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6/06/25
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Barings closed on the purchase of i|o at Playa Vista, a 306.8k sf, creative workplace campus in Playa Vista, on Los Angeles’ westside. The asset was sold by Clarion Partners in a $150.7 mil ($491/sf) transaction.
The two-building, mixed-use i|o campus has signed 78k sf of new leasing over the past 24 months at market-leading rates, demonstrating its tenant appeal in a flight-to-quality leasing environment. The property, delivered in 2010 and completely redesigned by Gensler in 2016, has maintained an average occupancy level of over 90% since it was redesigned.
The campus provides a compelling, collaborative indoor/outdoor workplace wrapped in a distinct architectural language that includes exterior stairways, large amenitized decks and abundant space amidst a serene interior landscaped courtyard. The property benefits from its central location that offers immediate access to the I-405 and Marina (SR 90) Freeways and the main arterials of the Pacific Coast Highway, La Cienega and LAX, as well as an abundance of amenities and the Westside’s desirable executive housing.
Newmark Co-Head of U.S. Capital Markets Kevin Shannon, Vice Chairmen Ken White, Rob Hannan, Laura Stumm and Michael Moll represented the seller in the deal. Newmark Co-President, Global Debt & Structured Finance Jonathan Firestone, Vice Chairman Blake Thompson and Director Henry Cassiday provided support on debt strategy and financing considerations throughout the transaction process.
“The response from institutional investors for i|o at Playa Vista was exceptionally strong — a clear sign that institutional capital is re-engaging in the office sector,” said Shannon. “The managed bid process was highly competitive which speaks to a broader sense of recovery in the capital markets for quality office product.”
“Buyers embraced i|o’s rollover profile, which included significant near-term expirations,” added Stumm. “The willingness of institutional investors to take on leasing uncertainty is a clear vote of confidence in both the Playa Vista submarket and the broader office recovery. The market continues to reward high-quality assets, and this sale reinforces that trend.”
Trophy buildings in prime locations like Playa Vista are outperforming other asset classes, fueled by strong demand for high-end design and amenities that attract companies eager to bring workers back to the office, according to Newmark Research.
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