Onni inks lease with WeWork after closing on massive Wilshire Courtyard purchase

The Canadian developer was said to have paid around $630M for the complex

Jul.July 16, 2019 05:00 PM
WeWork’s Adam Neumann and Onni Group President Rossano de Cotiis with a rendering of Wilshire Courtyard (Credit: Getty Images and Michael Maltzan Architecture)
WeWork’s Adam Neumann and Onni Group President Rossano de Cotiis with a rendering of Wilshire Courtyard (Credit: Getty Images and Michael Maltzan Architecture)

UPDATED, July 17, 8:33 a.m.: Onni Group closed on the 1 million-square-foot Wilshire Courtyard complex, and has chosen a high-profile first tenant.

The company signed co-working giant WeWork to four floors at 5750 Wilshire Boulevard, one of two buildings in the sprawling campus. WeWork announced the deal Tuesday.

It remains unclear how much Vancouver-based Onni paid seller Tishman Speyer for the office campus. Natixis provided the developer a $550 million loan to fund the purchase, which The Real Deal reported in June. The purchase price was reportedly close to $630 million.

WeWork’s newest 135,000-square-foot lease in Miracle Mile marks its first in the neighborhood, and its 30th in Los Angeles. The company recently expanded in the Pacific Design Center in West Hollywood, where it offers podcast recording studios and makeup rooms. As of the first quarter, the firm’s footprint in the L.A. had grown to 2 million square feet.

Similarly, Onni has also been rapidly growing in the region. Its latest purchase comes as the firm is also expanding in Orange County. There, Onni recently paid $97 million to acquire an 8.6-acre office and retail complex, dubbed Ocean Plaza.

But Onni’s biggest push by far has been in Downtown L.A., where it’s building upwards of 4,000 residential units. It recently got the green light to build a 60-story tower at 1000 S. Hill Street, which is a block away from another Onni tower that opened late last year.

Related Articles

Los Angeles skyline (Credit: iStock)

LA office leasing drops in Q4 amid WeWork, tech sector pullback

CBRE CEO Robert E. Sulentic, and Keller Williams Founder Gary Williams with the Lantana property

Keller cries foul: Brokerage sues CBRE over WeWork lease deal

1200 W. 7th Street and 5750 Wilshire Boulevard (Credit: Google Maps)

Here are LA’s biggest office leases of 2019

From left: Hiten Samtani, Bridgid Coulter of Blackbird, Kat Lau from Industrious and Jim Doorne of IWG

What’s next for the co-working business?

Hudson Pacific Properties CEO Victor Coleman and the Westside Pavilion (Credit: Google Maps)

Hudson Pacific wants full control of Google-leased One Westside; not sweating WeWork

Aerial view of 611 N. Brand Boulevard and Rossano de Cottiis (Credit: Hunter Kerhart Architectural Photography)

Onni scraps apartment plans for 857-key hotel project in Glendale

Onni Group President Rossano de Cotiis, Decron Properties President & CEO David Nagel and Ocean Plaza

Decron is unloading CRE assets ahead of potential statewide property tax hike

Natixis CEO Francois Riahi, Onni Group President Rossano DeCotiis , and Wilshire Courtyard (Credit: BPCE and Michael Maltzan Architecture)

Onni Group lands massive acquisition loan for Wilshire Courtyard purchase