Pasadena Next Up for Office Renaissance

Office redevelopment has helped to transform L.A. submarkets from West L.A. to Culver City to Hollywood, and Pasadena is next. Pasadena office vacancy rates tightened in 2018, thanks in large part to inward migration from other Los Angeles submarkets. This year, redevelopment projects will help to attract even more activity, setting the stage for a market transformation.

“The Pasadena market will continue to tighten in 2019 as large blocks of space have dwindled in Pasadena and surrounding areas,” Patrick Church, managing director at JLL, tells GlobeSt.com. “Because of the large tech boom in LA County, which has caused minimal supply in Silicon Beach and West L.A., markets like Pasadena will see increased movement and tenant velocity.”

Landlords are completing major capital investments to attract these new tenants in the market. Among the projects to undergo a facelift are the 345,000-square-foot 101 S. Marengo, formerly the Bank AmeriCard Plaza, which Woodridge Capital Partners will transform into a more creative-style or progressive office space with windows; a Paseo Colorado project, which is converting certain retail spaces into creative office and will provide for a true live/work/play environment; a ground-up project under construction at 10 West Walnut, which will be 200,000 square feet with office, retail and multifamily. “The vision for all redevelopment is a combination of retail/office use with tenant amenities in and around the projects,” says Church. “Coretrust will embark on a complete renovation and repositioning of Corporate Center Pasadena in 2019, which will create the most unique environment in Pasadena where indoor office space bleeds into outdoor office space and collaboration areas.”