The Dolby Theatre on the Hollywood Walk of Fame is up for sale and is expected to trade hands for around $70M, Bloomberg reported, citing an anonymous source.

That would be more than a 25% discount on the roughly $94M it cost to build the 3,400-seat venue, which has hosted the Oscars since 2001.

The Dolby, previously the Kodak Theatre, is situated alongside the Ovation Hollywood complex, formerly known as Hollywood & Highland. The two developments opened together in 2001, but when DJM and Gaw Capital bought the retail center in 2019, the theater wasn't included in the sale. The California Public Employees’ Retirement System is the majority owner of the Dolby, which is managed by Canyon Partners.

General malaise in the commercial real estate market caused by high interest rates and economic uncertainty has dragged on investment sale prices in LA and elsewhere. CalPERS, the largest pension fund in the country, maintains a $57B real estate portfolio, but market performance has stunted returns for those investments.

The strip of Hollywood Boulevard is also home to the El Capitan Theatre, which hosts Disney films and premieres, the TCL Chinese Theater, and the Egyptian Theatre, which Netflix bought in 2020 and plans to reopen in November.

The Oscars have a contract with the Dolby through 2028. The theater also hosts concerts and film screenings. It is also a filming location, with the finals of the reality singing competition show American Idol filmed in the space.

JLL's Carl Muhlstein, Will Poulsen and Peter Hajimihalis are marketing the property for sale, CoStar reported. The listing includes two parking lots.