WeWork Closing 90K SF Gas Company Tower Location
WeWork will close a 90K SF location at the Gas Company Tower in Downtown Los Angeles, as the bankrupt coworking provider failed to reach a deal with its landlord.
WeWork will close the location at the end of February, a company spokesperson confirmed to Bisnow. The spokesperson also confirmed that the closure comes after unsuccessful negotiations with the landlord.
Representatives for the landlord, a court-appointed receiver that took control of the property in April, didn't immediately respond to a request for comment.
WeWork has reworked a handful of leases in Washington, D.C., Atlanta and Portland, Oregon. But the company withheld more than $30M of rent in January at other properties where it hasn't reached such deals. A spokesperson for WeWork didn't immediately respond to questions about WeWork's payment status at the LA property.
WeWork declared bankruptcy in November and simultaneously sought to exit 69 leases, including seven in Southern California. Since then, it has added locations to the list of leases it would like to terminate.
The Gas Company Tower is set to have a big new tenant, with the city of Los Angeles planning a move into about 300K SF. WeWork's space accounts for about 6% of the 52-story building.
