LOS ANGELES-AHBE Landscape has signed a 5-year lease with the Swig Co. for a 5,746-square-foot creative office space at 617 West 7th St. in Downtown Los Angeles. AHBE Landscape is relocating from its current location in Culver City.

The 211,000-square-foot, 12-story building is on downtown's Restaurant Row. The building, which was originally developed in 1928 as the Union Oil Co. global headquarters, features a recreation center with a basketball court and conference rooms with 50-inch plasma screens for video conferencing. The creative office units range in size from 2,200 square feet to 32,484 square feet.

AHBE Landscape is one example of the trend to relocate to the downtown market. “Tenants have been searching for an alternative to West LA creative office space and 617 West 7th Street has become one of the go to options in Downtown Los Angeles with its exposed ceilings, brick columns, and open floor layouts,” says Dan Gallup of Cresa Los Angeles, who represented AHBE Landscape Architects in the transaction. CBRE's John Zanetos, Mark O'Brien and Christopher Penrose, Jr. represented The Swig Co. in the transaction. Penrose adds, “We believe this trend will continue and gain more momentum in 2014.”

Office properties, however, aren't the only sectors migrating to the downtown market. Opportunities in the hospitality industry are attracting investors to the downtown market. SBE Entertainment, for example, is rumored to be shopping for a new location on Grand Street. Although the entertainment company has confirmed they are considering downtown locations, no decisions have been made. Downtown would be the third SBE-operated hotel in Los Angeles.

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.