Trizec Properties Inc., the second-largest U.S. real estate investment trust, said Wednesday that it had agreed to sell the 14-story Herbalife Building in Los Angeles to closely held Jamison Properties Inc. for $22.3 million in cash.
The 358,000-square-foot building at La Cienega and Century boulevards was built in 1983. Its primary tenant is Herbalife International Inc., a marketer of weight-loss products. With the sale, Chicago-based Trizec is leaving the office sub-market surrounding Los Angeles International Airport, spokesman Rick Matthews said.
Trizec still has property in downtown Los Angeles and Long Beach. The company, which manages the Sears Tower in Chicago, has ownership interests in and manages 64 properties in and around seven U.S. cities. Trizec also has stakes in two retail and entertainment properties -- the Hollywood & Highland complex in Los Angeles and the Desert Passage mall in Las Vegas.
The Herbalife Building announcement was made after the close of regular trading Wednesday. Trizec shares rose 6 cents to $13.97 on the New York Stock Exchange. They have gained 49% this year, more than double the 18% increase in the Standard & Poor's 500 index.