Why Office Investors Are Going Downtown Now

Brandon Wolsic

Downtown Los Angeles is becoming a target market for creative office developers. The market—which has been undergoing a revolution for the last decade—has attracted multifamily, hotel and retail projects. Now, the creative office sector is beginning to grow. ESI Ventures is responding with the purchase of a three properties in the Fashion District, which it plans to redevelop into creative office space. The property totals 194,000 square feet, and will becoming a campus environment with ground floor retail and restaurant options.

“Downtown L.A. is one of the last core downtown markets in a gateway city that actually has development opportunities,” Brandon Wolsic, EVP of ESI Ventures, tells GlobeSt.com. “The Downtown L.A. creative office market offers tenants a cost effective alternative to the Westside, where rents are exceeding $5.00 per square foot, triple net.  In terms of location, our three properties are surrounded by boutique shopping, upscale restaurants and a walking path to the cultural entertainment along Downtown’s historic Broadway District and LA live. Additionally, they are situated directly in the up-and-coming Fashion District within the urban core. Uniquely, apparel wholesale is an industry driver in Downtown L.A. and continues to attract fashion designers and apparel imports to the area.”