Industrial chic: Iconic ad agency signs lease at Tishman Speyer building in El Segundo

Saatchi & Saatchi will shift its new LA headquarters to the former industrial city that has drawn an increasing number of tech and media companies

TRD LOS ANGELES /
Aug.August 29, 2019 02:00 PM
Chairman/CEO of Saatchi & Saatchi LA Kurt Ritter and 555 Aviation
Chairman/CEO of Saatchi & Saatchi LA Kurt Ritter and 555 Aviation

Global advertising giant Saatchi & Saatchi has signed a new lease to relocate its Los Angeles headquarters to El Segundo, joining a growing number of media and technology firms that have set up shop in the former aerospace and industrial hub.

The firm will occupy 80,000 square feet at the Tishman Speyer-owned 555 Aviation campus, The Real Deal confirmed. It will be relocating from 3501 Sepulveda Boulevard in Torrance, which is owned by Hudson Pacific Properties.

Spanning 260,000 square feet, 555 Aviation sits on nearly 14 acres. Like many commercial buildings in El Segundo, the single-story property was converted into creative office space in an adaptive reuse project.

Amenities at the campus include a fitness center, coffee shop and ping-pong tables.

Tishman acquired the building for $45 million in 2015, records show. At the time, it was fully leased by Xerox Corp. The New York-based firm renovated the building once Xerox vacated in 2017.

CoStar first reported the new lease.

El Segundo has become an increasingly attractive area for both media companies and institutional investors who are looking to take advantage of its lower prices. Last month, New York-based Vella Group paid $51 million for a 200,000-square-foot office campus that is leased to Boeing. The aerospace giant is planning to vacate the building at the end of 2020.


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