Vancouver developer Onni Group has not slowed its acquisition spree in Downtown Los Angeles.
It is in escrow to buy the Western Pacific Building at 1031 South Broadway for $56 million from seller Steve Needleman of Anjac Fashion Buildings, The Real Deal has exclusively learned. The sale, expected to close in April, will mark Onni’s eighth major building acquisition Downtown over the past four years.
The $56 million sale price includes the $6 million Onni paid in December to buy the contract to purchase the building from another company. Onni is considering multiple uses for the building, from keeping it as an office property to renovating it into a residential tower, sources said. It will make a decision in the next few months.
When the deal closes, Onni will have paid just shy of $233 a square foot for the 240,678-square-foot office building built with steel construction in the 1920s. The per-square-foot price is slightly below Downtown averages, according to CoStar Group.
Onni Group declined to comment. Steve Needleman and Mike Condon Jr. of JLL, who represented both the buyer and the seller in the transaction, could not be reached for comment.
Onni has made its strong feelings about Downtown quite clear. In late 2015, it purchased a 220,770-square-foot Class A office building at 800 Wilshire Boulevard for more than $79.5 million, according to sources. That property is blocks away from 600 Wilshire, which Onni acquired for $78 million in 2014.
Onni also owns an office at 1212 Flower Street, a single-room-occupancy building at 830 South Olive Street, a 303-key extended-stay hotel dubbed Level DTLA at 888 South Olive, and the 92-unit Union Lofts at 760 South Hill Street.
The firm also has two developments in the pipeline Downtown. It owns the parking lot next door to its 1212 Flower office, and it has proposed two mixed-use towers with 730 condos on the site. It owns another parking lot on 817-825 S. Hill, on which it is planning a 50-story, 589-unit apartment tower.
Outside of Downtown, Onni recently $96 million in the fall of 2015 for the Manhattan Towers office property in Manhattan Beach.