Preview: Tri-Cities Office Sales Up

A spate of major deals has made the Tri-Cities the hottest commercial real estate market in Los Angeles, surpassing West L.A. and Hollywood. The most recent trade was a nearly 878,000-square-foot Glendale bundle – including two class A buildings, 801 N. Brand Blvd. and 700 N. Central Ave. CBRE Global Investors Ltd. bought the portfolio from New York hedge fund Blackstone Group for $122 million at the end of 2017. According to David Nusbaum, senior research analyst at CBRE Southern California research, Burbank had a strong 2017, with a 230,000-square-foot net absorption while Pasadena reported 120,000 square feet of net absorption. While Glendale posted -52,000 square feet absorption for the year with several companies such as ACCO and Nestlé USA (in 2018) moving out, that statistic belies the overall trend in the Tri-Cities’ market. “Tri-Cities is up 250,000 square feet in net absorption for 2017,” Nusbaum said. “(Companies are) coming in because they see that value.” Read the full story in the Feb. 19 issue of the San Fernando Valley Business Journal.