O Hotel & Spa Restaurants and Bars
819 S Flower Street, Los Angeles, CA 90017
In October 2021, Restaurant Realty Company received an inquiry from Mr. Michael Rahimi, the owner of the O Hotel and Spa. The hotel is on Flower Street in Downtown Los Angeles in a most desirable spot. Although business had been naturally damaged by the pandemic, occupancy and area was returning to a relative normal level.
Keith Simpson met with Michael and the General Manager at the Hotel. They were looking to lease the first floor 3,500 sq ft Restaurant & Bar at $3.50 per square foot, which was currently being operated by his employees as well as a 2,800 sq ft basement bar at $3.00 per square foot with its own street entrance from the Hotel lobby.
We had numerous inquiries. Some only wanted to lease either space, but not both. It was my opinion, and that of the owners, that as there is only one kitchen – therefore a single tenant for both spaces would be preferable.
Given the incredible teamwork at Restaurant Realty, our agents work well together throughout California. A relatively new agent, Hoyle Kang, who is well connected with international customers from China, Korea, Hong Kong, Singapore, Vietnam, and the Middle East, found an extremely experienced Korean operator. Hoyle and Keith worked together to finalize this transaction by negotiating the new long lease at terms acceptable to the owner and the new tenants.
The transaction was consummated in late January for the full asking price rent and the new tenant moved in on February 1st 2022.