Site Acquired for Shopping Center

Kearny Real Estate Co. sold a 6-acre parcel near Long Beach Marina on behalf of Morgan Stanley Real Estate Funds to a joint venture of Long Beach-based Koenig Cos. and Rich Development Co. The principals did not disclose the purchase price, but real estate industry sources placed the value at $7 million.

The site at Pacific Coast Highway and Studebaker Road has been approved by the city of Long Beach and the California Coastal Commission for the construction of a 67,000-square-foot retail center. Koenig expects to begin construction early next year and complete the center in the last quarter of 2000.

The property was part of a large portfolio of undeveloped California land that Morgan Stanley acquired from Chevron Land and Development Co. in 1996.

Kearny, which owned and operated the site on behalf of Morgan Stanley, represented itself and was assisted in the transaction by Cushman & Wakefield. The buyers represented themselves, with assistance from Radius Retail Advisors of Irvine.