Academy Tower in North Hollywood Now Part of Kennedy Wilson’s Portfolio for $48 Million
By Alex Girda, Associate Editor
North Hollywood properties have been the subject of some interest lately, a trend that is making itself noticed through a number of purchases. The latest of these is the acquisition of The Academy Tower, an office property located in the area, by international real estate firm Kennedy Wilson. The company reportedly paid $48 million for the office building, a large chunk of which was raised through a financing deal facilitated by KW with Bank of America Merrill Lynch.
The Academy Tower is a large office property offering 175,012 square feet of space at 5200 Lankershim Blvd. in North Hollywood. According to Kennedy Wilson Commercial Investment Group President John Prabhu, the building “occupies a premier location in the heart of the NoHo Arts District.” Tenant demand is there for the building as it offers close proximity to major production studios, points of interest that have boosted the area’s occupancy rates. The Academy Tower is 97 percent leased; some of the company names on its tenant roster are Endemol, JPPT and Starcom Worldwide.
As previously mentioned, Kennedy Wilson completed a financing deal with Bank of America Merrill Lynch worth $29 million. The remaining $19 million was provided by the company’s equity. The real estate investment firm also recently refinanced one of its California office properties, One Baxter Way, in Thousand Oaks. The 354,782-square foot building is 91 percent occupied by Baxter, State Farm and Dignified Transition Solutions. KW received $63.5 million from BofA Merrill Lynch in the refinancing process. The company has moved on the market to acquire around $6.8 billion in real estate assets and real estate related debt since the beginning of 2010.
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Tags: economy, leasing, Policy