JUNE 27, 2022 – Tishman Speyer today announced the sale of 555 Aviation Boulevard, a 260,000 square-foot creative office campus for $205.5 million ($790 per square foot).
Tishman Speyer acquired 555 Aviation, located in Los Angeles’ popular El Segundo market, in 2015 for $45 million with the intent to convert the aging, single-story distribution and repair facility into a best-in-class, creative office environment. After its sole user, Xerox, vacated the building in 2017, Tishman Speyer embarked on a $44 million reinvention program that produced light-filled interior spaces accented by large windows, a state-of-the-art fitness center, cafe, and multiple outdoor gathering areas. The campus is now fully leased to Belkin International, Publicis and Fabletics.
This is Tishman Speyer’s second major office disposition in California over the past month. On June 9, the firm announced the sale of its Sunnyvale office campus in Silicon Valley. Acquired vacant in 2021, Tishman Speyer successfully leased the 719,037 square-foot, four-building campus in its entirety to Meta in less than one year. Its subsequent sale to CommonWealth Partners garnered the highest price ever for an office property in Silicon Valley, according to Newmark.
“With both 555 Aviation and Sunnyvale, we seized the opportunity to acquire well-located assets and reimagine them to serve the next generation of customers,” said Tishman Speyer CEO Rob Speyer. “These recent sales speak to the success of our repositioning strategies and the enduring appeal of collaborative, highly-amenitized office environments.”
Tishman Speyer Senior Managing Director Paul DeMartini added, “555 Aviation serves as a prime example of Tishman Speyer’s expertise in unlocking the full human potential of the built environment for the long-term benefit of our customers and co-investors.”
The Los Angeles office of Cushman & Wakefield represented Tishman Speyer in the transaction.
About Tishman Speyer
Tishman Speyer is a leading owner, developer, operator and investment manager of first-class real estate in 31 key markets across the United States, Europe, Asia and Latin America. We develop, build and manage premier office, residential and retail spaces for industry-leading tenants, as well as state-of-the-art life science centers through our Breakthrough Properties venture. With global vision, on-the-ground expertise and a personalized approach, we are unparalleled in our ability to foster innovation, quickly adapt to global and local trends and proactively anticipate our customers’ evolving needs. By focusing on health and wellness, enlightened placemaking and customer-focused initiatives such as our tenant amenities platform, ZO., and our flexible space and co-working brand, Studio, we tend not just to our physical buildings, but to the people who inhabit them on a daily basis. Since our inception in 1978, Tishman Speyer has acquired, developed, and operated 498 properties, totaling 219 million square feet, with a combined value of over $124 billion (U.S.). Our current portfolio includes such iconic assets as Rockefeller Center in New York City, The Springs in Shanghai, TaunusTurm in Frankfurt and the Mission Rock neighborhood currently being realized in San Francisco.
