By Lilly Riddle
An office tower has hit the market in Glendale. The 15-story property, called The Gild, is located at 505 N. Brand Blvd in Los Angeles County. It is 329,431 square feet of space on a 2.5-acre lot, with an average of 23,000 square feet per floor. According to industry sources that track commercial deals in Southern California, the pricing guidance is $200 per square foot, or approximately $65.9 million. The current owner is Goldman Sachs, which partnered with a development firm called Cruzan to buy the property, according to industry reports. They bought the building in 2018 for $93.5 million, or approximately $283 per square foot
The tower is currently 54 percent leased, with a weighted average lease term of 4.2 years, according to a marketing brochure from Newmark. There are 19 tenants, the largest of which are Phonexa Holdings, which has 42,176 square feet of space; the CA State Board of Equalization, which occupies 37,496 square feet; Wood, Smith Henning & Berman with 12,461 square feet; and Kom Ferry with 12,319 square feet. All of their leases expire within the next year. Other tenants include CalSTRS, Packer, O’Leary & Corson and American Healthcare Systems, which also have leases expiring within 12 months.
The property was built in 1986 but recently underwent a nearly $14 million renovation. Since 2019, according to the brochure, Goldman Sachs has invested $43 per square foot into renovations and cosmetic upgrades, including $6.34 million into the first floor lobby and interior, $2.7 million into the common area, $2.4 million into the base building and $270,000 into parking structure improvements. There are 1,209 parking stalls.
According to the market listing, tenant build-outs comprise more than 31 percent of the property, and 44 percent of the existing tenants have increased their square footage more than threefold since commencement. Kom Ferry increased from 4,321 to 12,319 square feet, for example, and American Healthcare Systems increased from 3,052 to 8,764 square feet, according to the listing.
Other asset highlights include a building top signage opportunity, unobstructed panoramic views, LEED Platinum certification, outdoor balconies, an on-site concierge, 13-foot slab-to-slab ceiling heights and an amenity-rich location. The property is located in the Tri-Cities submarket near the 134 Freeway, as well as The Americana at Brand and Glendale Galleria — each of which have more than two million square feet of high-end retail. It’s also located in close proximity to submarkets such as Silver Lake, Los Feliz and Atwater Village, as well as transportation centers like the I-5 Freeway and Glendale Metrolink station. Within walking distance are well-known brands such as Apple, Chanel, Nordstrom, Gucci, Bloomingdale’s and Macy’s.
Kevin Shannon, Rob Hannan, Michael Moll, Laura Stumm, Ken White, Kevin Donner, Alex Beaton, David Milestone, Henry Cassiday, Anneke Greco and Gil Canton of Newmark are leading the marketing efforts for this property.
