The ivy-covered Fred Segal center at the corner of Melrose Avenue and Crescent Heights, a must-shop destination for the fashion flock since 1965, has been sold, according to the firm that negotiated the sale.
Global real estate investment company Kennedy Wilson, which represented both seller 8100 Melrose Associates, LLC and buyer CormackHill LP, announced the sale of the restaurant and retail complex via a March 24 press release, described the piece of real estate at 8100 Melrose Avenue as including a 29,000-square-foot building and 102 parking spots, and noted that “[t]his was the first time in over 40 years that this high profile property had been on the market.”
The purchase price, which has not been officially disclosed, is reportedly in the neighborhood of $43 million.
What plans, exactly, does the Canadian-based retail real estate investor CormackHill have for the property? Although we haven’t heard directly from the company (we’ll update this story if we do), we did speak briefly with Kennedy Wilson’s executive managing director of brokerage Ed Sachse — the guy who negotiated the deal.
“The buyer’s plan for 8100 Melrose is to continue operating the property as an iconic retail location in Los Angeles,” said Sachse, who told us the sale closed on March 11.
That makes it the second bit of Fred Segal-related real estate news this month, the first being that the Fred Segal Santa Monica center — which had already down-sized from two buildings to one in 2014 — is slated to shutter its remaining space at 420 Broadway for good at the end of the month, reportedly to make way for redevelopment of the area.
Neither of the existing Fred Segal centers were included part of a May 2012 deal that sold worldwide rights to the Fred Segal name to Sandow, a New York City-based media firm that has since launched a line of Fred Segal branded products and opened locations in the Tom Bradley International terminal at LAX (in September 2013), the SLS Las Vegas Hotel (August 2014) and Tokyo’s Daikanyama neighborhood (April 2015). The Sandow-owned Fred Segal brand also plans to establish a foothold here in So Cal, with plans underway to open a 20,000-square-foot space in the Runway Playa Vista development this year.