Wednesday, March 29, 2017

Avison Young negotiates three new leases in downtown Glendale, CA

Woolworth Building, 201 North Brand Boulevard, Downtown Glendale, CA

Mark Evanoff
Los Angeles, CA – Avison Young, the world’s fastest-growing commercial real estate services firm, announced today that it has negotiated three new leases totaling 18,649 square feet (sf) at the newly renovated historic Woolworth building in the heart of downtown Glendale, CA.

The leases include two ground-floor restaurant tenants, 85°C Bakery Cafe and The Halal Guys, as well as shared office workspaces tenant Regus, which occupies the entire second floor.

Located at 201 North Brand Boulevard, the 44,000-sf property was originally built in the 1920s and remodeled in 1942, when it became a Woolworth store. The structure was placed on the Glendale Register of Historic Resources in 1999.

Avison Young Principal Mark Evanoff, Andrew Berk, a Vice-President, and Chase Gordon, an Associate, who are all based in the company’s north Los Angeles office, represented landlords Gustavo Spoliansky and Loretta Scherer, partners in Los Angeles-based Bow Truss Capital, LLC.

The three new tenants all opened their doors this month. 85°C Bakery Cafe is occupying 2,865 sf; international restaurant chain The Halal Guys is occupying 2,284 sf, and Regus is occupying the entire 13,750-sf second floor, bringing energy to the project by providing space for tech, fashion and entertainment office users. The newcomers join existing tenant AT&T, which occupies 3,500 sf. 

Andrew Berk
Eighteen months ago, the Avison Young team began work with its clients, who acquired the nearly 44,000-sf property out of receivership in 2014. It was 89% vacant and functionally obsolete due to its inefficient floor plan, outdated systems, and years of deferred maintenance. It had also lost its anchor tenant.

Once Bow Truss Capital solidified its comprehensive renovation strategy and design plans while at the same time preserving the asset’s historical character and architectural features, the Avison Young team created a marketing plan to attract tenants to the unique space.

“The Glendale retail market has a significant amount of newer competitive product,” comments Gordon. “Our goal was to communicate the building’s new vision and prelease a large majority of the ground-floor retail space and second-floor office space to tenants within a compressed timeline.”

The Avison Young team worked to redefine the Woolworth building’s perception to potential tenants and create excitement by reintroducing it to the market as a unique mixeduse project with character, functionality and energy. A number of offers from a diversity of prospective tenants were secured, enabling Bow Truss to select the best mix.

Chase Gordon

“Bow Truss worked closely with the Glendale Historical Preservation Committee to undergo approvals for the façade renovation,” says Spoliansky.

 “Simultaneously to the exterior renovation, the Avison Young team diligently worked to communicate the building’s transformation to potential users, generated significant interest, and negotiated three leases. 

"Once those were signed, the major undertaking of tenant improvements as well as the complex installation of modern building systems to support the users was executed.”

He adds: “I am pleased to say that, as a result of this challenging undertaking, we have successfully delivered a vibrant, historically significant and quality asset complete with tenants that are meeting the demands of the community.”

The building’s transformation included new windowed retail frontage, brand new building systems, and renovation and refurbishment of its unique historical architectural features. The remaining 5,200-sf ground-floor retail space, in addition to basement and mezzanine office space totaling approximately 16,000 sf, has seen a considerable amount of interest from other potential users.

“Glendale is fast-becoming one of the premier live-work-play destinations in Greater Los Angeles, and the Woolworth building project exemplifies this shift perfectly with its neighborhood-serving retail and main-street feel,” notes Berk.

The Woolworth building, which is located at a key intersection in the Theatre District of downtown Glendale, is within a growing residential population of 225,000 people over a three-mile radius and a massive daytime employee population. 

The area is set to gentrify in the coming months and years, as nearly 3,300 new residential units have recently been completed or are soon coming to the market.

 The asset is also within a destination retail scene that includes nearby Tender Greens, Chipotle, Nordstrom, Bloomingdale’s The Americana at Brand and hundreds of other high-end amenities along Brand Blvd.

For a complete copy of the company’s news release, please contact:

Darcie Giacchetto


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