Investment Fund Buys MGM Plaza

An investment fund advised by Douglas Emmett, a Westwood-based real estate investment firm, has purchased the 1-million-square-foot MGM Plaza office complex in Santa Monica for about $220 million, sources said. Douglas Emmett acquired the complex after extensive negotiations with Los Angeles-based Maguire Thomas Partners, which acquired the building in partnership with IBM Corp. and the property’s mortgage lender, Chase Manhattan Bank, in 1988. Negotiations began last year after Chase Manhattan’s $300-million loan on MGM Plaza came due and Maguire Thomas was unable to pay, according to a person involved in the transaction. Maguire Thomas and IBM will retain a small ownership interest. Maguire will continue to manage the complex for another year. Maguire Thomas executives were unavailable for comment.