Stories for February 2017

Tuesday, February 28

DivcoWest buys Glendale Plaza for $179M

A 25-story office tower in Glendale was sold on Tuesday for $179 million, according to a source familiar with the deal, a steep discount from its prior sale about a decade ago for $215 million.

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Santa Monica Telephone Building Sells to DivcoWest for $52.5M

Santa Monica’s Telephone Building, a recently renovated office building half a mile from the beach, was sold Monday to real estate investment firm DivcoWest for $52.5 million, according to a source familiar with the deal.

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Silicon Beach Report Feb. 28: Double M Partners Raising $40M Fund

Double M Partners raising $40 million fund, Google launches YouTubeTV streaming bundle, and H3h3pProductions piles up legal bills.

City Council Votes Against Cultural Monument Status for Bob Hope Estate

The battle that pitted the family of legendary entertainer Bob Hope against a Los Angeles city councilman has come to a close.

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Nasty Gal to Keep Label, L.A. Presence as Sale to Boohoo Finalized

Nasty Gal Inc. will continue to have an L.A. presence and its own label after the bankrupt company’s sale to British online retailer Boohoo.com was finalized Tuesday.

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Monday, February 27

Silicon Beach Report Feb. 27: SpaceX Plans to Send Tourists Around the Moon

SpaceX plans to send tourists around the Moon, HomeHero shuts down after shift to employee model, and RealD acquires MasterImage’s assets.

Officials Break Ground on $1.6 Billion LAX International Terminal

Los Angeles Mayor Eric Garcetti and airport officials broke ground Monday on a new $1.6 billion international terminal at the Los Angeles International Airport.

SpaceX Plans to Send Tourists Around the Moon

Space Exploration Technologies Corp. announced plans this afternoon to send two tourists around the Moon by the end of 2018.

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Friday, February 24

West Hollywood Sunset Tower Hotel Targets $100M Sale

West Hollywood’s Sunset Tower Hotel went on the market for roughly $100 million last week, according to a source familiar with the site.

Silicon Beach Report Feb. 24: Aerojet Rocketdyne Buys Missile Maker

Aerojet Rocketdyne buys missile maker, Snap founders tighten grip on voting power in response to one investor, and how Nasty Gal fell from $85 million in sales to bankruptcy.

SBE to Open Its First Hotel in the Middle East

Luxury hospitality company SBE is scheduled to open its first hotel in the Middle East this spring, the company announced this week.

Movers for Week Ending February 24, 2017

Nova Lifestyle Inc. of Commerce was this week’s biggest mover, gaining 79 percent to end at $2.26. Ares Management was also among the week’s biggest movers. The Los Angeles global alternative asset manager gained 10 percent to end at $23.25. Marina del Rey inflight entertainment company Global Eagle Entertainment Inc. was the week’s biggest loser, dropping 31 percent to end at $4.32.

Abrupt Exec Exit Leaves Satellite Business at Loss

INTERNET: Global Eagle’s shares in tailspin in wake of quick departure of top brass.

Shares of in-flight internet firm Global Eagle fall to Earth after a front-office shakeup.

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Japan Investor Mitsui & Co. Plants L.A. Flag

REAL ESTATE: CIM sells 20 percent stake to Mitsui.

CIM Group opens up to Japan by selling a 20 percent stake to Mitsui.

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Owners Look to Sell Print Publications as Ad Revenue Dwindles

Paper Pushers

Declining ad revenue has forced some local publications to print up for-sale signs.

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Startups Open Arcades to Play Up Virtual Reality

TECHNOLOGY: Centers aim to prove to consumers that new medium worth a look.

Virtual reality startups open arcades to test how game consumers are for the medium.

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Produce Company Sows Seeds of Growth in Deal

AGRICULTURE: Progressive branches out into more fruits with deal for competitor.

Progressive Produce will now bear more fruit products after its pickup of a competitor.

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State Law Unlocks Secondary-Dwelling Options for Homeowners

Knock Knock

Homeowners make room for secondary dwellings under a more lenient California law.

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Conventions

Upcoming Conventions

Developer Moves on $75 Million Apartment Deal

SALE: CityView originally pictured Wilmington project as condos before recession.

Developer and investment management firm CityView has sold a Wilmington apartment complex it built last year to Redfern Family Trust for $75 million, according to public records.

New Partnership Opens Doors for Real Estate Investor

With property valuations hitting highs not seen since before the Great Recession, Brentwood real estate investment firm Partners Capital decided 18 months ago to do something a little different: bet on debt.

Toymaker Aims to Make Play for Chinese Market

MANUFACTURING: Mattel partners with Alibaba with eye on forming media tie-ins.

In a move that appears to follow in the footsteps of rival toymakers Lego Group and Hasbro Inc., El Segundo’s Mattel Inc. partnered on Feb. 14 with Chinese e-retailer Alibaba Group to develop content centered on Mattel brands for Chinese consumers.

