Bank of California is set to transform the LA skyline with downtown expansion

A California bank will raise its profile in downtown Los Angeles by putting its name on top of a skyscraper and doubling the size of its offices.

The expansion of the Los Angeles bank comes as the city’s office owners grapple with high vacancies as the COVID-19 pandemic has led to a shift to remote work for many businesses.

Bank of California at 865 S. Figueroa St. has leased 40,000 square feet in and secured the naming rights to the 35-story tower north of LA Live, the bank announced recently.

“We moved our headquarters to Los Angeles two years ago because we believe in this city and the strength of the entrepreneurs and businesses that call it home,” said CEO Jared Wolff.

The bank was formerly based in Santa Ana and is now headquartered in Brentwood.

Its downtown headquarters are currently located nearby in the Wilshire Building in Figueroa, where the bank leases approximately 23,000 square feet, according to real estate information provider CoStar.

The bank plans to move into its new offices by the end of the summer. Financial terms of her 11-year lease were not disclosed.

Bank of California’s growth in downtown Los Angeles follows recent expansion in Beverly Hills and New York City.

In June, the bank moved its corporate office to a prime location on Park Avenue in New York. In March, it expanded its corporate office in Beverly Hills with a 12-story building at 9701 Wilshire Blvd. on the corner of Roxbury Drive.

The bank also bears its name on a building on Olympic Boulevard next to the 405 Freeway.

Landmarks in its office buildings are important to the bank, a representative said, in part because the downtown tower will be visible during the 2028 Olympics and will likely be part of the skyline during coverage of the event.

About a third of office space in the city’s financial district is vacant, according to real estate brokerage CBRE, the same as a year ago.

Many institutional investors, such as pension funds and insurance companies, have often been reluctant to make big bets in LA in recent years because rapidly changing regulations make it impossible to predict profits.

Among investors’ concerns are public policies such as the transfer of taxes on major real estate sales from the United States to House Los Angeles (Mayor ULA), as well as temporary restrictions on tenant evictions that have been enacted during the pandemic.

Bank of California said it is now the largest independent bank headquartered in Los Angeles and the third largest bank headquartered in California.

“Expanding our presence in the city demonstrates how committed we are to serving the greater LA market,” said Wolfe.

The bank announced its results for the three months to September on Wednesday. It said revenue rose 5% to $288 million. It swung to a net profit during the third quarter compared to a net loss a year ago.

“Given our impressive footprint and strong position in key markets, we believe we are
“Looking ahead, we see a good pipeline for the fourth quarter and are confident that our disciplined approach positions us well to drive profitable, long-term growth.”