1. Kelsi Maree Borland is a freelance writer and editor living in Los Angeles. Her work
has appeared in publications such as Travel + Leisure, Angeleno and Riviera Orange
County.
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Last Updated: November 11, 2015
EXCLUSIVE
People Want to Be in Hollywood
By Kelsi Maree Borland | Los Angeles
RealShare NET LEASE WEST is almost here! Join W. P. Carey, Marcus & Millichap and more in Los Angeles on November 11-12.
The market has been known for its major creative office developments, most notably the Columbia Square
project by Kilroy Realty and the ICON at Sunset Bronson Studios project by Hudson Pacific Properties,
For an irreverent take on the macroeconomic environment, check out GlobeSt.com's Chief Economist authored by Dr. Sam Chandan.
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People Want to Be in Hollywood - Daily News Article - GlobeSt.com http://www.globest.com/news/12_1237/losangeles/economy/People-Wan...
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Robert Leveen: “People want to be
there, and it is easier to get around
there than in Downtown Los
Angeles.”
Just like the renaissance in DTLA, the Hollywood renaissance will take years and span economic cycles, but Leveen thinks that any investment in this
market now is a good one, saying, “Over the next 15 to 30 years, these are going to turn out to be very profitable developments.”
LOS ANGELES—The narrative about the Downtown Los Angeles renaissance is strong, but it isn’t the only L.A.
submarket experiencing a transformation. Hollywood is experiencing its own renaissance, and it is attracting
huge employers and residents. As a result, development and redevelopment projects are up, vacancies are
down and rents are on the rise. Robert Leveen, a principal at Lee & Associates and the president of the
Investment Services Group, talks to GlobeSt.com exclusively about the Hollywood market, where he is a local
expert and has been transacting deals for years.
“Hollywood is a little bit different from Downtown Los Angeles,” Leveen tells GlobeSt.com. “It is the
entertainment capital of the world and it is a major tourist destination. There is a lot of revenue to becaptured
just from tourism alone. That really is a better transformation. People want to bethere, closer to entertainment
and dining amenities. With the metro line, you're smack in the middle of DowntownL.A., and the San
Fernando Valley. This makes a lot of sense for people who prefer to use Uber and public transit.
He notes the new AvalonBay acquisition of a 5.8-acre land parcel in Hollywood, which sold for $99 million and will be developed into a 695-unit
mixed-use facility. “Sites that size are very hard to come by, and it is the perfect example of the trend in that market. Ultimately, that is going to
transform that location dramatically,” says Leveen. Other notable projects include the Frank Gehry-designed mixed-use property on the Sunset Strip
from Townscape Partners and the Wilshire Royale redevelopment project. “There is a desire for capital to flow to areas that are new and exciting,”
adds Leveen. “We have seen several exciting things happen in Hollywood over the years, and now with the economy turned around, Hollywood’s
fundamentals are trending up. It is also a younger place, and people view it as a global brand. It is a destination.
both of which have signed major leases with media companies. As a result, multifamily developers are reimagining old buildings into class-A
apartmentsfor employees who want to live near their office. “There are a lot of people moving to Hollywood,” says Leveen. “People want to drive less
and be closerto where they are working.”