David Kluth of Julien J. Studley Inc. tells GlobeSt.com that Raleigh, which has been based in Southern California for more than 45 years, had about a year left on its existing lease on the eighth floor at the 21-story, 245,000-sf office tower at the corner of Wilshire Boulevard and Ocean Avenue.
Raleigh operates one of the entertainment industry's largest groups of independent film and television studios, plus hotels and vineyards.
The 100 Wilshire building is among the most prestigious office addresses in the Los Angeles area, with ocean views and proximity to the lively downtown Santa Monica restaurant and shopping district, and it commands some of the highest rents in the region.
Kluth, who represented Raleigh on a team that included Studley's Josef Farrar along with Arlene Sommer of Cushman & Wakefield, tells GlobeSt.com that the rental rate works out to "the lower end of the market" for comparable office space.
"Just six months earlier we were negotiating at a higher rent, so by waiting to do the transaction, the client saved probably 10%," he tells GlobeSt.com.
Although many office buildings in Santa Monica suffered acutely from the collapse of dot.com companies in 2000 and 2001, trophy properties like 100 Wilshire weathered the storm well and maintained high occupancy levels. The 100 Wilshire building, Kluth says, is more than 95% full.
The Raleigh lease is among five entertainment industry deals completed by Studley on the Westside of Los Angeles and in Burbank during the first half of this year that have totaled more than 85,000 square feet and are valued at $28 million. Landlord Douglas Emmett was represented in the Raleigh transaction by Eric Olofson of Cushman & Wakefield.
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