EL SEGUNDO, CA—NSB Associates has completed a $20 million renovation of a two-building 200,000-square-foot creative office property in El Segundo, CA. The office is located on the 12-acre Utah Avenue Campus and was formerly the manufacturing and research and development facility for Xerox.
The real estate owner and operator created an open floor plan with ample natural light, brought in through glass-paneled walls and multiple skylights. The single-story buildings have 17-foot ceiling heights and can be configured for tenants ranging in size from 20,000 to 200,000 square feet. The property is near the MTA Green Line and the Los Angeles International Airport. JLL‘s Mike McRoskey and Blake Searles are leading the leasing efforts for the property.
“We’re really excited about the direction of El Segundo. There is a lot of interest from creative companies, and NSB created a product that really speaks to the new way to work with a more campus-style environment,” Searles tells GlobeSt.com. McRoskey and Searles are open to either a single tenant or a multi-tenant configuration, and, with significant interest already, they believe they will have leases signed by the end of the year. “We are looking for very good credit quality tenant. The landlord is not in any hurry and really wants to have a good tenant mix going into the park,” McRoskey adds. “They want tenants that are a good mix for a campus use.”
Prior to this redevelopment project, NSB Associates redeveloped another set of buildings on the Utah Avenue Campus and then fully leased the buildings to Time Warner Cable. Next, it plans to renovate and develop two additional properties purchased up the street. Plans for that project are in the design phase.
Many creative and technology companies are flocking to the El Segundo office market, and developers are working to supply the growing demand. New developments coming online in the submarket include elevon, a 15-building creative campus with for-sale units. “I really think that each product meets a very different demand. So, I don’t think the numbers tell the whole story,” says Searles. McRoskey adds, “There are no other buildings like ours on the market today. From our perspective, we have a very low market to vacancy. People who come into our buildings look at the openness, ceiling height and natural light and say, ‘This is exactly what we want.’”