LOS ANGELES—Kilroy Realty has signed the first tenant at its $400 million Columbia Square development in Hollywood. NeueHouse, a private creative office membership supplier, has signed a 93,000-square-foot, 15-year lease with the developer at the 680,000-square-foot mixed-use office campus. The tenant will lease 100% of the historic Radio and Business buildings. NeueHouse plans to take occupancy in the second quarter of 2015.
The innovative company provides creative, open floor plan office space for what it calls “solopreneurs” as well as start-up business of up to 20 people through three different membership options. “What NeueHouse is doing on a small scale is exactly what Columbia Square was designed for on a macro level,” David Simon, Kilroy Realty EVP, tells GlobeSt.com. “The purpose is to create a synergistic environment in which those who work in entertainment, new media, production, etc. have the opportunity to work with people and companies with complementary skills in a collaborative environment.” NeueHouse launched in New York City last year. This will be the company’s second location.
Although this is the first tenant signed at the campus, Kilroy has received high interest from potential tenants. The firm is particularly targeting creative office users, although Simon explains that Hollywood is attracting a variety of office users, most of which have a younger employee base.
“The interest in Hollywood has been here for quite a while, but there arguably has been a supply-demand imbalance, which has resulted in many firms settling in other parts of Los Angeles,” Simon explains. “Hollywood has been, is and always will be the entertainment capital of the world, but the area lacked an inventory of quality, class-A office space environments. That is changing. We have had tremendous interest in the new office buildings under construction.”
Columbia Square broke ground in February this year. It is located on the historic CBS Broadcast facility. The property has 350,000 square feet of office space, 20,000 square feet of retail and 200 luxury long- and short-term apartments.