ALAMEDA, Calif. (July 6, 1998) - Pivotal Group, based in Phoenix, Ariz., recently entered the dynamic Bay Area development arena with the acquisition of two office buildings and adjoining land within Harbor Bay Business Park. The company plans to purchase additional properties throughout the Bay Area, and has set a combined acquisition goal of $250 to $350 million for the end of 1999.
Pivotal utilized a discretionary capital fund established last year in conjunction with three large public pension funds to purchase the Harbor Bay properties. The company has selected Lincoln Property Management, the Bay Area's largest property management company, to manage the property and coordinate the renovation and remodeling of both office buildings. Sam Swan of Cushman Realty Corporation has been awarded the leasing assignment.
According to Jahm Najafi, a partner with the Pivotal Group, the Harbor Bay Business Park's combination of location, amenities and unparalleled Bayside views made it an optimal choice for the company's first Bay Area investment. "Harbor Bay Business Park has everything we could ask for in a debut project," Najafi said. "We're looking forward to maximizing the potential of this property, and to exploring other new opportunities in the Bay Area's surging marketplace."
Pivotal's acquisition includes a pair of two-story garden style office buildings located at 1320 and 1141 Harbor Bay Parkway that total more than 168,000 square feet. Three fully-improved parcels comprising 18 acres alongside San Francisco Bay completed the company's purchase. With a vacancy rate that is expected to soon reach an all-time low of close to 7 percent, Pivotal is planning to develop these parcels on a build-to-suit basis and hopes to attract an amenity component to the park.
Situated on the eastern shore of San Francisco Bay, Harbor Bay Business Park offers 4.5 million square feet of both office and R&D product type development that is strategically located adjacent to Oakland International Airport in the geographic center of the Bay Area. The nearby Interstate 880 provides convenient access to downtown Oakland, Silicon Valley and San Francisco's financial district. The park also is linked to San Francisco's Ferry Plaza and is serviced by a dedicated AC Transit/BART shuttles.
To date, 26 buildings totalling approximately 1.5 million square feet have been built-out within Harbor Bay Business Park to accommodate firms engaged in biotechnology, engineering, computer software and hardware, telecommunications business services and professional sports. More than 70 tenants, including Ascend Communications, Calypte Biomedical, USTA Norcal and the Oakland Raiders professional football team currently are located within the park.
Harbor Bay Business Park is the 320-acre planned commercial component of Harbor Bay Isle, a self-contained, master planned community which currently includes approximately 3,200 residential units, shopping, schools, parks, churches and child care facilities on approximately 1000 acres. The park is linked to the community by more than 17 miles of walking, jogging and bicycle paths.
Pivotal Group is a diversified real estate company dedicated the quality development of resort, residential, office and industrial properties in Arizona and the Southwest. Widely recognized for its ability to combine dynamic planning with a variety of financing approaches, the firm has developed project partnerships with some of the nation's premier real estate companies including Los Angeles-based William E. Simon & Sons Realty, DMB and Southwest Value Partners.
The Pivotal group's portfolio includes such metropolitan Phoenix landmarks as the Camelback Esplanade, a 700,000-square-foot, $160 million mixed-use development and the Ritz-Carlton, a Mobil Four-Star luxury hotel. The company also owns the 50-property Talley portfolio that includes four major business parks and two master planned communities in three states.
For more information about Pivotal Private Equity, visit www.pivotalgroup.com |
