LaSalle buys LA offices for $168m

LaSalle Investment Management has purchased a three-building, Class A office portfolio in west Los Angeles, the firm said on Thursday.
 
A spokesman declined to comment on the acquisition price, but PERE understands that the Chicago-based firm paid $168 million on behalf of an undisclosed separate account. The Los Angeles-based sellers were Canyon Capital's Catalyst Fund, a joint venture between Canyon and the California Public Employees' Retirement System that works with emerging managers, and investment firm Pacshore Partners.
 
Two of the offices are located in Playa Vista, at 5340 Alla Road and 12901 Jefferson Boulevard. Both benefit from “continued leasing demand,” according to Thursday's statement.
 
The other office is in Malibu, at 22619 Pacific Coast Highway, and LaSalle plans to continue a renovation converting a single-tenant office into a multi-tenant building. The area lacks Class A office space and is a high barrier-to-entry market, LaSalle said.
 
“With its strong fundamentals and demographic profile, west LA continues to be a target market where LaSalle believes great value can be achieved for our investment clients on both a short- and long-term basis,” Steve Inglis, the firm's portfolio manager, said in last week's statement. “We look forward to enhancing these three assets and driving property performance in an efficient and accretive manner.”
 
LaSalle managed about $60 billion as of the end of the third quarter, according to the statement.