Mesa West Capital Provides Financing For The Acquisition And Renovation Of Vacant Office Building In Sunnyvale

Sunnyvale and Los Angeles — Mesa West Capital has provided an affiliate of Dostart Development Company, LLC with senior debt financing for its off-market acquisition and planned renovation of a vacant 95,000-square-foot technology-oriented office building in Sunnyvale, CA.

The loan was secured by 222 Caspian Drive, formerly occupied by Veritas Software Corporation, which vacated the property soon after merging with Symantec in 2007.   The building is located a half-block from a VTA light rail station in the desirable Moffett Park submarket of Sunnyvale, which houses corporate campuses for major technology tenants including HP, Microsoft, Google, Network Appliance and Juniper Networks.

A portion of the loan proceeds will be used by the borrower to undertake a significant capital improvement plan to reposition the asset as a “first-to-lease building” in a strong, supply-constrained submarket, according to Mesa West Principal Ronnie Gul, who originated the financing.

The transaction also included non-recourse mezzanine financing from Los Angeles-based Karlin Real Estate Lending.   “We were excited to participate with Mesa West in the financing,” said Karlin Managing Director Larry Grantham.  “Together we brought certainty of execution to deliver a complementary solution for the borrower.”

Mesa West Capital is one of the most active commercial real estate lenders targeting value add-properties in the Silicon Valley, having deployed approximately $240 million on 1.9 million square feet in the past 30 months.

“The assets securing those loans, much like Caspian, were largely vacant at the time of funding,” says Gul.  “Today much of the vacant space at those buildings has been absorbed by quality tenants on term leases.   Once repositioned, Caspian will be one of the highest quality tech-office buildings in Moffett Park and one of the few buildings in the Sunnyvale and northern Silicon Valley submarkets able to target 100,000 square foot users seeking their own contiguous Class A collaborative office campus.”

Dostart Development Company, LLC is a Palo-Alto based commercial real estate firm, whose principals have acquired or developed more than 2.6 million square feet of commercial office buildings in the Silicon Valley and San Francisco Peninsula, with a particular focus on transit-oriented developments in the Palo Alto, Mountain View and Sunnyvale submarkets.

The financing was arranged by Jonathan Soffer and Ramsey Daya of Regency Capital Partners.

About Mesa West Capital, LLC
Los Angeles-based Mesa West Capital ( is a privately held portfolio lender with a capital base of more than $2 billion. Mesa West has an established debt platform that continues to provide flexible and reliable capital for real estate acquisitions, re-financings and re-capitalizations on office, retail, industrial, multifamily and hotels in the United States.
About Karlin Real Estate Lending
Karlin Real Estate Lending (  a Los Angeles-based Bridge Lender backed by $1.5 billion in long-term equity capital. Karlin Real Estate Lending has deployed more than $200 million in senior and mezzanine financing for the acquisition and refinancing of opportunistic and transitional real estate assets throughout the United States.

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