The Insurance Exchange Building, a 124,374 square-foot retail building, has recently been put on the market, offering adaptive reuse opportunities in the heart of Downtown Los Angeles. A listing for the property by Anvers Capital Partners and Peak Commercial shows that the 12-story building is up for sale for $38 million, or approximately $305 per square foot.
Located at 318-320 W. 9th Street, the property sits on 0.3 acres and offers 12,000 square feet of ground level retail space and a large basement area. The property was initially built in 1924 by architecture firm Curlett & Beelman. According to public records, it was last acquired in 2009 for an undisclosed amount by Ljo LLC, an entity associated with Lance J. Ordin.
The building is currently leased to several garment industry tenants, all of which occupy space on a month-to-month basis. Additionally, with retail space in shell condition, the listing suggests the property could serve many adaptive reuse opportunities once all tenants have left the building.
“With a massive ground floor retail space that has been stripped to shell condition, the repositioning opportunities for The Insurance Exchange Building are endless. Additional opportunities lie in the conversion of the basement space as well as the rooftop. With elevator access to both and street access to the basement, the entire project provides potential investors with one of the most unique repositioning opportunities in all of DTLA,” the offering memorandum states.
On the corner of 9th and Olive Streets, the property is sandwiched between Downtown Los Angeles South Park and Financial Districts. Many shopping, dining and entertainment opportunities are within walking distance of the property, including LA Live, Microsoft Theater and the Crypto.com Arena. The building is also near several bus stops and a short drive to both Interstate 101 and 110.
Downtown Los Angeles has seen significant growth over the past two decades, with a population growth of 18,000 to more than 70,000 in that time, according to Peak Properties. Weekday populations also remain high at 500,000 people, and by 2040, downtown Los Angeles numbers are expected to nearly triple. In the immediate vicinity, the South Park district is also growing, with 12,500 residential units and 807,000 square feet of new retail space in development.
“Once strictly a 9-5 area for commuters, Downtown LA is becoming a city unto itself, evolving into a 24-7 neighborhood. Not only is Downtown Los Angeles the economic engine of the Southern California region, the city is also evolving at a pace and scale that are catapulting it onto the global stage,” the offering memorandum states.
Anvers Capital Partners and Peak Commercial did not respond in time to comment on this story.
