Children's Hospital Los Angeles has agreed to lease a portion of Nestle USA’s former office space in Glendale, where the food company is the majority tenant, the health care provider confirmed in an email to the Business Journal.
The hospital currently leases two floors at 800 N. Brand Blvd. and will take another two floors, or nearly 50,300 square feet, said Lorenzo Benet, director of media relations for the Los Angeles-headquartered health care provider. He added that the deal was agreed upon in December. Nestle announced its relocation plans in early February.
Children’s Hospital plans to use the additional space for administrative purposes when it takes occupancy in the spring, Benet added, and will keep its clinics at the Sunset Boulevard location in Los Angeles and its outpatient centers.
According to CoStar Group Inc., Children’s Hospital currently leases about 23,000 square feet in the 518,300-square-foot Class A office building, which is fully leased. Nestle rents about 379,000 square feet on 11 floors, according to CoStar.
Nestle USA, a subsidiary of Swiss-based Nestle S.A., has been headquartered in the city since the late 1980s, according to the company. The food company said it plans to move headquarters to Rosslyn, Va. to respond to the rapidly changing food industry, and to be closer to most of its business and stakeholders. The move is part of a larger consolidation effort by the Swiss corporation.
Nestle said it will start the move later this year and finish by the end of 2018.