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Canvassing of Art Website Yields $36 Million Deal

INTERNET: Wix’s pickup of DeviantArt almost derailed by shaky fall appointment

Israeli web development company Wix said last week that it had purchased popular West Hollywood-based online artist platform DeviantArt for $36 million, including $3 million in assumed debt.

DineEquity CEO Steps Down Amid Poor Sales at Applebee’s, IHOP Chains

DINING: Restaurant Operator Feels Heat as Shares Tumble

DineEquity investors have a lot to chew on as the chief exec has stepped down amid falling sales.

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Breitburn Files for Extension on Reorganization; Judge to Rule on Bonus Pay

ENERGY: Busted Firm Seeks Break

Bankrupt Breitburn requests more time to file its reorganization plan.

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L.A. Times’ Parent, tronc, Posted Profit in 2016, But Digital Efforts Lagged

MEDIA: Positive News for Paper?

Los Angeles Times’ parent, tronc, saw a profit last year but its digital efforts have yet to click.

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PAGE 3: Snapping to It

Evan Spiegel was in London for the Snap Inc. roadshow, offering up what one local paper called a “sleek presentation.”

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Los Angeles Paces Field in Congestion

Report rates region as worst in terms of traffic, resulting in total loss of $9.6 billion annually.

Los Angeles tops a traffic report as the most-gridlocked urban area in the world.

Business Fails to Outraise S Supporters

Measure for Measure, Voters Face Key Policy Decisions

Restrictive Measure S heads to a photo finish on Election Day as the fundraising race remains even.

Pot industry repeats: M Not N; M Not N

Measure for Measure, Los Angeles Voters Face Key Policy Decisions

Pot industry is high on Measure M – not N! – as the means to set up regulatory groundwork.

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Homeless Aid Calls for Hike in County’s Sales Tax

Homeless-helping initiative to hike the sales tax could cost L.A. County retailers.

Immigrant Influence

President Donald Trump’s move to ramp up immigration enforcement has instilled fear in L.A.’s community of undocumented immigrants, who represent up to 10 percent of Los Angeles County’s 10 million residents, according to some estimates.

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Basketball Position May Prove Net Gain

Magic Johnson’s executive role with NBA’s Lakers could provide assist to businessman’s ventures.

Benefits of Magic Johnson’s high-profile Lakers job could pass to his business interests.

Thursday, February 23

Silicon Beach Report Feb. 23: DeviantArt Sold for $36M

DeviantArt sold for $36 million, AirMap raises $26 million in round led by Microsoft Ventures, and Disney laysoff 80 Maker Studio employees.

DeviantArt Sold to Israeli Web Developer for $36 Million

Israeli web development company Wix announced Thursday the purchase the of popular West Hollywood-based online artist platform DeviantArt for $36 million, including $3 million in assumed debt.

Gov. Brown Comes Out Against Measure S

Gov. Jerry Brown on Thursday formally announced his opposition to Measure S, the anti-development initiative on the March 7 Los Angeles city ballot.

Los Angeles to Donate Rent-Free Space to Manufacturing Institute

The city of Los Angeles is planning to donate rent-free space to the recently launched Clean Energy Smart Manufacturing Innovation Institute.

Wednesday, February 22

Latham Picks Up Former Skadden and Paul Hasting Partners to Bolster Litigation Practice

Latham & Watkins announced Wednesday that it had poached a pair of high-profile litigators for its downtown and Century City offices.

L.A. Times-Parent Tronc Reports Yearly Profit Despite Revenue Drop

Tronc Inc., the parent company of the Los Angeles Times and Chicago Tribune, reported a profit of roughly $6.5 million (19 cents a share) in 2016 compared to a loss of $2.8 million (-11 cents a share) the year before.

LAEDC Raises More than $1 Million for New Initiative to Attract High-Paying Jobs

The Los Angeles Economic Development Corp. announced Wednesday it has raised more than $1 million from major employers, universities, and civic organizations to fund a new initiative to bring more high-paying jobs to the county.

Forecast: Unemployment to Hold Steady in L.A. County as Job Growth Slows

L.A. County’s unemployment rate is expected to hover around 5 percent this year and next year as the job growth rate slows, according to a forecast issued Wednesday by the Los Angeles County Economic Development Corp.

Silicon Beach Report Feb. 22: Global Eagle Stock Plunges After CEO and CFO Resign

Global Eagle stock plunges after CEO and CFO resign, AwesomenessTV CEO Brian Robbins resigns, microfinance startup Tala raises $30 million, and more.

Global Eagle Stock Plunges After CEO and CFO Resign

Global Eagle Entertainment Inc.’s stock fell 23.9 percent to $4.48 a share on Tuesday, after the company’s chief executive officer, Dave Davis, and its chief financial officer, Tom Severson resigned abruptly the day before.

Tuesday, February 21

Quinn Emanuel Sues Billionaire Xerox Shareholder Over Unpaid Legal Bill

Downtown law firm Quinn Emanuel Urquhart & Sullivan sued former client and billionaire entrepreneur Darwin Deason Tuesday claiming the influential Republican political donor has failed to pay them $1 million in fees.

