Tesla has a new landlord for its storefront on the Third Street Promenade—one that paid a quite a bit for that title. As the LA Business Journalreports, the high-tech automaker’s 3,000-square-foot store in the popular shopping complex was recently purchased by a company called KLM Equities Inc. for a cool $15.6 million.
If you’re wondering, that amounts to just about $5,200 per square foot and is roughly equivalent to the price of 153 Teslas.
Timothy Bower of CBRE, who helped arrange the sale, told LABJ that the Tesla brand name was only one part of the property’s appeal. “It’s a sexy tenant … but I think it’s more about the real estate,” he told the paper. “Being able to own on the Promenade is a pretty rare thing.”
Still, the space didn’t attract quite so much attention in 2006 when it was home to a bookstore and sold for less than $3 million.
KLM, the firm that also owns the TLC Chinese Theater, made another big investment on the Promenade back in 2014, when it acquired the glass-roofed Apple Store for a whopping $100 million ($5,700 per square foot and the price of 286,532 Apple Watches). We’re not sure we want to know how much they’re charging in rent.
- Tesla’s Santa Monica Shop Sells for $15.6M [LA Business Journal]
- Someone Wants to Build a Glass-Roofed Apple Store on the Third Street Promenade [Curbed LA]
- The Silly Secrets of Third Street Promenade’s Not-Apple Store [Curbed LA]