The acquisition includes 1202, 1222, 1225, 1232, 1339 and 1344 Third Street Promenade.
Federal Realty Investment Trust has sold eight parcels along Santa Monica's Third Street Promenade to two buyers whose primary business is outside real estate, The Real Deal reports.
Daniel Negari, the founder of XYZ.com and a technology entrepreneur, acquired seven parcels for a total of $84.5 million, while gas station operator-turned-developer United El Segundo Corp. bought the remaining parcels for $19.5 million.
Negari's acquisitions include 1202, 1222, 1225, 1232, 1339 and 1344 Third Street Promenade, as well as 301 Arizona Avenue. His most expensive acquisition was a 24,600-square-foot building on Arizona Avenue that went for more than $900 per square foot, making it one of the most expensive commercial transactions in Santa Monica in the past year.
The Real Deal reported that Negari received a loan of about $61 million from the Royal Bank of Canada to pay for the acquisition. The Arizona Avenue building is currently 50 percent vacant, according to online advertising.
Negari is no newcomer to Santa Monica real estate: He purchased 310 Wilshire Boulevard in 2018 for $9.4 million.
United El Segundo purchased 214 Wilshire Boulevard, a 31,000-square-foot building that houses Wally's Wine, and the company recently proposed a 29,000-square-foot office building on Sunset Boulevard that would feature a digital billboard wrap.
