Not Just the San Francisco Bay Area, Los Angeles Office Market Sales Deep Discount as Well!
April 6, 2026 By Roger Vincent Los Angeles Times “Capital Group declined to confirm the reported $ 210 million sale price for the Bank of America Plaza, but the building was last appraised in late 2024 at $212.5 million, down from $605 million 10 years earlier, according to Bloomberg. Capital Group paid about $150 per square foot for a property that would cost as much as $800 a foot to build at current costs. It will end up occupying the majority of the 1.4-million-square-foot building with 2,100 employees. Manulife U.S. Real Estate Investment Trust said this week that it would sell its high-rise at 865 S. Figueroa St. for $92.5 million pending approval from Los Angeles officials. It has an assessed value of $248 million. Another major public buyer of a downtown office building was Los Angeles County, which in 2024 bought Gas Co. Tower for $200 million, a steep drop from its $632-million valuation in 2020. County officials said at the time that the foreclosure sale was too good a deal to pass up.” I wonder how many other U.S. submarkets are also experiencing this?
