The office sector is riddled with questions marks following the pandemic, and many markets are reporting steep decreases in leasing activity—but Hollywood owners are still seeing demand. BLT Enterprises, an owner of boutique office space in the market says that technology-driven entertainment companies, also known as techtainment, are still actively leasing space.

"With production in Hollywood and other areas of L.A. responsible for a significant amount of both direct and indirect employment, we anticipate creative office will thrive with demand from diverse tenants, as long as the major players remain in the market," Bernard Huberman, founder and president of BLT Enterprises, tells GlobeSt.com.

BLT entered the Hollywood market a year before the pandemic in response to rising demand from techtainment companies, and specifically invested in production studios and soundstages. It currently owns 200,000 square feet of office space and development space that could accommodate another 450,000 square feet of creative office. So far, it hasn't changed its strategy in the market due to the pandemic. "While some companies have shifted to more virtual models, many have realized just how critical ongoing, in-person collaboration is to their business," says Huberman. "The good news is that several office trends on the rise before the pandemic are well suited to keeping employees safe, healthy, and comfortable going forward."