Hines/Oaktree Venture Acquires 1750 East Fourth Street

(SANTA ANA, CA) – Hines, the international real estate firm, announced today that along with a real estate fund managed by Oaktree Capital Management, L.P. (Oaktree), it has acquired 1750 East Fourth Street, a 229,989-square-foot, Class A office building on 2.8 acres in Santa Ana, California.

Financials on the sale and lease back with State Compensation Insurance Fund were not disclosed.

State Compensation Insurance Fund was represented in the transaction by Rob Bickel, Patrick Inglis and Thomas Maloney of JLL.

Completed in 1994 with immediate access to the 5 and 55 Freeways, the eight-story building is located within the Orange County submarket and has convenient access to the major the Los Angeles, Orange County and Inland Empire employment hubs.

 State Compensation Insurance Fund will lease back approximately 50 percent of the square footage via a long term lease.

The remaining 50 percent of the square footage is available to lease immediately.

Hines Managing Director Ray Lawler, who leads the firm’s Orange County development and investment office, said, “Orange County is projected to be among the highest rent-growth markets in the U.S. over the next five years.

This property provides us the opportunity to add significant value through leasing and the continuing improvement of Orange County’s market fundamentals.”

Oaktree Managing Director Ambrose Fisher added, “We are happy to begin a long-term relationship with State Compensation Insurance Fund, and we look forward to adding 1750 East Fourth Street to our Orange County real estate holdings. This is our 10th project with Hines in Orange County and our 18th with Hines globally.”

Hines has assumed on-site property management responsibilities on behalf of the joint venture.

Oaktree is a leader among global investment managers specializing in alternative investments, with $86.2 billion in assets under management as of March 31, 2014.

The firm emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in distressed debt, corporate debt (including high yield debt and senior loans), control investing, convertible securities, real estate and listed equities.

Headquartered in Los Angeles, the firm has over 800 employees and offices in 16 cities worldwide.

For additional information, please visit Oaktree’s Web site at www.oaktreecapital.com.

Hines is a privately owned real estate firm involved in real estate investment, development and property management worldwide.

The firm’s historical and current portfolio of projects that are underway, completed, acquired and managed for third parties includes 1,317 properties representing more than 541 million square feet of office, residential, mixed-use, industrial, hotel, medical and sports facilities, as well as large, master-planned communities and land developments.

Currently, Hines manages 391 properties totaling 161 million square feet, which includes 89.1 million square feet for third parties.

With offices in 115 cities in 18 countries, and controlled assets valued at approximately $28.2 billion, Hines is one of the largest real estate organizations in the world.

Hines is also a world leader in sustainable real estate strategies, with extensive experience in LEED®, ENERGY STAR®, BREEAM, Haute Qualité Environnementale and DGNB green building rating systems.

Visit www.hines.com for more information.

1750 East Fourth Street