Opportunity to acquire an off-market mixed use asset on the hard corner of Pacific Coast Highway and Kanan Dume in Malibu. Trion will conduct an extensive renovation program bringing a 25 year old property up to current design standards which will increase the consumer draw to the property and increase the probability of leasing to credit tenants at a premium rent. If the assumptions are executed, the unlevered return on cost will be 8% and the levered project-level IRR in excess of 25%. Upon completion of the construction and retenanting of the property, the asset will be refinanced with permanent debt.
- Acquisition Date: February 2014
- Acquisition Price: $5,750,000
- Renovation Costs: $1,800,000
- Projected Project Level IRR: 25%
- Total Square Footage: 16,700