A partnership between Amstar and Harbor Associates has acquired a vacant Los Angeles office building for $20.2 million. The previous ownership had repositioned the asset, upgrading the building's exterior and façade and the building systems.

The property is located at 10281 West Pico Boulevard in Los Angeles, California, next to Fox studios and Google's new campus. Built in 1981, the four-story, 36,252-square-foot property is a rare low-rise building for the area, which is near the high-rise towers of Century City. The property also features highly visible signage opportunities.

Buying a vacant office building post-COVID is an indicator that the buyers are optimistic about the recovery of the office market. Like many major metros, Los Angeles office properties saw shrinking demand and occupancy through the pandemic as many companies transition to remote work. In the second quarter, the office market struggled, according to a report from Avison Young. The city's office vacancy in L.A. has increased to 17.8% as rents tumble and concessions rise. The metrics show that tenants are exiting office space—not moving to new locations. Work-from-home policies are the primary reason for the reduction in office usage.