Newmark : Completes Sale of Office Building in Garden Grove, California for $14 Million

September 6, 2022 9:00 AM

Newmark[1] announces it has completed the $14 million sale of Concorde Career College building, a two-story, 45,451-square-foot office property and the rights to 4.19 acres of land in Garden Grove, California.

Newmark Vice Chairman Sean Fulp and Managing Directors Ryan Plummer and Mark Schuessler, in partnership with Executive Managing Director Paul Jones and Director Brandon White, represented the seller Pacific Development Partners, LLC.

Located at 12951 S. Euclid Street in Garden Grove, the building was 100% leased to Concorde Career College at the time of sale. The property has served as a medical and dental vocational school since 1999.

"The reliable, long-term income stream associated with the tenant's use coupled with resilient market fundamentals set this offering apart," Fulp said. "In touring the property, the growing demand for healthcare professionals is apparent."

Concorde Career College provides vocational training in the allied health field, including courses in medical and dental assisting. The company operates 16 campuses in seven states. The Garden Grove campus is ideally positioned within the Orange County market, with nearby access to major freeways, an abundance of amenities and some of the most premier office tenants in Southern California. The property features direct access to the Garden Grove Freeway (SR-22), and nearby I-5 and I-405 freeways.

The buyer, Brooklyn Companies, was represented by Newmark Senior Managing Director Norman Lee. Newmark Managing Director Jason Roth helped secure financing on behalf of the buyer.

"Despite interest rate volatility and lenders changing appetite for office, we were able to secure extremely competitive financing terms for the Brooklyn Companies by highlighting two key points," said Roth. "The necessity for this type of education to be conducted in person, as well as the year-over-year double-digit growth in the medical assistance fields projected by the Department of Labor and Statistics."

According to Newmark Research's recent Capital Markets Report, Orange County ranked among the top 25 U.S. markets that attracted the most investment volume in the U.S. in 2Q22. U.S. quarterly investment volume overall, across all property types, increased 17.5% year-over-year, representing the third largest quarter volume total in history. While multifamily remains the most sought-after property type, office, retail and hospitality volume have normalized as investors have grown more confident about the recovery of travel and leisure spending as well as the return of more employees to the office.

[1] Dba Newmark Knight Frank in California

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Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries ("Newmark"), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark's comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform's global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. Newmark generated revenues of nearly $3.2 billion for the twelve months ending June 30, 2022. Newmark's company-owned offices, together with its business partners, operate from approximately 170 offices with over 6,500 professionals around the world. To learn more, visit nmrk.com or follow @newmark.

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