Acquisition Represents the Partnership’s Fourth Investment Through the Emerging Manager Program
LOS ANGELES, CA (December 17, 2014) – Canyon Capital Realty Advisors’ (Canyon Capital Realty) emerging manager platform, the Canyon Catalyst Fund (“CCF”) along with Rubicon Point Partners, has closed on its fourth investment as a partnership, The Lakes at Bayhill (“The Lakes”). The Lakes is an approximately 150,000 square foot office complex located in San Bruno, California. The Lakes development features 3-Class A office buildings in a park-like setting on 6.4 acres.
The Canyon Catalyst Fund is a joint venture between Canyon Capital Realty and the California Public Employees Retirement System (CalPERS) aimed at developing the next generation of real estate managers. Formed in 2013, the partnership between Rubicon Point Partners and the Canyon Catalyst Fund is focused on acquiring up to $100 million in Northern California office properties.
“The Lakes represents CCF-Rubicon partnership’s largest acquisition to date,” said Ani Vartanian, Managing Partner of Rubicon Point Partners. “We are thrilled to acquire this property in a submarket with such compelling fundamentals.”
The property is located within San Bruno’s Bayhill Office Park, a premier San Francisco Peninsula market with a vacancy rate of less than 5%. The market is home to leading tech companies such as Google’s YouTube and Walmart.com. The Lakes benefits from easy access to transit with BART and Caltrain stations within walking distance and San Francisco International Airport a five minute drive away. The property is situated at the nexus of three arterial freeways: Interstate 280, Highway 101, and Interstate 380. The Bayhill Office Park features outstanding amenities such as the Shops at Tanforan Mall and the Bayhill Shopping Center. The joint venture’s property improvement program will focus on executing common area upgrades and maximizing the efficient use of the site.
“We are pleased to expand our partnership with Rubicon Point Partners,” said Maria Stamolis, Senior Managing Director at Canyon Capital Realty. “They have proven to be an excellent value add investor and operator of Bay Area office properties. We also look forward to presenting existing and prospective tenants with a compelling value alternative in San Bruno.”
Bob Gilley represented the seller in the transaction.
About The Canyon Catalyst Fund
The Canyon Catalyst Fund is a joint venture between Canyon Capital Realty Advisors (Canyon Capital Realty) and the California Public Employees’ Retirement System (CalPERS) aimed at developing the next generation of real estate managers and acquiring $400 million of real estate assets in urban markets across California. Leaders from Canyon Capital Realty will work closely with emerging managers, acting as mentors and advisors to ensure the incorporation of best‐in‐class practices.
Canyon Capital Realty is the real estate direct investing arm of Canyon Partners LLC (Canyon). Founded in 1990, Canyon and its affiliates are investment management firms headquartered in Los Angeles, with approximately $25 billion in assets under management.
Canyon Capital Realty focuses on providing value-added debt and equity capital to real estate owners, operators, developers, mortgage lenders and corporations involved in time-sensitive and complicated projects, as well as on markets and transactions that are often overlooked, misperceived and difficult to underwrite. Since inception, Canyon Capital Realty has invested over $5.4 billion of capital in over 209 commercial real estate and mortgage transactions with a total capitalization of $14.2 billion through its distinct real estate investment platforms.
About Rubicon Point Partners
Founded in 2010 and headquartered in San Francisco, California, Rubicon Point Partners (RPP) is a real estate focused private equity firm led by Ani Vartanian and Razmig Boladian. RPP actively identifies, develops, and executes on niche strategies in fragmented sectors. RPP caters to their two main stakeholders: investors, by delivering superior returns, high quality management and institutional reporting; and their tenants, by providing creative, open space solutions and/or services that supports and enhances their customers’ business needs. Rubicon Point Partners’ investments typically target those properties that are near mass-transit, surrounded by amenities and services, and where high barriers to entry exist. RPP’s tenants include small and large companies, including Fortune 100 companies.
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