Spaces and Compass have each signed hefty leases at the Playhouse Plaza building in Pasadena.
Co-working firm Spaces inked an 11-year lease for 49,000 square feet, while Compass added 22,250 square feet to the 12,000 square feet it has rented there since 2016.
With both tenants, IDS Real Estate Group’s five-story building at 680 Colorado Street is now 97 percent leased, according to CBRE, which represented IDS in the deal.
Spaces’ deal in Pasadena was made in tandem with another deal in Santa Monica for 69,200 square feet at the Water Garden office campus. They are the eighth and ninth leases in the L.A. area and part of a larger race for space among competing co-working firms.
Industrious leased 22,000 square feet in Downtown L.A. earlier this month. The newly rebranded We Company, formerly WeWork, is reportedly in discussions to sign a large lease downtown as well, along with Cross Campus and Common Grounds. Spaces opened five locations in L.A. County over the summer.
The amount of co-working space in L.A. has grown by 500 percent over the last decade. L.A. is now the second-largest co-working market in the country, with 4.1 million square feet of space leased.
Compass has been on its own expansion tear over the last year or so, adding offices around the country and acquiring numerous brokerages. In October it acquired Pacific Union in a blockbuster deal, instantly making it one of the biggest players on the West Coast.
Compass CEO Robert Reffkin said this week the company wouldn’t expand to any new markets this year, saying that the company had spread itself thin in 2018. The moratorium on expansion apparently doesn’t apply to new offices in markets its already in.
Completed in 2015, the 155,000-square-foot Playhouse Plaza features outdoor patios and Neo Art Deco stylings. It’s named after the neighboring theater, the Pasadena Playhouse. Other tenants include Alibaba Group, the Chinese e-commerce company. features outdoor patios and Neo Art Deco stylings.