1149 Office Development


MEI was retained to manage and lease a 13,000 SF street front retail center with a rear surface parking lot located on the corner of 3rd St. and Wilshire Blvd.  in Santa Monica California across from the world-famous, Santa Monica 3rd Street Promenade.  While the retail portion was fully leased, rental rates were significantly below market.  All leases were renegotiated over a 3-year period as they expired causing cash flow to triple over that period of time.  MEI determined that the parking lot, which was costing ownership $1,000/mo. in fees to manage by a 3rd party manager, was not required by the City as most parking for this shopping district was handled via public parking facilities.  Over the next 3 years, the property was developed into an 11,000 SF mixed use luxury retail and office building which, through the talents of the MEI leasing professionals, was leased prior to completion of construction.  Shortly thereafter, the property was stabilized, and cash flowed at over $200,000/year. Using the creative talents of MEI professionals, ownership benefited from a windfall that has continued now for over 12 years. The property now cashflows over $550K annually and remains in constant demand by the vibrant, downtown rental market.