Newlands tells GlobeSt.com that the new owner plans significant capital improvements, to be designed by Gensler, as part of the plan to capture the upside in a West Los Angeles market where demand is high and vacancy low. Macker notes that, "The West Los Angeles office market continues to be one of the tightest and best performing submarkets in the nation," with a current vacancy rate of 4% and year-over-year rent growth of averaging about 13% since 2005.
The 12304 Santa Monica Blvd. building was completed in 1981 and was 98% occupied at the time of the sale, with a substantial portion of the building's space to be rolling over soon. Asking rates under the new ownership are expected to be about $3.75 per sf per month, full service gross.
Newlands tells GlobeSt.com that the building, which was on the market without a specific asking price, generated about 20 offers from a variety of types of investors. About half were locally based private investors, he says, while the remainder included some semi-institutional and larger syndicated fund type buyers.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.