Burgeoning hotel and nightclub owner SBE will replace venerable entertainment industry chronicler Variety as the top tenant in a well-known Wilshire Boulevard office high-rise in Los Angeles.
SBE, founded by Los Angeles night-life impresario Sam Nazarian, has agreed to lease the top two floors of 5900 Wilshire, where the bright red Variety sign atop the build was visible for miles.
The Variety sign was removed in November and will be replaced with an SBE sign by spring, landlord Ratkovich Co. said. Before moving in, SBE will "re-image the space in a manner fitting the building's inspired design legacy," the company said.
The 31-story 5900 Wilshire tower was designed by the firm of architect William J. Pereira, which also designed the original campus of the Los Angeles County Museum of Art across the street. Ratkovich Co. spent $34 million restoring the office building's 1960s vibe after acquiring it in 2005.
Other tenants include Robert Redford's Sundance Institute, Los Angeles Magazine and Millennium Entertainment. Variety was sold to rival Penske Media in 2012, and its lease at 5900 Wilshire will expire shortly. Variety will relocate to Penske's corporate headquarters in Westwood.
In the next few months SBE will transition out of its current buildings located at 8000 and 7900 Beverly Blvd., both of which are owned by Nazarian. It will take 100 employees to its new quarters.
SBE operates a string of trendy hotels and restaurants known for their playful, over-the-top decor. Most are in Los Angeles County, but the company has outposts in Florida and developments planned in New York, Seattle, Las Vegas and China.
This month SBE announced that it would help create a $140-million apartment complex in Hollywood called the Camden with developer Camden Property Trust.
Terms of the five-year, 30,000-square-foot office lease were not disclosed but Ratkovich Co. asks for $3.23 per square foot per month, according to real estate data provider CoStar. The building is nearly fully leased.
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