Google To Take Over Almost 600k Square Feet At Westside Pavilion
In a bid to increase its presence in Southern California, Google recently signed a 14-year lease to occupy 584,000 square feet at the new development called One Westside, formerly home to the Westside Pavilion shopping mall. The move comes after leasing 100,000 square feet in Venice and 450,000 square feet in Playa Vista.
Hudson Pacific Properties recently acquired a majority stake in Westside Pavilion and announced plans to convert the shopping mall into office space for tech companies. Google was then able to negotiate to take over almost the entirety of the former Westside Pavilion site, signing a 14-year lease that will begin when conversion of the site is completed in 2022. Construction is expected to begin later this year, and will involve re purposing the high ceilings, multi-level atrium, and skylight into a flexible layout that will allow for plenty of natural light in a modern office environment. The property will also include rooftop amenity space as well as direct-access to about 100,000 square feet that will remain as retail space.
The move is significant in multiple respects. On its face, it is further affirmation of the decline of demand for retail space. The site was previously home to The Pavilion, which was previously one of the area’s top shopping malls and regularly featured in movies and other media. However, the decline of retail, coupled with nearby developments such as Westfield Century City, has caused Westside Pavilion to struggle to retain its occupants in recent years. On the other hand, it bodes well for Los Angeles residents who will reap the benefits of increased availability of jobs in the area. The real estate market in the area will also likely boom, similar to the boom recently seen at nearby “Silicon Beach”.
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