Waterford hired best in class architects and general contractors to reposition the asset as a high end office Tower s for any large users seeking new space in Downtown Long Beach. Over $25M was invested into modernizing the project including a new lobby, conference facility, new outdoor space, and attracting multiple on-site retail amenities including 24 Hour Fitness and Specialty’s Cafe. Waterford was able to increase occupancy from 52% to almost 80% within 30 months of acquiring the asset.
Stabilization – Waterford is continuing to lease up the asset and then will evaluate its long term goals with the project.