Once-lively Westwood office tower purchased by New York investors

Murdock Plaza, a prominent Westwood office building on Wilshire Boulevard, has been purchased by New York real estate company Tishman Speyer for a reported $125 million.

The brick-clad 17-story building at the intersection of Wilshire and Westwood boulevards was built in 1981 by billionaire David Murdock, the former owner of Dole Food Co.

For decades the tower at 10900 Wilshire Blvd. was considered a prime address for white-collar businesses. Former Los Angeles Mayor Richard Riordan has his offices there, as does department store heir and media mogul Ted Field, chairman of Radar Pictures.

But the building lost tenants after the last recession and is now less than 50% leased, according to real estate data provider CoStar Group.

Tishman Speyer, a well-known New York real estate firm, has purchased other older buildings in the region and turned them around. Among them were the empty former headquarters of Hilton Hotels in Beverly Hills, now home to United Talent Agency and Playboy Enterprises Inc.

Tishman Speyer is planning to update Murdock Plaza’s infrastructure and make other extensive renovations.

“We believe that within West Los Angeles, Westwood stands out as the next area to experience very positive momentum in the demand for high-quality office space,” said Mark Laderman, Tishman Speyer’s regional director for Southern California. “Just as we took advantage of that similar rising demand in Playa Vista and Beverly Hills in recent years, we think this represents a well-timed opportunity.”

Tishman Speyer bought the building from local investor Kambiz Hekmat, who paid $130 million for the property in 2007.

Terms of the recent sale were not disclosed. Industry newsletter Commercial Mortgage Alert, which first reported the transaction, valued it at about $125 million.

Twitter: @rogervincent