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CBRE Investors buys three-building office portfolio

The private equity real estate arm of the property services firm has purchased three office blocks in Los Angeles, New Jersey and West Palm Beach – including one building the firm previously owned more than four years ago.

Richard Ellis has acquired a three-building portfolio of office properties in Los Angles, New Jersey and Florida for their latest value-added fund, CBRE Strategic Partners US Value 5.

The properties, in Glendale, Los Angeles; East Rutherford, New Jersey; and West Palm Beach, Florida, total more than one million square feet of Class A office space, according to a statement.

One of the buildings, The Metropolitan Center, in New Jersey, was previously bought by CBRE Investors in 2002 for $80 million, according to data provider Real Capital Analytics. The firm sold it to ING Clarion Partners in 2005 for $120 million.

Financial details of the latest acquisitions were not disclosed, however, RCA data shows that the West Palm Beach office property, the 247,905-square-foot Esperante building, was bought by CBRE Investors for $67.6 million and a cap rate of 9.6 percent. The property was sold by ING Clarion Partners.

The final property bought by CBRE investors is the 417,828-square-foot office block at 500 North Brand in Glendale. All three properties are, on average, 75 percent leased.

CBRE closed CBRE Strategic Partners US 5, which comprises two limited partnerships Strategic Partners US Value 5 and Strategic Partners US Opportunity 5, on $2.1 billion in May last year.