Fashion retailer Forever 21 has sold its headquarters building in Los Angeles for almost $166 million, records show.
The property is located at 3880 N. Mission Road in the Lincoln Heights area, east of Downtown. It was purchased by an entity controlled by EQ Office, which is owned by Blackstone Group.
The Los Angeles Business Journal first reported the deal.
Forever 21 purchased the 2.1-million square-foot industrial property from Macy’s in 2010 for $38 million.The retailer was the sixth largest private company in Los Angeles County.
Industrial real estate has been in high demand as online shopping continues to grow, pushing purchasing prices to record highs. But Los Angeles’ industrial market cooled down recently due to limited space after a year in which investors preyed on available properties.
In the fourth quarter, 13.6 million square feet was sold or leased, up from 11.7 million square feet during the fourth quarter of 2017, according to data from Jones Lang LaSalle Inc.
Last month, Bridge Development paid Atlas Capital Group $68 million for a warehouse with 286,000 square feet of rentable flex space near Downtown Los Angeles. In the San Gabriel Valley submarket, UBS Realty bought a 16-acre industrial site for $32 million. [LABJ] — Gregory Cornfield