After being delivered to Los Angeles’ South Bay submarket earlier this year, a 61,380 square-foot creative office campus has hit the market. The property, which serves as headquarters for smart security system operator Ring, is 100-percent leased to Amazon, an offering memorandum obtained by The Registry showed.
The two-story office building, located at 12515 Cerise Avenue in Hawthorne, is being listed by CBRE for an undisclosed amount. According to the offering memorandum, the property totals 2.88 acres and also contains a seven-story parking structure with 628 parking spaces. While the price remains unlisted, the offering memorandum shows average prices for similar properties throughout the state range from $1,300 per square foot in Beverly Hills to $2,200 in Palo Alto.
The property is currently leased to Ring’s parent company, Amazon, through 2031, with 3.5 percent contract rent escalations built in beginning in March of 2026. According to the offering memorandum, the property’s net operating income is approximately $2.88 million in the first year with the tenant’s rent totaling $4.21 per square foot per month. Of the 1.5 million square feet of office space delivered to Los Angeles County, rental rates averaged $3.70 per square foot, CBRE reported in an office market report for the second quarter of 2021.
Located near Silicon Beach, the property is in close proximity to various technology and aerospace companies, including the 2.5 million square-foot global headquarters for SpaceX. Other neighboring companies include Tesla, Venturi Astrolab, Skyrise, Base51, CXC Simulations and more. The property is also adjacent to the Hawthorne Municipal Airport and near Interstate 105, providing quick access to the rest of the Greater Los Angeles area.
Currently, the property is owned by Vella Group, which announced plans to develop the property in 2018.
“Hawthorne has become a hotbed for technology companies seeking sustainable alternatives to creative office space in El Segundo and L.A.’s Westside,” Zach Vella of Vella Group said at the time of the announcement. “We are thrilled to play a role in this exciting transformation that will continue to bring good-paying, creative jobs to the city.”
CBRE was also contacted, but did not respond in time to comment on this story.
