• 0
  • Home
  • About Us
  • What We Do

Shopping Cart

GPAM
  • Home
  • About Us
  • What We Do

Value of Gas Company Tower in DTLA drops another 21%

The Gas Company Tower, L.A.’s fifth tallest building, is worth one-fifth less than a year ago and two-thirds less than its value in 2021.

The value of the 52-story tower, now on the market by a receiver after Toronto-based Brookfield walked away from its debt obligations, is $214.5 million — 21 percent less than its appraisal last summer, the Commercial Observer reported, citing figures from Trepp.

The spire at 555 West 5th Street in Downtown is backed by a $350 million commercial-mortgage backed securities loan and more than $100 million in mezzanine financing.

Three years ago, the 1.4 million-square-foot building was valued at $632 million, or $451 per square foot. That means its latest value amounts to 34 percent of its worth in 2021.

The new valuation for the property works out to $153 per square foot — a potent indicator of the decline in the Downtown office market since the pandemic shift to remote work.

The Gas Company Tower, set for a foreclosure sale, is 57 percent leased, according to JLL, down from 73 percent in September 2022.

In February of last year, Brookfield defaulted on two senior loans attached to the property — one for $210 million and another for $140 million. The combined debt is now $465 million.

The alternative investment firm, ranked by Zippia as the world’s second-largest real estate company behind Austin-based Keller Williams Realty, last spring handed over its keys to the receiver, Gregg Williams of Trident Real Estate Group.

This month, Trident hired JLL to market the 33-year-old tower, revamped in 2017, for an undisclosed price.

CoStar also reported the city could be a potential buyer, according to foreclosure filings

The City of Los Angeles is set to move more than 1,200 employees from five municipal departments into the Gas Company Tower after signing a 15-year lease for 308,000 square feet.

The deal came after WeWork announced in February it would vacate 92,000 square feet at the tower, and law firm Sidley Austin is set to exit 137,000 square feet in October 2026.

— Dana Bartholomew

Read more

Los Angeles


Brookfield’s Gas Company Tower goes into receivership
Brookfield’s Gas Company Tower goes into receivership

Los Angeles


LA city returns to negotiating table for Gas Company Tower lease
LA city returns to negotiating table for Gas Company Tower lease

The post Value of Gas Company Tower in DTLA drops another 21% appeared first on The Real Deal.

Powered by WPeMatico

  • 31 May 2024
  • The Real Deal
  • Uncategorized
  •  Like
OC hotelier Tushar Patel delinquent on loan tied to Anaheim Marriott →← Abington Emerson wins appeal to build 36 units in LA’s West Adams
  • Recent Posts

    • Mayor Karen Bass blasts everyone but herself for wildfire mishandling May 7, 2025
    • WEA, Beverly Hills Estates cut deal on $27M Malibu Colony home May 7, 2025
    • Oil firm eyes homes, hotel near Bolsa Chica wetlands in Huntington Beach May 7, 2025
    • Bankrupt Rite Aid to market 1.3K stores, including dozens in LA County May 7, 2025
    • Carolwood flexes with new LA pocket listings portal, boasting $1B+ in inventory May 7, 2025
  • Recent Comments

    • Archives

      • May 2025
      • April 2025
      • March 2025
      • February 2025
      • January 2025
      • December 2024
      • November 2024
      • October 2024
      • September 2024
      • August 2024
      • July 2024
      • June 2024
      • May 2024
      • April 2024
      • March 2024
      • February 2024
      • January 2024
      • December 2023
      • February 2023
      • January 2023
      • December 2022
      • November 2022
      • October 2022
      • September 2022
      • August 2022
      • July 2022
      • June 2022
      • May 2022
      • April 2022
      • March 2022
      • February 2022
      • January 2022
      • December 2021
      • November 2021
      • October 2021
      • September 2021
      • August 2021
      • July 2021
      • June 2021
      • May 2021
      • April 2021
      • March 2021
      • February 2021
      • January 2021
      • December 2020
      • November 2020
      • October 2020
      • September 2020
      • August 2020
      • July 2020
      • June 2020
      • May 2020
      • April 2020
      • March 2020
      • February 2020
      • January 2020
      • December 2019
      • November 2019
      • October 2019
      • September 2019
      • August 2019
      • July 2019
      • June 2019
      • May 2019
      • April 2019
      • March 2019
      • February 2019
      • January 2019
      • December 2018
      • November 2018
      • October 2018
      • September 2018
      • August 2018
      • July 2018
      • June 2018
      • May 2018
      • April 2018
      • March 2018
      • February 2018
      • January 2018
      • December 2017
    • Global Property and Asset Mangement, Inc.
      137 North Larchmont
      Los Angeles, California 90010
      +1 213-427-1127

    © 2025 GPAM