Souferian Group Scores Major Victory for Experiential Office Model

The Souferian Group has sold 1800 N. Highland, a 92,000-square-foot office complex in Hollywood, for a near-record breaking price, GlobeSt.com has learned exclusively. Since purchasing the property in 2015, the Souferian Group has executed an extensive renovation and implemented its pioneering office hospitality brand Be—a highly bespoke service-driven office experience—to tremendous success. In addition to being one of few office assets to trade hands in the coveted Hollywood submarket this year, the sale underscores the success of experiential office spaces.

“Our focus has been on experiential real estate, and we have taken a 360-degree approach,” Behzad Souferian, founder and CEO of the Souferian Group, tells GlobeSt.com. “As much as we are focused on the economic benefit of this, we are also focused on the marketing, the PR, the messaging to the tenant base and how we are creating a community that is integrated into the tenants’ lifestyles. We are trying to break the mold and open the line of communication with white glove service so that our tenants know how valuable they really are.”

The Souferian Group purchased the property in a joint venture with the Carlyle Group from CIM Group for $45 million in 2015—before the Hollywood market really heated up. Souferian declined to comment on the sale price of the property and could not disclose the name of the buyer, but said that he saw tremendous interest in the property from the full swath of capital sources. A combination of market timing along with the organic growth of the Be brand and demand for a service-driven office experience motivated the sale timing. “There are numerous factors that contributed to our decision to sell, one being the natural evolution of the success of the Be brand,” explains Souferian. “Another factor for us was the economic climate for our expansion plans. Be has really resonated with the market and has received a very positive response. The economy from that standpoint is very strong right now, and it has really appreciated the package of offerings that we have brought to the market.”