This Week's LA Deal Sheet
Snap, the parent company of messaging app Snapchat, has expanded its footprint at Boston Properties’ Santa Monica Business Park.
Boston Properties on Wednesday announced that a technology company had signed a lease to take on an additional 140K SF at the park. It did not name the tenant, but the Commercial Observer reported that it was Snap.
The lease highlights the continued attractiveness of the West LA submarket and this property to creative tenants, Boston Properties Senior Vice President, Los Angeles Region Jonathan Lange said in a statement.
Earlier this year, Activision Blizzard exited the property, leaving behind about 215K SF of office. At the time, the company had not found a new office and was planning to have employees work remotely in the interim.
CBRE announced that Executive Vice President Tom Sheets and First Vice President Quint Carroll joined CBRE at its El Segundo office. Sheets and Carroll were previously at Cushman & Wakefield. The two will focus on office occupier and investor leasing in the greater South Bay, lower West LA and mid-county markets.
Palm Terrace, a roughly 156K SF Class-A office campus, has sold in an off-market transaction for $40.45M. The Lake Forest campus contains three two-story office buildings. Newmark co-Head of U.S. Capital Markets Kevin Shannon, Executive Managing Director Paul Jones and senior associate Brandon White represented the seller, Bailard. The property at 25521, 25531 and 25541 Commercentre Drive is 97% leased to tenants that include Del Taco and PGM Holdings.
Gelson’s has signed on to be the retail anchor at Hines’ West Edge office and retail development under construction now in Sawtelle, near the Expo/Bundy E Line station. The grocer will take up 36K SF and is expected to open its doors in early 2023, Hines announced.
Chinese tech giant Tencent has moved into more than 53K SF in Playa Vista, consolidating its workers in one place and laying the groundwork for plans to double the size of its workforce to 300 employees over the next three years, the Los Angeles Times reported.
CoStar Group will move into nearly 115K SF at the Spectrum Terrace in Irvine by the end of the year, The Irvine Co. announced. CoStar Group will occupy the full building at 17600 Laguna Canyon. Savills Senior Managing Director Michael Props represented CoStar. The transaction brings Spectrum Terrace to 80% leased, the landlord said.
CONSTRUCTION AND DEVELOPMENT
Trammell Crow and JV partner Clarion Partners have started construction on Knox Logistics VII, a 1.1M SF, Class-A spec logistics building. The Riverside County development will rise at the intersection of the I-215 freeway and Cajalco Express.
USA Properties Fund has started construction on Terracina at Lancaster, a 264-unit apartment complex that will create housing for residents earning 50% to 60% of the area median income for LA County. Units will range from one to four bedrooms. The $81M development is expected to be complete in late 2023.