Cancer research firm Kite Pharma pays $135M for Santa Monica R&D building

The Gilead Sciences subsidiary continues its expansion in the area

The research and development building at 1800 Stewart St. in Santa Monica (Credit: Google Maps)
The research and development building at 1800 Stewart St. in Santa Monica (Credit: Google Maps)

Cancer research firm Kite Pharma is paying $135 million for a 160,000-square-foot research and development building in Santa Monica, adding to its already sizeable footprint there.

The latest acquisition makes it the highest amount paid for a flex R&D building in Los Angeles County, according to CoStar. The deal likely includes a leasehold agreement, because the city owns the land beneath the facility.

The seller is Agensys Inc., whose lease expires in 15 years, with an option to extend to 2042, at $972,000 per year. The company redeveloped the property in 2011, but its parent company, Astellas Pharma Inc., announced last year it would shut down Agensys.

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The research facility is about a half-mile from Kite Pharma’s existing 180,000-square-foot headquarters, the Colorado Center. The company has smaller facilities around Santa Monica and a 100,000-square-foot facility in nearby El Segundo, according to CoStar.

The property includes a three-story building and a one-story “retail and amenity building,” according to its listing with HFF. Those consist of research and office space, a conference center, fitness center, and café,

Gilead Sciences acquired Kite Pharma in August for $11.9 billion, calling it a leader in the emerging field of cell therapy. The therapy “uses a patient’s own immune cells to fight cancer,” according to a news release at the time.  [Costar] –Dennis Lynch

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