Kilroy Reportedly Pursuing Hollywood Property; JV Snaps Up Pasadena Campus
- Jul 10, 2011
Kilroy Realty is ready to fork out an impressive sum for a Hollywood office building. The Sunset Media Tower houses several media companies and is owned by a discouraging three dozen investors. Nevertheless, the West Los Angeles real estate investment firm is set on buying the 22-story building, according to The Hollywood Reporter. The building offers 320,892 square feet of office space, which Kilroy wants to get for approximately $76.5 million. Tenants for the building include Magical Elves Productions, Associated Production music and Nielsen Media Research.
According to THR, the 34 owners of the building, who have a tenancy-in-common arrangement, were determined to put the building up for sale after the largest tenant relocated in November. The Hollywood office building was constructed in 1971 and underwent a major renovation during the ’90s. The current largest tenant is Nielsen, with 40,000 square feet, while Magical Elves has around 30,000 square feet under lease. The building is currently managed by PASSCO Cos. of Irvine, Calif., and the listing is held by Cushman & Wakefield Inc.
Kilroy is not the only investment firm pursuing acquisitions. A joint venture of Morgan Stanley Real Estate Investing and Lincoln Property Co. acquired a 932,000-square-foot, 22.7-acre office campus located in Pasadena. The three-building portfolio sold for an impressive $320 million, according to The L.A. Times, and main resident the Parsons Corp. made a deal to stay in the facility until 2026. Other tenants include the Federal Emergency Management Agency and Kaiser Permanente. The property includes two eight-story buildings and the 12-story 100 W. Walnut St.