This Week's LA Deal Sheet
Califia Farms, a maker of plant-based beverages, has leased approximately 29.5K SF at The Maxwell Building at 1019 East Fourth Place in the Arts District.
The five-story building had been entirely leased to WeWork, which opened at the location in October 2019. Califia Farms will take up two floors in the Hudson Pacific Properties-owned building. A WeWork spokesperson confirmed to CoStar that WeWork would continue to occupy the remaining three floors in the building.
Califia Farms is relocating from its former home at 1321 Palmetto St., also in the Arts District, according to a release from Newmark announcing the lease. Newmark Senior Managing Director Craig Kish represented Califia Farms in the transaction.
LEASES
Dietary supplement maker Lief Labs signed a full-building, roughly 111K SF industrial lease in Valencia. The property at 29025-29055 Avenue Paine is under construction and is expected to be complete by December 2021.
Since 2018, Lief Labs has leased the nearby 112K SF building at 28903 Avenue Paine. Lief will remain in the space, though the newly leased building will function as the company’s primary operational hub.
CBRE’s Craig Peters and Sam Glendon represented landlord Rexford Industrial in the transaction. Rexford also owns 28903 Avenue Paine. Ashland Pacific represented Lief Labs.
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CBRE completed a 25,624 SF office lease at One Westlake in Thousand Oaks for Ember Technologies, a global temperature control brand. The lease triples Ember’s current headquarters footprint. The company is scheduled to move into the space early next year, following a multimillion-dollar renovation.
CBRE’s Hunter Brown, Jacob Bobek and Scott Steuber represented Ember in the lease negotiations. CBRE’s Matt Heyn, David Solomon and Caitlin Hoffman represented the landlord, Kennedy Wilson.
CONSTRUCTION AND DEVELOPMENT
CitizenM’s 11-story modular hotel in Downtown LA is anticipating a September opening, the Netherlands-based hotel company announced. The Gensler-designed hotel has 315 rooms and is billed as “an affordable luxury experience just down the road from Hollywood.” CitizenM is also planning a nonmodular hotel in Hollywood near Hollywood and Vine.
FINANCING
A fund sponsored by CBRE Global Investors has closed on a $41.5M mortgage loan for Gelt Inc. to acquire Elevate Long Beach Apartments, a five-story, 160-unit apartment community in downtown Long Beach. The floating-rate loan has an initial term of three years, which can extend up to two additional years, and includes future funding to finance the sponsor’s business plan.
SALES
The historic Hollywood Tower apartment building sold for $20M, the LA Business Journal reported. Listed on the National Register of Historic Places, the chateau-style complex was built in 1929. It was partially remodeled in 2010, including the lobby and corridors. The buyer, a family partnership, will continue to renovate the site. The seller was MWest Holdings.
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Six-building repositioned corporate office complex AD/6, formerly Alton Deere Business Park, has sold for $42.8M. The roughly 189K SF property at 1920-1940 East Deere Ave. in Santa Ana is 87% leased. The buyer was China-based Henghou Investment Holding Inc. Newmark co-Head of U.S. Capital Markets Kevin Shannon, Executive Managing Directors Paul Jones and Sean Fulp, Managing Director Mark Schuessler and senior associate Brandon White represented the seller, Preylock Holdings.
