Sunset Millennium Sold for $100m
Palo Alto, Calif.–based investment group Broadreach Capital Partners has acquired the Sunset Millennium office and retail complex on the Sunset Strip from New York’s Apollo Real Estate Advisors for $100 million, according to brokers in the deal.
The transaction includes the former Playboy building and a 100,000-square-foot retail complex, which is anchored by a new H&M store and retailer Madison. The center is about 90 percent leased.
The new owner intends to make extensive improvements to the center, with plans to renovate the penthouse of the retail building into 22,000 square feet of office space. The Playboy building is leased-up and the local office market is very tight, said Broadreach’s Managing Director David Simon, based in the company’s offices in the Century City section of Los Angeles.
The company also plans to improve services, adding valet parking and drawing upscale restaurants. In addition, Broadreach plans to continue Apollo’s plans for an adjacent property, which calls for the development of two new hotels and a 190-unit condominium complex.
The deal marks Broadreach’s second major acquisition in the area, having acquired the CNN Building at 6430 Sunset Blvd. earlier this year.—Robert McAllister
