SOLD!: Playa Vista — which was crowned Silicon Valley South in recent years — has seen the sale of the mixed-use project Runway Playa Vista.
The development, which has nabbed Fred Segal as a tenant, totals 217,000 square feet of retail, 420 apartments and 33,000 square feet of office space. It sold for a reported $475 million to Invesco Real Estate from developers Lincoln Property Co., Phoenix Property Co. and Alcion Ventures in a deal unveiled Wednesday. Both sides in the deal were represented by HFF.
The move by Fred Segal is an interesting one and had not been revealed prior to the project’s sale. A spokesperson for the company confirmed the company has taken up 20,000 square feet of space there as part of the retailer’s expansion plans, but declined further comment. It’s unclear if the Playa Vista location would replace one of the company’s existing doors in California or serve as an addition to the store lineup.
Runway also nabbed Hal’s Bar & Grill, which had previously been located on Abbot Kinney Boulevard, and is set to reopen in Playa Vista this year. Other restaurants on the tenant roster include Sol Cocina, Da Poke Spot and Roc.
“It was a very highly sought-after asset,” said HFF senior managing director Doug Bond. “You cannot replicate something like Runway.”
Bond declined to confirm reports on the purchase price.
Runway is anchored by a Cinemark Cinema, Whole Foods and CVS Pharmacy. Brokers from CBRE, the firm handling leasing at the project, confirmed additional retail and food-related users have inked deals, but declined further comment. The project is likely to be fully occupied by the end of the year, according to Bond.
Playa Vista has become a tech hot spot in more recent years, attracting companies such as YouTube, Yahoo, Facebook and Google. The Honest Co. said last year it intended to relocate from Santa Monica to Playa Vista in the early part of this year.