Skyscraper Union Bank Plaza on the block again
Union Bank Plaza, one the oldest – and most frequently traded – skyscrapers in downtown Los Angeles is on the market again.
The 40-story building on Figueroa Street between 4th and 5th streets became the headquarters of Union Bank when it was completed in 1967 at a cost of $30 million. It was the tallest building in the city, surpassing the Occidental Tower (now AT&T Center) on South Olive Street by several stories.
Texas developer Hines acquired the 627,000-square-foot Union Bank Plaza in late 2008. It was one of 53 Southern California office buildings in a portfolio that Hines bought for $1.4 billion after a group led by Cabi Developers of Miami was unable to keep up loan payments. Previous owners of the plaza have included Arden Realty Inc. and Walton Street Capital. Hertz Investment Group and Dallas-based Skyrise Properties paid almost $90 million for it in 2001. A Hines spokeswoman confirmed to Bloomberg that the building is for sale again but did not reveal its price.
The building is considered a stable investment because more than half of it is leased to Union Bank, which is expected to remain there for the foreseeable future. With other tenants including the restaurant Ciudad, the property is 95% leased, according to real estate data provider CoStar Group.
Brokerage Jones Lang LaSalle has the listing, industry observers said. Jones Lang declined to comment.
High-rise office buildings at 801 S. Figueroa St. and 660 S. Figueroa St. are also for sale.
-- Roger Vincent
Photo: Union Bank’s headquarters under construction in downtown Los Angeles in the 1960s.
Credit: Los Angeles Times