Newlands tells GlobeSt.com that the new owner plans significantcapital improvements, to be designed by Gensler, as part of theplan to capture the upside in a West Los Angeles market wheredemand is high and vacancy low. Macker notes that, "The West LosAngeles office market continues to be one of the tightest and bestperforming submarkets in the nation," with a current vacancy rateof 4% and year-over-year rent growth of averaging about 13% since2005.

The 12304 Santa Monica Blvd. building was completed in 1981 andwas 98% occupied at the time of the sale, with a substantialportion of the building's space to be rolling over soon. Askingrates under the new ownership are expected to be about $3.75 per sfper month, full service gross.

Newlands tells GlobeSt.com that the building, which was on themarket without a specific asking price, generated about 20 offersfrom a variety of types of investors. About half were locally basedprivate investors, he says, while the remainder included somesemi-institutional and larger syndicated fund type buyers.