Footwear company Skechers is placing its Manhattan Beach headquarters on the market, just eight years after a significant renovation that tailored the space for corporate use. The three-story building, located at 228 Manhattan Beach Boulevard and just a few blocks from the Pacific Ocean, is being offered through a competitive bidding process managed by commercial real estate firm CBRE.
Spanning around 28,600 square feet, the property is estimated to be valued near $100 million, although no official asking price has been made public. Originally built in 1982, the headquarters underwent a major refurbishment in 2018, featuring a private underground parking garage with 69 spaces and the potential for ground-floor retail.
The decision to sell the building comes as a surprise, given the relatively recent upgrades. Skechers has not provided specifics regarding the motives for this sale, nor is it clear if employees will be relocated, or the fate of the company’s apparel store currently at the location. The building is situated in a prime area of downtown Manhattan Beach, conveniently close to the beach, pier, restaurants, and shops, making it an attractive prospect for investors looking to establish a presence in one of Southern California’s coveted coastal markets.
CBRE vice chairman Stephen Somer noted that vacant office buildings of this quality and scale are rare in downtown Manhattan Beach, presenting a unique opportunity for potential buyers. Real estate insights suggest the property is valued at approximately $92.8 million, with a projected range between $83.5 million and $102 million.
The sale occurs amid rising office vacancies in the South Bay market, where regional office vacancy rates reached 23.6 percent in the first quarter of the year.
Why this story matters: The sale reflects market dynamics in a desirable coastal area amidst rising office vacancies.
Key takeaway: Skechers’ strategic shift raises questions about its corporate future and local real estate trends.
Opposing viewpoint: Some may argue that selling a renovated headquarters indicates a lack of long-term commitment to the local area.
