Beverly Hills Retail/Office Complex Bought for $211M

Wilshire Rodeo Plaza, a Class-A office and retail complex in Beverly Hills, has been acquired by a trio led by Tinder Founder Justin Mateen, his brother, Tyler, and developer Pouya Abdi. The new owners’ plans for the Class-A office and retail complex at the corner of Rodeo Drive and Wilshire Blvd in Beverly Hills involve adding more luxury retailers to its tenant mix.

In its coverage of the deal, The Wall Street Journal reported that the buyers are “betting the building’s ground-floor retail in the exclusive shopping district is worth all the empty [office] cubicles that come with it.” The Journal also said the new owners’ specific plans for the complex involve doubling its luxury retailer presence by 75,000 square feet.

“We are grateful to be acquiring these buildings at a time when institutional investors feel pressure to reduce their office footprint,” Justin Mateen said in a news release on the deal. “We look forward to giving the retail spaces the love and attention they deserve as Rodeo Drive retail is fully leased and our buildings are the only natural continuation.”

Purchased from Chicago-based investment manager Nuveen, the 300,000 square-foot property spans a full city block and includes three six-story office and retail buildings along Wilshire Blvd. between Rodeo Drive and Camden Drive, as well as a three-story office building along Rodeo Drive.

The property will be rebranded as One Rodeo. The buildings’ current tenancy includes financial companies Merrill Lynch/Bank of America, UBS as well as entertainment company William Morris Endeavor and Encore Recordings. The Mateens plan to upgrade and program the buildings to cater to luxury retail and office tenants.

One Rodeo sits in what’s known as the Golden Triangle, a tourist destination known for its luxury shopping, top-tier offices, high-end hotels and fine dining. “The buildings sit at the entrance of Rodeo Drive and therefore every aspect of the property is being reimagined to deliver an elevated experience for our tenants and visitors,” said Abdi.

The Mateen brothers and Abdi, who are brothers-in-law, view the acquisition as a generational property. The purchase price was $211 million. Quantum Capital Partners advised on the debt for the buyers, who elected to go with a loan from JP Morgan.