LOS ANGELES—Farmers Insurance and CIM Group have entered into a sale-leaseback agreement for the 10-acre Wilshire Campus and location of Farmer’s Home Office. The sale-leaseback is Farmer’s next step toward relocating its company headquarters to the Warner Center. The transaction included a lease agreement that will continue Farmer’s strong presence in the location throughout the transition.
“This is an unparalleled opportunity to acquire a substantial property on Wilshire Boulevard in this desirable neighborhood,” says Shaul Kuba, founding principal of CIM Group. “We are pleased to have worked with Farmers Insurance on this transaction, and that it will continue as a tenant at the property until it has completed its transition, while maintaining a strong presence in Los Angeles in both locations.” The CIM group was unavailable for further comment.
The property, and more specifically the location, meets CIM’s specific investment criteria. Located in the Wilshire Corridor, the 10-acre campus runs four city blocks. The campus is within close proximity to both popular, high-end residential neighborhoods, like Hancock Park and Windsor Court, as well as public transit with the nearby, soon-to-be constructed Metro Purple Line station.
Farmers Insurance will complete the move of its headquarters in 2019, slowly moving a total of 1,500 employees to the Warner Center location. Last year, the 255,864-square-foot Warner Center traded hands for $40 million in an all-cash deal. Warner Gateway Partners sold the property to Thrifty Oil. The company had previously owned the center, which consists of two low-rise office towers, for 20 years.