Chavez Management Group buys two Rancho Cordova office buildings from Brent Lee
The seller of two office buildings in Chicago took a substantial loss on both properties, perhaps reflecting the office market these days.
Brent Lee, a Bay Area developer who has been active in the Sacramento area for more than four years, appears to have at least partially withdrawn.
In recent months, entities linked to Lee have sold two office buildings in Rancho Cordova: 10901 Gold Center Drive (one) and 2868 Prospect Park Drive (the other).
Lee did not respond to an email immediately. Both properties were sold to the Burlingame-based real estate investment company Chavez Management Group Inc. Chavez Management did not return any messages left.
The older of the two, 2868 Prospect Park Drive is a six story, almost 165,000 square foot building that dates back to 1988. This building sold for $12.6 million.
Chavez had bought the four-story building of 114,858 square feet, built in 1999, just a few weeks before. The building sold for $10.1 million.
The seller's loss was substantial on both properties, perhaps reflecting the current office market. The entities associated with Lee purchased 10901 Gold Center Drive in 2018 for $18.37 millions, and 2868 Prospect Park Drive for $25 million the following year.
The leasing fortunes of both buildings have also appeared to worsen since then. Many office tenants have shrunk their footprints or abandoned them as more workers are working from home or coming in less often or not at any.
Among the tenants of 10901 Gold Center Drive in 2018 were Dignity Health and National University. Cushman & Wakefield's current listings show that there are two spaces available in the building of up to 30,000 square foot.
The last time the property was sold, it had about 25,000 sq. ft. of space available in three spaces. Cisco Systems Inc., Nasdaq CSCO, and LASIK Vision Institute LLC were among the tenants.
Online listings currently show 11 spaces available in the building. These range from 3,851 square feet to 17,428. Searches online suggest that Cisco has left its space in the building.
Lee purchased a luxury house at 9125 Vista Del Lago Court, Granite Bay, as well as 1108 O St. in Downtown Sacramento and parking lots nearby. At the time, the former was to be redeveloped while the latter was once owned by actor/comedian Eddie Murphy.
Lee may have sold 1108 O St. to another entity in 2020, but he appears to still be the owner. No new plans for the property have been filed. Records show that he still owns a 12,600-square foot home in Granite Bay.