Atria West

WEST LOS ANGELES-LaSalle Investment Management has acquired the 179,000-sf Atria West office complex and has handed the leasing and property management assignment for the complex to Jones Lang LaSalle. Terms of the sale were not disclosed, but sources say that LaSalle paid $47 million for the property, which it bought from Foster City, CA-based Legacy Partners on behalf of Alaska Permanent Fund Corp. The complex is on ground leases at 10585, 10635 and 10669-10685 Santa Monica Blvd.

Leading the leasing efforts for the class A property will be Jones Lang LaSalle managing directors Peter Best and Lisa St. John, and leasing director Brian Niehaus. Jones Lang LaSalle general manager Eliza Dixon will handle the property management.

Situated along the newly renovated Santa Monica Boulevard between Century City and Westwood Village, the Atria West complex features nearly two city blocks fronting Santa Monica Boulevard. It is composed of two three-story office buildings and four historic cottages. It is approximately 95% leased by tenants including Warner/Chappell Music, Black Entertainment Television and Merrill Corp.

The property offers upside through the marking up of rents to market value. Existing rents average about $2.80 per sf per month, full service gross, compared with market rents that are estimated to be close to a dollar per sf per month higher. More than half of the in-place leases are scheduled to roll over by 2011.

LaSalle Investment bought the Atria West in a transaction that was brokered by Eastdil Secured. Weyerhaeuser Mortgage Co. developed the complex, designed by Nadel Architects, in 1992.

Atria West includes underground garages providing parking at a ratio of three stalls per 1,000 sf of office space. The complex is subject to three ground leases with that run until November 2085. The ground leases include purchase options that begin in 2039.