Lincoln Property Makes Burbank Office Play

BURBANK, CA—Lincoln Property Co. has purchased the Burbank Collection, a three-building office property in Downtown Burbank from Kennedy Wilson. The buyer plans to invest significant capital to reposition the property into a modern creative office campus to attract media and tech tenants in the area. The sales price for the property was not disclosed; however, industry sources unrelated to the deal say that the three properties were purchased for a combined total of approximately $72 million.

“We are seeing incredible improving fundamentals in the Southern California market. We are excited to be acquiring property that needs a new vision and a new plan, and that can be transformed into a preferred product type for tenants today, which is more of an urban campus,” David Binswanger, EVP at Lincoln Property Co., tells GlobeSt.com. “Burbank is in a market that statistically has 14% vacancy rate, but half of that vacancy is made up of one project that was recently renovated and is on the verge of leasing up 40% of their space. Over the next quarter or two, we think that vacancy rate is going to get cut in half, and there will be some upward pressure on rents. At the same time, we will be renovating the building to a more modern creative office urban campus.”