Douglas Emmett Buys Century City Property

Douglas Emmett Realty Advisors expanded its base of holdings on Los Angeles’ Westside by purchasing a 25-story office building in Century City for about $80 million.

The acquisition of 1801 Century Park East gives Douglas Emmett, which buys and manages buildings on behalf of institutional investors, a substantial presence in the prestigious Century City office market. The 365,000-square-foot building is 95% leased, with professional firms making up the bulk of its tenants.

The seller, JMB Group Trust III, was represented by broker Kennedy-Wilson Inc.

“The prominent location of this building helped generate interest from several potential investors nationwide,” said Mary Ricks, managing director of Kennedy-Wilson’s commercial property division.

The Century City deal is the most recent in a string of acquisitions Douglas Emmett has made in the last five years.

The Brentwood-based firm, headed by Dan Emmett, has focused much of its attention on the Westside, where high demand has boosted rents and reduced vacancies.

Earlier this year, for example, Douglas Emmett Realty purchased Santa Monica’s tallest building, 100 Wilshire, from an affiliate of Japan’s Asahi Urban Development. The firm paid approximately $90 million for the 21-story building.

The firm also is organizing a major overhaul of the failed Sherman Oaks Galleria shopping mall, much of which will be converted to office space.