The Link in Burbank’s Media District Sells for $62M
The Link, a recently renovated seven-story class-A office building located at 2901 West Alameda Ave. in Burbank, sold to Pendulum Property Partners for $61.5 million. Totaling 124,785 square feet, the property features creative office space and post-production, broadcasting, screening and editing facilities.
Newmark’s Kevin Shannon, Ken White, Rob Hannan and Laura Stumm represented the seller, a partnership between Fortress Investment Group and Ocean West Capital Partners. Acquisition financing was arranged by Newmark’s David Milestone, Brett Green and Henry Cassiday.
“If anybody doubted the resiliency of the entertainment industry or its status as LA’s guiding light, the pandemic has erased any hesitation and Burbank is Exhibit 1-A,” says Hannan. “As the epicenter and backbone of LA’s expansive entertainment infrastructure, Burbank has benefited tremendously from the explosive growth of content providers, streaming or otherwise.”
The property features a collaborative outdoor courtyard, redesigned lobby, enterprise-grade dark fiber connectivity, updated exterior and a 2,500-square-foot outdoor patio on the seventh floor. The property is currently 76 percent leased to five tenants.
“Buoyed by persistent demand from content creation providers and synergistic post-production servicers, the Burbank Media District’s vacancy rate has dropped to sub-4 percent,” said Shannon. “Investor demand for this high conviction theme mirrors the intensity of the tenant demand, making Burbank one of the hottest office submarkets in Los Angeles right now.”
The Burbank Media District is an elite subset of 13 class-A buildings totaling 3.5 million rentable square feet, according to Newmark research. The District currently boasts the lowest vacancy rate in the Los Angeles office market at 3.8 percent. The submarket is fueled by demand from an ever-growing entertainment industry and a backlog of content creation and production due to the pandemic. Tenant velocity is expected to continue due the area’s quality office product, and surrounding film and television studios.