Silicon Valley / San Jose Business Journal - by J.K. Dineen -

Embarcadero Capital Partners has bought the historic First Church of Christ, Scientist, building in Palo Alto and plans to convert the structure into high-end office space.

This transaction marks the first change of ownership of the building since the church membership commenced construction in 1916.

The 11,000 square foot stucco and tile Mission Revival style building at 661 Bryant Street was designed by noted Los Angeles architect Elmer Grey and was constructed in 1916 by Frank Graves & Son. It was designated a historic landmark in 1978 and is classified as a Class 2 historic structure by the City of Palo Alto.

Patty McGuigan, Dan Skehan and Randy Gabrielson of Cornish & Carey Commercial's Palo Alto office represented the First Church of Christ in the sale of the building and has been selected by ECP to represent the building for lease.

The First Church of Christ, Scientist merged memberships with the Second Church of Christ, Scientist in 2006 and now holds services in their church at 3045 Cowper Street in Palo Alto. The church membership voted to sell the Bryant Street facility as it provided more space than was necessary to meet the church’s needs.

ECP owns two other properties in Palo Alto: the 72,000 square foot 100 Hamilton Ave., and the 99,000 square foot Embarcadero Corporate Center. In 2004 the owner-operator bought 71 Stevenson Place in San Francisco for $63 million and unloaded it two year later for $105 million.

“Embarcadero Capital Partners is very excited about this acquisition,” said ECP Principal, John Hamilton. “ECP only invests in assets with value-add opportunities. 661 Bryant Street is a one-of-a-kind building that will be a prestigious home to Silicon Valley companies in the near future.”

September 15, 2008 -

Significant I-15 corridor leasing activity occurred at the three building office project Bernardo Executive Center. New tenants acquired in second quarter 2008 totaled approximately 25,000 square feet, with the building at 16835 West Bernardo Drive now leased to100 percent. Bernardo Executive Center is located immediately north of the I-15 corridor Bus Rapid Transit station, a cooperative project developed by Caltrans and SANDAG that will provide park and ride facilities and serve as a bus transfer point by the end of 2008. Bakke believes the infrastructure upgrades are a strong incentive for prospective tenants.

“The new I-15 managed lanes project and the Bus Rapid Transit program are attractive amenities for employers,” said Bakke. “The transportation upgrades will make the region more accessible and provide a more efficient commute for the I-15 work force.”

Bakke also said that as I-15 office construction slows over the next 18 months, the market will have a chance to absorb the new space and temper the vacancy rate. In second quarter 2007, there were approximately 717,000 square feet of office space under construction on both the I-15 and SR-56 corridors. Today, there is only 303,800 square feet of pending office construction on both the I-15 and SR-56 corridors with Summit Rancho Bernardo accounting for 200,000 square feet.

While new construction begins to slow, some I-15 corridor building owners are investing significant time and money into renovating older properties. Embarcadero Capital Partners LLC recently completed an extensive renovation of Scripps Corporate Plaza at 10650-10680 Treana Street in Scripps Ranch. The 23-year-old property received new, modern exterior railings, new showers and lockers, a complete lobby and common area remodel, upgraded exterior entrances, spec suites with upgraded building materials, landscaping upgrades throughout the project and new exterior paint and stone facade building entrances. After the renovations were completed, national pharmacy benefits management company MedImpact Healthcare Systems Inc. leased four suites in the project.

“The owners that put money and attention into their Class B properties are seeing positive results and staying ahead of the curve,” said Bakke. “As the commercial real estate market evolves through the current economic conditions, the I-15 corridor is positioned as a premier choice for office users. Landlords that invest in their buildings now are better prepared for when the market picks back up to full speed.”

August 9, 2007 -

Today Embarcadero Capital Partners acquired The Falls at Arden (“The Falls”), a 272 unit garden-style apartment property at 2345 Northrop Avenue in the Campus Commons submarket of Sacramento. The purchase marks ECP’s first multifamily housing acquisition. We continue to evaluate new sectors as we seek opportunistic investments and superior risk-adjusted returns.

The property is located two miles from California State University Sacramento , with excellent access to the central business district, US-50, and Interstate 80. Sacramento International Airport is 16 miles away. The neighborhood is considered a desirable residential location due to local amenities and proximity to the university and major employment centers in the Downtown, Howe Avenue, Pointe West, Route 50, and Route 80 submarkets. A park across the street is currently undergoing major improvements and offers an attractive recreational amenity for residents.

Embarcadero Capital has begun a new marketing program at The Falls with attractive rental terms and move-in specials. More information about this property, including more maps, amenities and leasing agent, can be found here.

June 8, 2007 - Washington Technical Center in Renton, Washington marks the 26th acquisition for Embarcadero Capital Partners. WTC is a ten building, 155,000 square foot office park that is home to a variety of small and large tenants. The project is adjacent to our Blackriver Corporate Center property, and well located with excellent access to SeaTac, major highways, and local amenities. For leasing and more information, please contact GVA Kidder Mathews. This puchase brings the nationwide Embarcadero portfolio to over 3.5 million square feet of office, flex, and R&D space.