Hines/Goldman Sachs Venture Acquires 4000 Macarthur from Oaktree Capital

(NEWPORT BEACH, CA) – Hines, the international real estate firm, announced today that through its core plus venture with an affiliate of Goldman Sachs & Co. LLC’s Merchant Banking Division, it has acquired 4000 MacArthur, a Class A office project consisting of two, ten-story buildings totaling 376,241 square feet in Newport Beach, California. Located at the intersection of Jamboree Road and MacArthur Boulevard within the Airport Area submarket, 4000 MacArthur provides a prestigious Newport Beach address with convenient access to the I-405, SR-73 and SR-55 freeways, and John Wayne Airport. Situated within the 158-acre Koll Center Newport, the location offers superior access and visibility in a highly amenitized irreplaceable location.

Hines, along with a subsidiary of a fund managed by Oaktree, originally acquired 4000 MacArthur in February 2015. During its ownership, Hines and Oaktree implemented a robust capital improvement plan that included an upgraded curtain wall and installation of a new Building Management System—which significsntly reduced utility costs—positioning the property as a marquee Class A office space in Newport Beach.

Ray Lawler, senior managing director at Hines said: “Hines is excited to acquire 4000 MacArthur with Goldman Sachs to own and operate. With numerous capital improvements completed under our previous ownership, the office has been repositioned as a best-in-class Airport Area asset with a highly desirable Newport Beach address that delivers the very best to our tenants. We look forward to serving them for years to come.”

The property is 99 percent leased to 15 tenants, including: MACOM Technology, Lifescript, Preimer Office Centers and, Hyundai Capital America – which will occupy the entire west tower. Hines has retained on-site property management responsibilities on behalf of the joint venture.

About Goldman Sachs
Founded in 1869, the Goldman Sachs Group, Inc., is a leading global investment banking, securities and investment management firm. Goldman Sachs Merchant Banking Division (MBD) is the primary center for Goldman Sachs’ long-term principal investing activity. With nine offices across seven countries, the Merchant Banking Division of Goldman Sachs is one of the leading private equity investors in the world with equity and credit investments across corporate, real estate, and infrastructure strategies. Established in 1991, the Real Estate Principal Investment Area within MBD has invested in real estate and real estate related assets totaling approximately $53 billion in equity across more than 800 investments located in 35 countries.

About Hines
Hines is a privately owned global real estate investment firm founded in 1957 with a presence in 201 cities in 21 countries. Hines has approximately $100 billion of assets under management, including $54.5 billion for which Hines provides fiduciary investment management services, and $45.5 billion for which Hines provides third-party property-level services. The firm has 113 developments currently underway around the world. Historically, Hines has developed, redeveloped or acquired 1,262 properties, totaling over 414 million square feet. The firm’s current property and asset management portfolio includes 529 properties, representing over 213 million square feet. With extensive experience in investments across the risk spectrum and all property types, and a pioneering commitment to sustainability, Hines is one of the largest and most-respected real estate organizations in the world. Visit www.hines.com for more information.