Douglas Emmett Inc. now owns over one-fifth of the Class A office stock in Beverly Hills. The REIT just acquired the 225,000-square-foot property at 8484 Wilshire Blvd. from L. Flynt, LTD.-8484 Inc. for $89 million, bringing its total presence in the submarket to 1.6 million square feet.
Douglas Emmett financed a portion of the acquisition with cash on hand. The 10-story tower last traded in 1994, when publisher and activist Larry Flynt acquired it for, as reported in the Hollywood Reporter, less than $19 million. Since then, the office destination has become commonly known as the Flynt Building.
It’s not just any building. The William Pereira-designed property, originally developed in 1972 to house offices of Great Western Savings, holds the distinction of being one of the few elliptical-shaped buildings in Los Angeles.
The property comes with a diverse tenant roster that includes users ranging from physicians and attorneys to entertainment firms and the consulates of Brazil and the Consulate of Ecuador.
With a price tag of $395 per square-foot, 8484 Wilshire fetched a pretty penny, but a few other office properties in Beverly Hills have recently commanded even prettier pennies. During the first quarter of 2013, the building at 100 Crescent Dr. sold for $667 per square-foot, and in the fourth quarter of 2012, 474 N. Beverly Dr. reeled in a whopping $1 million per square-foot.
Douglas Emmett’s last office purchase in the submarket came in 2011, when the REIT snapped up the 74,000-square-foot asset at 150 S. Rodeo Dr. for $42 million, or $568 per square-foot.