Prominent Los Angeles developer Robert F. Maguire III has found a partner to invest in construction of a new office building in Playa Vista, which is now one of the hottest real estate markets in the state.
San Francisco real estate investment firm DivcoWest formed a joint venture with Maguire to own, operate and further develop the Water's Edge office campus in the Playa Vista neighborhood near Marina del Rey.
Maguire led development of several of L.A.'s best-known office buildings in the 1980s and '90s including U.S. Bank Tower, the tallest structure in Southern California. He has held part interest in Water's Edge at the intersection of Lincoln and Jefferson boulevards since he erected two buildings there in 2002.
In August, Maguire said he was looking for a partner who could help fund the construction of a third building, to be called WE3.
Terms of the joint venture were not disclosed, but Maguire said the partnership has the resources to spend nearly $70 million constructing WE3. He hopes to begin work by the middle of next year after planning is complete and city approvals are secured.
"I think it will be a real trophy project," Maguire said. "We have got to get hammering nails."
The preliminary design by architect Zoltan Pali of Studio Pali Fekete Architects calls for a vivid blue-and-red four-story building containing about 150,000 square feet.
Playa Vista is a planned community on the site of 20th century business mogul Howard Hughes' aviation company. It has thousands of residents, and offices there have become a strong draw for technology and entertainment firms.
This month Web giant Google bought 12 acres at Playa Vista where it can build as much as 900,000 square feet of new office or studio space. Competitor Yahoo Inc. is expected to lease about 130,000 square feet of office space at Playa Vista in a separate deal.
DivcoWest has been looking to get into Playa Vista for more than two years, said Michael Provost, director of acquisitions.
"Playa Vista has become an epicenter" for tech and media companies, he said. "Playa Vista really feels like the time is now."