On behalf of the landlord, Kennedy Wilson Brokerage secured a retail lease with CVS at 1212 S. Flower St. in Downtown Los Angeles, representing one of the few CVS deals completed in the Greater Los Angeles region during 2020. The ±11,132-square-foot space is located on the ground floor of a five-story office building flanked by two high-rise multifamily towers with a combined 730 luxury apartments—together forming the new three-building, mixed-use community Hope + Flower developed by Onni Group.
Hope + Flower’s prime corner location is one block from Staples Center and the Convention Center in the heart of South Park, Downtown’s most popular residential neighborhood with more than 7,000 apartments in the immediate vicinity and thousands more under construction. The property is adjacent to the Pico Station of Metro’s light rail network, which connects Downtown Los Angeles to USC, Culver City, Santa Monica and Long Beach via the E Line (Expo) and A Line (Blue).
Strategy & Results
Originally intended for office use, the space posed challenges for converting to retail given its urban location with limited subterranean parking. While CVS traditionally pursues sites with drive-up parking, the company understood the benefits of opening a store at this highly visible location and was willing to make the necessary adjustments instead of building a brand new, first-generation retail space.
Kennedy Wilson Brokerage successfully structured and closed the deal, bringing one of the most recognizable pharmacy/convenience store brands to the property. The team skillfully navigated through the intricacies of the transaction process, collaborating closely with the landlord and tenant on architectural matters, financial terms and timelines that were favorable to both parties. As a result, CVS has been working with the property owner to convert the large block space into community-serving retail, proving its dominance in the marketplace thanks to its flexible design that is adaptable for urban settings.