O’Melveny helps clients achieve market-based and, as needed, out-of-the-box, solutions with respect to all asset classes in the commercial real estate arena. We advise the world’s leading real estate investors, lenders, and other stakeholders with capital formation and deal structuring, acquisitions, dispositions, development, financing and leasing. In conjunction with our colleagues, we also advise on corporate needs of our real estate clients, tax planning, regulatory matters and disputes should they arise.
In times of distress, we bring to clients decades of experience across numerous down-cycles in working out arrangements between borrowers and lenders, buyers and sellers, and landlords and tenants.
We dig in to our clients’ issues, seek to understand their business and particular needs, and aim to help them achieve sustainable solutions to grow their business.
Helped the Academy of Motion Picture Arts and Sciences acquire site control rights for the Motion Picture Museum in Los Angeles. We negotiated the 100-year ground lease, development agreements, and parking agreements, and we advised on development issues.
The lease enabled the Academy to proceed with a project it has been planning for 30 years. We also represented the Academy in the sale of a city block in Hollywood to Kilroy, including negotiation of purchase and sale agreement, advising on bidding issues, and entitlement issues.
Helped AIG reach a favorable settlement of litigation brought by a former executive who claimed he was entitled to a profit interest in every real estate asset that the insurer owned worldwide during his 22-year tenure.
Recently represented Griffin Realty Trust in the sale of its majority interest in a US$1.13 billion office portfolio comprised of 41 properties and 53 buildings across the US. O’Melveny represented Griffin on all real estate and corporate finance matters, including US$985 million of senior and subordinate debt. Griffin is also a holder of a portion of the subordinate debt, which required the O’Melveny team to negotiate an intercreditor and co-lender arrangement with a number of hedge funds. ALM’s GlobeSt.com reported that the deal “gives the sector a much-needed boost.”
Recently represented LBMB, Inc. (which operates as “Plasticolor”) and its affiliate B&K Investment Company (B&K) in a series of real estate transactions to support Plasticolor’s relocation of its operations from Southern California to Tennessee. The deal is confidential and not subject to public disclosure. For decades, Plasticolor has manufactured and sold licensed automotive accessories from a B&K-owned facility located in Fullerton, CA. To facilitate Plasticolor’s relocation, and B&K’s corresponding termination of its ownership interest, O’Melveny represented B&K in the US$61 million sale of the Fullerton facility (which included a short-term leaseback component to allow Plasticolor to transition out of the space), and represented Plasticolor in the negotiation of a long-term lease for a 108,000 square foot replacement facility in Knoxville, TN.
Achieved a US$1 billion jury verdict for Lennar, a Fortune 500 homebuilder and land developer, after a rival developer threatened to spread false statements about the company.
Advising commercial property owner as it redevelops a 42-acre regional shopping mall into a mixed-use project containing residential units, commercial space, and publicly available open spaces. Also represented Merlone Geier Partners in its acquisition and disposition of regional malls and grocery-anchored shopping centers on the West Coast.
Assisted Oaktree in its US$150 million acquisition of the ownership interests in Oasis BH Holdings, the owner of the Beverly Hilton Hotel in Beverly Hills.
Working with the master developer on the US$5 billion redevelopment of a portion of the Port of San Diego, which will include an aquarium, an observation tower, and a resort.
Recently assisted Skorpios Technologies, Inc. (Skorpios), a vertically integrated leader in heterogeneously integrated silicon photonics, with a pair of transactions that facilitated Skorpios’ relocation of its fabrication operations from Austin, TX, to Southern California, and the sale and leaseback of the company’s existing Albuquerque facility. With regard to the relocation, the firm counseled Skorpios through the negotiation and execution of a triple net lease for a new, approximately 450,000 square foot fabrication facility located in Temecula, CA. According to Skorpios, the new facility enables manufacturing expansion and upgrades, and additional hiring opportunities, to support customer demand for the company’s Tru-SiPh™ Heterogeneous Photonic Integrated Circuits.
Shortly after completion of the new lease, the firm handled the negotiation and closing of the sale and leaseback of Skorpios’ existing approximately 48,000 square foot headquarters located in Albuquerque, NM, which the firm helped Skorpios to acquire back in 2016. Completing the sale of the property allowed Skorpios to free-up needed capital and terminate obligations owed to the state and city for repayment of economic development funds used to improve the facility. Additionally, executing the leaseback agreement with buyer creates flexibility for Skorpios to remain in or exit from the Albuquerque facility in the next five to seven years depending on the future financial and operational needs and goals of the company.
Working with the State of Hawaii on a public-private partnership to redevelop Aloha Stadium, the state’s premier sports and entertainment facility. When complete, the project will include a new stadium plus 2.5 million square feet of mixed-use development next door, including hotel, office, and commercial spaces.
Represented The Macerich Company, one of the nation’s largest owners and operators of shopping centers, in a US$370 million financing of Green Acres Mall and Green Acres Commons in Valley Stream, New York. The consortium of lenders included Goldman Sachs, Morgan Stanley, Deutsche Bank, and Bank of Montreal. The collateral for the loan also included leasehold interests pursuant to a ground lease with Walmart and agreements for payments in lieu of taxes entered into with the local development agency. Green Acres Mall and Commons are adjacent properties that combined make up a retail mega-campus with anchor stores such as Macy’s, Walmart, and Sears.
Coordinated all legal matters for ValueRock in its over US$100 million acquisition of the Hawaii Kai Towne Center, one of the premier retail properties in Hawaii, and in its purchase of several shopping center properties in California. Also advised ValueRock in the establishment of a REIT vehicle for new real estate investments.
“An impressive practice and frequently advises on private equity investments and loans... hands-down [some] of the best commercial real estate lawyers in the country.”
Four-time Winner, Project Finance Group of the Year
—Law360 (2016, 2017, 2020, 2021)
“They go well beyond negotiating and structuring deals to add tangible business value. That means vetting financial advisors, introducing financing options, and leveraging our considerable professional network to generate opportunities and deal flow.”