SAN DIEGO, Calif., October 29, 2018 – The joint ownership venture of DivcoWest Real Estate Services LLC and Ocean West Capital Partners LLC have reached a long-term agreement with coworking giant Spaces to lease three full floors at a prominent seven-story office building in Little Italy, which is currently undergoing a major transformation to convert to a boutique Class A office project.
Spaces pre-leased 43,540 square feet (sf) consisting of the first, second and third floors in the 123,062-sf building located at 1420 Kettner Blvd, which is now known as “Kettner & Ash”. Penning their deal several months in advance of anticipated construction completion, Spaces represents the first official lease executed since the owners began recent reconstructive work at the building. Derek Hulse and Philip Roberts with Cushman & Wakefield’s San Diego office represented the landlord in the transaction. The property renovations are designed by Gensler and Reno Construction serves as the project’s general contractor.
Among the most significant improvements being done to modernize and enhance the desirability and stature of the building will be a newly renovated contemporary façade featuring an energy efficient clear glass wall-curtain. Additionally, a five-story LED panel array (12’ x 70’) will be installed in the building’s atrium that will display and exhibit digital artwork. Another major upgrade will also include a large outdoor event patio on the third floor which will be completely renovated and become a common area tenant amenity. Designed as a comfortable place where people can sit and relax, the new third floor patio will transition into an indoor/outdoor tenant lounge with seating, an entertainment area, and a kitchen. Other key enhancements being made throughout the property will include a new café/restaurant, resort-style showers and lockers, and a private ground floor tenant patio.
Roberts, Director and downtown office specialist, said, “The general appeal of Kettner & Ash is the high quality aesthetic, large open floor plates, access to multiple modes of transportation including San Diego International Airport, proximity to the waterfront and an amenity base, which includes dozens of choice dining options within a few blocks that only Little Italy can provide.”
He added, “We are thrilled to have Spaces as our first tenant in the project and believe they will help attract the emerging industries we are seeing in Downtown San Diego.”
Maintaining its expansion in San Diego and throughout the U.S., Spaces allows businesses and entrepreneurs to choose from a list of membership structures that fit their needs, including co-working memberships, dedicated desks and private offices. All Spaces members are able to enjoy the services and amenities that come with a full office setup, including reception, IT support, security, networking events and more. Spaces’ new downtown location is expected to be ready for users by late 2019. CBRE represented Spaces in the transaction.
According to Hulse, Managing Director and San Diego office specialist, “Kettner & Ash has received great interest from a diverse tenant base who specifically want to be located in Little Italy due to its access to the freeway and trolley line, the bay, housing and multitude of food and beverage options.”
DivcoWest, founded by Stuart Shiff, is a vertically-integrated operator, owner, developer and real estate partner to the innovation economy. Since its inception, DivcoWest and its predecessor have acquired more than 42 million square feet of commercial space located primarily in U.S. coastal innovation markets. The current real estate portfolio includes existing and development properties across office, R&D, lab, industrial, retail and multifamily. Headquartered in San Francisco, DivcoWest has corporate offices in Los Angeles and Boston, as well as numerous property management locations. To learn more, visit www.divcowest.com.
About Ocean West Capital Partners
Since its formation in 2009, Ocean West has acquired and operated office and multifamily residential investments valued at over $1.8 billion and completed nearly $5.0 billion of commercial real estate transactions. With over 100 years of combined experience and $50 billion of real estate transactions completed among its principals, Ocean West Capital Partners is a full service real estate investment, operations, and management platform dedicated to identifying and executing opportunities that create long-term value for its partners and investors. For more visit http://www.oceanwestcp.com/.
About Cushman & Wakefield
Cushman & Wakefield (NYSE: CWK) is a leading global real estate services firm that delivers exceptional value by putting ideas into action for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with 48,000 employees in approximately 400 offices and 70 countries. In 2017, the firm had revenue of $6.9 billion across core services of property, facilities and project management, leasing, capital markets, valuation and other services. To learn more, visit www.cushmanwakefield.com or follow @CushWake on Twitter.