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Thursday, Mar 28, 2024

Media Tenants at Last Getting to the Pointe in Burbank

L.A.’s loss is Burbank’s gain. Independent television station KCET-TV is moving from its longtime home on Sunset Boulevard to the 14-story office tower, the Pointe, on Alameda Avenue by next April, said Jeff Worthe of Worthe Real Estate Group, the property’s owner and manager. The move is significant because it reinforces the fact that Burbank is the media center of the world. It also marks a turning point for a key property that has struggled to woo tenants as a result of a challenging commercial real estate market. KCET-TV will leave its 105,000-square-foot property in Los Feliz to fill more than 55,000 square feet at the Burbank office building, Worthe said. Outlook Amusements, a present tenant, occupies one floor of the tower at 35,000 square feet. DC Comics will occupy one floor in August, and Fidelity Investments is set to take over the ground floor in October, Worthe said. “Individually, all four tenants are great for Burbank and this shows positive absorption for the space,” he said. “It isn’t someone just relocating.” All companies are new to the city, he added. “This shows that this is an attractive place for companies to locate due to the structure the city has put in place,” added Worthe. City incentives include no gross sales tax or city income tax and a very efficient permitting process, said Mary Hamzoian, Burbank’s economic development manager. Anyone involved, including businesses, brokers and tenants, can contact members of the economic development team to receive assistance throughout the permitting process. “We have such great incentives compared to other cities and that’s why you see more of an emergence,” she said. “We also try to build a collaborative relationship with our tenants.” The selection of occupants and the bad economy can pose potential challenges when filling in the office space, Worthe said. “Anytime you open a building in a bad economy, it will be challenging,” he said. “You have to be selective and wait for the right companies to come along and not take in tenants that will hurt the building.” Typically, all of the tenants will have at least a 10-year lease, he said. “Jeff has been holding out for the right tenants,” Hamzoian said. Burbank is also a clean and safe city and has adapted very “forward thinking,” which helps when drawing in more businesses, she said. “It’s a win-win situation.” Worthe Real Estate Group acquired part of the NBC lot in 2006 and renamed it the Pointe. The rest of the NBC’s Burbank studios was acquired by the group in 2008 and renamed Burbank Studios. Capital Realty Ash Joshi of Capital Realty represented Tropical Creations, Inc. in leasing more than two acres of commercial property in the Greater San Fernando Valley. The site is located at 22957 Sierra Highway at the 5 and 14 freeways. The landscaping service company is set to occupy the property in June, after installing a mobile office building, which will house about five employees. Tropical Creations employs 45 people and also has storage facilities in Van Nuys and Whittier. “We were looking for multiple acres for a landscaping storage and contracting yard at reasonable costs, but there was nothing available meeting those criteria in the Valley,” said Chris Sturm, president of Tropical Creations. So Sturm enlisted the services of broker Ash Joshi, principal of Capital Realty Solutions Inc. of Encino. Joshi previously guided Sturm to his headquarters facility in Van Nuys, after selling their previous building, a 7,000-square-foot facility in Northridge. “Uncovering land to meet the requirements of Tropical Creations was like finding a needle in a haystack,” Joshi said. “We were fortunate to uncover a strategically located site of over two acres in Santa Clarita that wasn’t even on the market. Chris said it was close enough to work. A parcel like this doesn’t even exist in the Valley at this size with the suitable zoning.” Joshi previously represented Sturm when he sold Sturm’s 7,000-square-foot facility in Northridge. Dennis Verner of SCV Commercial in Santa Clarita represented Gate-King LLC, the property owner. The terms of the lease were not disclosed. Lee & Associates An executive appointment was announced at the Lee & Associates LA North/Ventura, Inc. location. Dennis Herzig will join the real estate firm as vice president. He is a specialist in the acquisition and sale of retail properties and office properties in the San Fernando Valley and throughout Southern California. Previously, Herzig was with Investment Real Estate Associates as a senior advisor, and prior to that, he held the position as vice president with Sperry Van Ness. Along with Herzig, eight other agents have been added to the Lee and Associates LA North/ Ventura, Inc. team over the past few months. “Dennis’s sweet spot — investment sales in the $2-$10 million range — fits perfectly with our business focus,” said Mike Tingus, president. “And his focus on smaller retail buildings and shopping centers expands the services we offer our clients. He is a great addition to the team.” Center Business Management Almost 6,000 square feet of retail space was leased by Center Business Management agents within the month of May. Encino-based agent David Levcovitch handled the leasing of 2,650 square feet of retail space for 7-Eleven from Tree Investments LLC. The area is located at 6740 Reseda Blvd. A little more than 2,034 square feet at 17071 Ventura Blvd. was leased to a dentist from the D & R Group. Agent Alex Shabani out of CBM’s West LA office handled the transaction. Shabani also handled the transaction for a 1,230-square-foot property on Ventura Blvd., which was leased to Day Spa/Massage from the D & R Group. Staff Reporter Mary Catherine Holcomb can be reached at (818) 316-3124 or at [email protected].

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