TV producer Endemol rents space in West Hollywood, North Hollywood
Endemol USA, producer of the house-fixing television show “Extreme Makeover: Home Edition,” has more than doubled the size of its own quarters in West Hollywood and North Hollywood.
Endemol develops popular reality-style shows such as “Big Brother” and”Wipeout”as well as scripted dramas, including the railroad western”Hell on Wheels”on AMC.
The company has consolidated in two office buildings while expanding its overall space to 75,000 square feet, said broker Michael P. Arnold of Newmark Knight Frank. Endemol rented 25,000 square feet at 9255 W. Sunset Blvd. in West Hollywood and 50,000 square feet at 5200 Lankershim Blvd. in North Hollywood.
Terms of the leases were not disclosed, but landlord First Property Realty Corp. asks for $3.25 per square foot per month in the West Hollywood building, and landlord Jamison Services Inc. seeks $2.35 a foot in North Hollywood, according to real estate data provider CoStar Group.
Newmark Knight Frank also recently represented concert promoter Live Nation Entertainment Inc. in leases for 40,000 square feet of offices in Beverly Hills and about 150,000 square feet in Hollywood.
Setting up dual quarters to save money on real estate is a trend among entertainment firms, said Arnold, who with partner Greg Frankovich specializes in representing industry tenants. At Live Nation, top executives are housed at one site and ancillary workers at another.
“What we are seeing is media and entertainment companies trying to be efficient and reduce costs,” Arnold said.
Real Office Centers to open Santa Monica branch
Real Office Centers, which provides executive suite-style offices for the young and tech-savvy, will set up shop in a Santa Monica office building last occupied byGoogle Inc.
Landlord Hudson Pacific Properties Inc. said Real Office Centers leased all of the 44,260-square-foot building at 604 Arizona Ave. Terms of the agreement were not disclosed, but Hudson sought $3.27 per square foot per month for space in the building, CoStar said.
“This property generated significant interest from prospective tenants due to the limited supply of creative office space throughout West Los Angeles,” said Victor Coleman, chief executive of Hudson.
Real Office Centers will reconfigure the three-story property to have more than 200 offices that it hopes to rent to as many as 150 small companies, Chief Executive Ron McElroy said.
“We’re offering a shared office environment geared toward the high-tech and entertainment industries, which is the market we see in Santa Monica,” he said.
The center is set to open Sept. 1 after Real Office spends as much as $4 million reconfiguring the interior and installing conference facilities, a kitchen, a coffee bar, furniture and other enticements for tenants.
“We’re making a social environment that is engaging for up-and-coming entrepreneurs,” McElroy said.
Orange County-based Real Office Centers has outposts in Newport Beach, La Jolla and San Diego. It’s planning two more in the Los Angeles area, McElroy said.
Two California Plaza to go into receivership
Los Angeles office landlord MPG Office Trust Inc. said Friday it had consented to put its downtown skyscraper Two California Plaza into receivership.
The move was the first step in MPG’s plan to quit ownership of the 52-story tower at 350 S. Grand Ave., which is encumbered with $470 million of mortgage debt.
“Two California Plaza is an asset that is significantly over-leveraged,” Chief Executive David L. Weinstein said. “While we are disappointed that the company was unable to retain this asset, we were unable to restructure the loan on terms that were in the best interests of our stockholders.”
MPG determined that it was more prudent to use its cash to support its remaining downtown office portfolio, he said. Among its holdings is US Bank Tower, the tallest building in the West, and One California Plaza.
The company is laboring with debt it took on in a property acquisition spree during the real estate boom of the mid-2000s.
