Colliers Lands Major Office Management Deal

LOS ANGELES—Colliers International has secured a property management contract with Los Angeles World Airports to manage Skyview Center, a 407,000-square-foot office complex at LAX airport. The property management team plans to implement a strategy that will decrease operating costs at the building and, in turn, increase NOI and the building's value. Collier's also handles leasing from the property, which is located at 6033-6053 W. Century Blvd.

“We think we can bring a lot of our operating efficiencies to the building to increase the NOI, increase the lease-up of the project with the Colliers Leasing team, who is handling the assignment, and really assist the ownership in bringing the building back up to its original capacity and splendor,” Kevin Rude, director of real estate services for Southern California at Colliers International, tells GlobeSt.com.

Originally built in the 1980s, the two-building property sits on 14.7 acres and has a 412-stall parking structure on site. It is nearly fully occupied with 25,000 square feet of available space, which is being market by Colliers' SEVP Eric Lastition and EVP Geoffrey Ludwig. Los Angeles World Airports, which purchased the property in 2013, occupies 109,000 square feet of space. The remainder of the tenant mix includes Concentra Health Services, the Leukemia & Lymphoma Society, Americantours International, a branch of City National Bank and several law firms.

Colliers property management services will provide financial services, lease administration, project and construction management for tenant improvements, improvements and general physical maintenance of the properties. “We really are looking at this as a re-commissioning assignment,” says Rude. “From an operational standpoint, we are looking at what is being performed and what should be performed, looking at all scopes of services. A lot of times, in some of these buildings, as they get older, things stray from an operations standpoint, and it really needs to be dialed back in and add efficiencies to reduce operating expenses, which of course increases NOI and adds value to the property.”

Collier's International also recently landed a contract with Value Rock Realty Management to manage a 21-property retail portfolio. According to Colliers, outsourcing property management will allow the firm to focus on its core business.