Silverstein Properties, a private real estate developer, owner, and property manager based in Manhattan, closed on the acquisition of U.S. Bank Tower, a 1.4 million square foot trophy office building in Downtown Los Angeles. Silverstein purchased the property from Singapore real estate company OUE Ltd. for $430 million.
This acquisition follows the purchase of 1735 Market Street in Philadelphia and the recent opening of 3 World Trade Center in New York, each the very best office building in their respective cities.
“I am thrilled to add this outstanding property to our portfolio,” said Larry A. Silverstein, Chairman of Silverstein Properties. “I believe in the future of Downtown Los Angeles. Many of the world’s largest and most innovative companies are headquartered on the west coast. The building is centrally located, easily accessible by car and public transportation. And over the past few years, Downtown Los Angeles has started to transform into to a 24/7 community, with new residential buildings, restaurants, and bars – much like lower Manhattan in the years after 9/11. It is also home to the city’s top museums, live music venues and sports stadiums.”
U.S. Bank Tower was designed by Pei Cobb Freed & Partners and built in 1989 by Maguire Properties. Located near the Pershing Square Metro station, it is the second tallest tower in Los Angeles at 1,018 feet, and one of the most prominent buildings on the city skyline. U.S. Bank Tower is LEED Gold-certified, and its tenants include U.S. Bank, Lewis Brisbois Bisgaard & Smith LLP, Thompson Reuters, and Marsh USA. Since 2013, the property has undergone a $60 million capital improvement program, including lobby renovation, tenant amenities, and infrastructure modernization.
Silverstein Properties plans to invest in a comprehensive capital improvement program to provide building tenants with a creative office campus in a vertical urban environment. The program will include designing and managing new amenity spaces and common areas, new destination dispatch elevators, as well as introducing INSPIRE, its hospitality-focused tenant experience program and mobile app designed to help tenants get the most out of their workday.
“Downtown Los Angeles is a vibrant and growing market,” said Jeff Grasso, Head of Acquisitions for Silverstein Properties. “It is home to a diverse mix of companies that are attracted by its central location, new housing, and easy access. It also benefits from Los Angeles’ comprehensive Metro plan that envisions Downtown as the hub.”