{"id":261343,"date":"2026-06-10T01:27:42","date_gmt":"2026-06-10T01:27:42","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/261343\/"},"modified":"2026-06-10T01:27:42","modified_gmt":"2026-06-10T01:27:42","slug":"601w-secures-132m-to-buy-brookfields-downtown-l-a-office-tower-commercial-observer","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/261343\/","title":{"rendered":"601W Secures $132M to Buy Brookfield\u2019s Downtown L.A. Office Tower \u2013 Commercial Observer"},"content":{"rendered":"

Another of the last few towers that once made up Brookfield<\/a>\u2019s expansive but distressed office portfolio in Downtown Los Angeles has a new owner.<\/p>\n

601W Companies<\/a> acquired the 55-story Class A office building at 333 South Grand Avenue, which features 1.4 million rentable square feet and covers a full block in Bunker Hill. The value of the acquisition for the Wells Fargo north tower was not immediately disclosed, although the buyer was reportedly in negotiations for about $180 million earlier this year.<\/p>\n

SEE ALSO: $1.34B Settlement Awarded in SoCal Property Fraud Case<\/a><\/p>\n

Northwind Group<\/a> provided a $132 million first-mortgage acquisition loan, and said the tower was acquired at a \u201cpronounced discount to historical levels, reflecting a broader repricing of Downtown Los Angeles office assets over the past several years.\u201d The loan includes an additional $48 million \u201cgood news\u201d lending facility for future leasing costs.<\/p>\n

\u201cThe broader repricing of Downtown Los Angeles office assets has created an attractive entry point that fundamentally changes the competitive position of new ownership,\u201d Ran Eliasaf, founder of Northwind Group, said in a statement. \u201cOlder buildings held by owners with elevated cost bases are constrained in their ability to offer the tenant improvement and leasing commission packages the market requires. Our borrower enters the market without that constraint.\u201d<\/p>\n

The building recently completed more $63 million in capital improvements, including the redevelopment of its retail space and renovations to the lobby.<\/p>\n

\u201cThe Bunker Hill submarket has historically attracted a concentration of financial institutions, law firms and government tenants, and this property is one of the best buildings in the area, considering its location, high-quality physical condition and its strong caliber of existing tenants like Wells Fargo and Gibson Dunn with strong in-place cash flow,\u201d Eliasaf added.<\/p>\n

Rael Gervis at Meridian<\/a> arranged the acquisition. John Vavas of law firm Polsinelli<\/a> represented Manhattan-based Northwind.<\/p>\n

The transaction marks Northwind\u2019s fifth loan to 601W Companies, and its first loan in L.A. with a repeat borrower. It originated the debt through Northwind Debt Fund III, the firm\u2019s latest flagship closed-end credit vehicle focused on real estate debt investments across major U.S. markets. The financing also reflects Northwind\u2019s most active year to date and its conviction in the current lending opportunity, with 2026 expected to be the highest annual origination volume in the firm\u2019s history.<\/p>\n

Earlier this year, Brookfield sold the adjacent Bank of America Plaza, which had been part of the same struggling office tower portfolio that made the company the largest office landlord in L.A., to Capital Group for $210 million, Commercial Observer reported<\/a>.<\/p>\n

Gregory Cornfield can be reached at gcornfield@commercialobserver.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"Another of the last few towers that once made up Brookfield\u2019s expansive but distressed office portfolio in Downtown…\n","protected":false},"author":2,"featured_media":261344,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35],"tags":[101521,3624,2664,101522,75,84,83,9,24,63,101523,38063],"class_list":["post-261343","post","type-post","status-publish","format-standard","has-post-thumbnail","category-manhattan","tag-333-south-grand-avenue","tag-channel","tag-investments-sales","tag-john-vavas","tag-manhattan","tag-manhattan-headlines","tag-manhattan-news","tag-new-york","tag-new-york-city","tag-nyc","tag-rael-gervis","tag-ran-eliasaf"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/261343","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=261343"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/261343\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/261344"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=261343"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=261343"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=261343"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}