LA’s biggest office leases of Q2

Los Angeles /
Jul.July 29, 2016 04:02 PM

Office leasing activity picked up in Los Angeles in the second quarter, with a total of 5.3 million square feet — up nearly a third from Q1, according to a new Savillls Studley office leasing report.

Asking rents posted one of the biggest quarter-by-quarter increases in the past several years at 2.8 percent. Building trades at steep prices contributed to the increase.

“Landlords feel bullish about market conditions across much of the region and they have boosted rental rates,” the report reads. “Strong investment sales and cap rate compression will give new owners added cause to boost asking rents.”

Read on for some of the biggest leases closed in Los Angeles in the second quarter, according to the report.

Federal Aviation Administration

The FAA inked a 154,000-square-foot space at 777 South Aviation Boulevard, a three-story building in El Segundo owned by a partnership between Embarcadero Capital Partners and Westbrook Partners.

Disney

Walt Disney Co. also snatched up a massive space this past quarter with its 128,300-square-foot lease at 3355 West Empire Avenue in Burbank. The five-story Class A building is owned by Worthe Real Estate Group and Shorenstein. Disney had previously been subleasing from Yahoo, sources said.

Company town leases galore

The media and entertainment sector accounted for a significant portion of the leasing last quarter. In addition to Disney, DreamWorks vertical AwesomenessTV closed on a lease last month for about 90,000 square feet at Clarion Partners’ Pen Factory at 2701 Olympic Boulevard, as The Real Deal first reported. And ticket seller Fandango inked a 85,000-square-foot lease at Tishman Speyer’s 407 North Maple Drive building in Beverly Hills, adding about 35,000 square feet to the company’s L.A. presence. Spanish language television company Univision signed a 104,500 square foot lease-back agreement at 5999 Center Drive in Westchester, as it sold the building to CBRE Global Investors.

Hasbro

Toymaker Hasbro also made the cut with its 80,000-square-foot deal at Worthe and Shorenstein‘s  Media Studios North Tower at 3333 West Empire Avenue, as The Real Deal first reported.

Kaiser Permanente

Health giant Kaiser’s signed for 100,000-square-foot space at 3780 West Martin Luther King Jr. Boulevard in Culver City. It will move in 2017.

 

Related Articles

arrow_forward_ios
Angels' Arte Moreno with Elephant Lot (Brandon Richardson, Getty)
Long Beach ready to pitch for Angels
Long Beach ready to pitch for Angels
A rendering of the planned project at 1591 East Vernon Avenue in the South L.A. neighborhood of Central Alameda (Los Angeles City Planning/Photo Illustration by Steven Dilakian for The Real Deal)
How it’s going in South LA: developer eyes 23 units in place of duplex
How it’s going in South LA: developer eyes 23 units in place of duplex
The Ritz-Carlton's Herve Humler with  900 Newport Center Dr ( Google Maps, Event Interface)
Ritz-Carlton Residences headed to high rise in Newport Beach
Ritz-Carlton Residences headed to high rise in Newport Beach
VMware’s Raghu Raghuram and Broadcom’s Hock Tan with 3401 Hillside Drive and 250 Innovation Drive (VMware, Broadcom, Google Maps)
Broadcom’s offer for VMWare sets stage for office consolidation
Broadcom’s offer for VMWare sets stage for office consolidation
Tesla's Elon Musk (Getty, iStock)
Tesla plans to go Hollywood with diner, drive-in theater and EV charging station
Tesla plans to go Hollywood with diner, drive-in theater and EV charging station
Standard Communities’ Chris Cruz and 10930 Garfield Avenue
Standard Communities pays $532K per unit for newly developed South Gate apartments
Standard Communities pays $532K per unit for newly developed South Gate apartments
7000 Romaine Street and 948 Sycamore Avenue (Google Maps)
Onni Group wants to add 14-story office in Hollywood
Onni Group wants to add 14-story office in Hollywood
Vella's Zach Vella and SWRCC's Dan Langford with 1010 Sandhill Avenue (Vella Group, Southwest Regional Council of Carpenters, LoopNet)
Carpenters union buys Carson industrial from Zach Vella
Carpenters union buys Carson industrial from Zach Vella
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...