EXCLUSIVE: Tribeca West Entertainment-Office Complex for Sale
One of the highest-profile entertainment office complexes in Los Angeles has been listed for sale. The property, Tribeca West, is expected to go for as much as $75 million.
The West L.A. development is a film and television postproduction haven. Tenants at the 12233 W. Olympic Blvd. office campus include Disney, HBO and NBC Studios, among others.
The seller, Broadreach Capital Partners, a Palo Alto commercial real estate investment firm, listed the eight-building facility this month. Commercial real estate broker Bob Safai, who has the listing, said real estate companies and entertainment firms have expressed interest in the property.
"It's a blend of real estate and Hollywood cachet all in one," said Safai, principal of commercial real estate brokerage Madison Partners. "It's sexy and real estate -- usually you don't get the two together."
The 151,029-square-foot, Class A complex has hit the market as commercial real estate values have begun to recover after being walloped by the recession. However, a lack of easy access to financing has made it difficult for investors to acquire trophy assets. Still, Tribeca West, situated on 2.65 acres near the intersection of Olympic Boulevard and Bundy Drive, has a lot going for it. In addition to the prime location, the property is fully leased and generates about $5 million in annual net operating income.
"It's the go-to complex. People are treated well. That's why we've been overflowing with tenants," said David Simon, managing director of Broadreach, which also owns the CNN Building in Hollywood.
Safai said there is no asking price, but real estate industry players with knowledge of the property said they expect it to fetch at least $60 million, and perhaps quite a bit more. Bids are due next week.
The complex isn't the only prominent Los Angeles entertainment-office campus to hit the market during the past year. Real estate investor Lionstone Group acquired Lantana Media Entertainment Campus -- located less than a mile down Olympic Boulevard from Tribeca West -- in December for $200 million, the largest office transaction in Los Angeles County last year. But at 463,000 square feet, Lantana, which is home to Imax, Dick Clark Prods., and Revolution Studios, is much bigger than Tribeca West.