Brickman Sells Grand Office Property

LOS ANGELES-Brickman and Associates has sold the office-use portion of the class-A mixed-use complex at 801 Grand St. in Downtown Los Angeles' South Park District. The neighborhood has some of rents in the submarket, and, as such, presents a strong value-add opportunity.

The 202,245-square-foot office portion of the building is situated on floors 1 through 11 of the 22-story building. The remaining floors 12 through 22 house 132 residential units. In addition to architectural appeal, the property offers high ceilings and open floor plans that are attractive to both traditional and creative users. In fact, the property is currently 85% leased to tenants in creative-use fashion, technology and architecture industries as well as the finance industry. Tenant leases are positioned to stagger as they roll over. The property additionally offers 594 parking spaces for office tenants.

Cushman & Wakefield's Marc D. Renard, Manfred W. Schaub, John M. Eichler, Meredith L. Johnson and David Hasbrouck sold the property on behalf of Brickman and Associates, who were not available to comment on the transaction.

“This really confirms everybody's belief that the urbanization and revitalization of Downtown Los Angeles is attracting institutional capital and global capital, and the prospects for aggressive rent growth and strong tenant demand activity is compelling,” Renard, vice chairman and executive managing director of the capital investments group at Cushman and Wakefield, tells GlobeSt.com.   

The South Park District is one of the more active areas of the downtown market, which currently has $20 billion in development projects underway. In the South Park District, this includes the recent $80 million six-acre land purchase by a joint venture between Mack Urban and AECOM Capital. The joint venture plans to develop a multifamily mixed-use complex on the site. Cushman and Wakefield also represented the seller, EVOQ Properties, in the transaction.