Magic Johnson Named Lakers’ President of Basketball Operations

Earvin “Magic” Johnson has been named president of basketball operations for the Los Angeles Lakers, according to a Tuesday announcement from the team’s president and co-owner, Jeanie Buss.

CityView Sells Wilmington Apartments for $75 Million

Developer and investment management firm CityView has sold the Wilmington apartment complex it built last year to the Redfern Family Trust for $75 million, according to public records.

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Lovell Minnick Takes Stake in Spanish Wealth Management Company

Lovell Minnick Partners announced Monday it took a “significant” but undisclosed stake in Spanish investment firm Trea Asset Management.

Silicon Beach Report Feb. 21: Goldman Sachs Predicts $2B in Revenue for Snap Inc. In 2018

Goldman Sachs predicts $2 billion in revenue for Snap Inc. in 2018, Breitbart editor Milo Yiannopoulos resigns after controversial statements surface, Disney demonstrates wireless charging technology, and more.

Monday, February 20

CIM Group Lands Over $450M Japanese Investment

Developer and asset management firm CIM Group is set to land an investment of roughly half a billion dollars from a Japanese corporation.

Silicon Beach Report Feb. 20: Whatsapp Updates with Snapchat-Like Vanishing Content

WhatsApp updates with Snapchat-like vanishing content, SpaceX lands its latest Falcon 9 rocket booster, media buying on Snapchat confuses advertisers, and more.

L.A. Tops Congestion Ranking for U.S., Global Cities

The L.A. metro area has topped a list of the world’s most gridlocked cities, according to a report issued late Sunday.

Friday, February 17

DineEquity Inc. Shares Drop Almost 10 Percent on News of CEO Resignation

The resignation of DineEquity Inc.’s chief executive amid declining sales Friday caused the restaurant company’s stock to fall 9.6 percent in a single day, closing at $60.14.

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Paramount Pictures Chairman Brad Grey Expected to Step Down

Paramount Pictures Chairman and Chief Executive Brad Grey is apparently on his way out after 12 years at the helm of the financially troubled studio.

Silicon Beach Report Feb. 17: Rubicon Project Signs SoundCloud

Rubicon Project signs SoundCloud, Elon Musk is seriously pursuing tunneling as a business, and GM deploys 100 electric cars for car sharing program in Los Angeles.

Movers for Week Ending February 17, 2017

Beverly Hills-based Capricor Therapeutics Inc. was this week’s biggest mover, gaining 18 percent to end at $3.11. Puma Biotechnology was also among the week’s biggest movers. The Los Angeles pharmaceutical company gained 10 percent to end at $40.25. Commerce-based lifestyle furniture company Nova Lifestyle Inc. was the week’s biggest loser, dropping 25 percent to end at $1.26.

Former 99 Cents Only Stores CEO to List Beverly Hills Home for $13.8 Million

He may have sold household products for just a dollar each, but former 99 Cents Only Stores Chief Executive Stephane Gonthier is listing his Beverly Hills mansion for a whole lot more.

Hanjin Shipping Declared Bankrupt As Port of Long Beach Recovers

As Hanjin Shipping Co. finally sank Friday, the Port of Long Beach looked to a future without its most important cargo carrier and former lease-holder of its largest terminal.

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City of L.A. to Get Say on Mayoral, Council Seats

POLITICS: Eric Garcetti to face 10 challengers; eight of 15 districts up for grabs.

Believe it or not, another election looms for Angelenos on March 7.

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Will Air Plan Box In Cargo?

SHIPPING: Businesses fear proposal may curb truck trips

Cargo movers fear proposed air regulations could drive down the number of truck trips.

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Snap Control Structure Could Hinder IPO Price

TECHNOLOGY: Snapchat parent could be valued at up to $22 billion in offering.

Concentration of voting shares with the co-founders could prove costly for Snap’s IPO.

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Pulsing Market

REAL ESTATE: Two medical properties pump up downtown.

A tight market could generate healthy returns for medical office properties.

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Distinctive Assets’ ‘Swag Bags’ Offer Shot at Oscar Glamour

Giving To Get

Gift baskets for Oscar participants offer businesses a package deal to promote items and services.

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Solar Umbrellas Take Charge at Coffee Chain

ENERGY: Deal plugs Zon’s power invention at shops.

Zon hopes to help cover customers’ power needs with its device-charging solar umbrellas.

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Trump’s Talk Makes It Tough to Sound Out Future

ECONOMY: LAEDC’s team of forecasters put to test by stream of pronouncements.

Los Angeles Economic Development Corp. forecasters try to figure in Donald Trump’s future impact. 4

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Homeboy’s Desire for Revenue Generator Powered Recycler Acquisition

E-Waste Pickup

Gang member rehabilitator Homeboy Industries seeks revenue charge from e-recycling.

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Treat Maker Sweet on L.A. as New Bakery’s Home

EXPANSION: Cronut creator Dominique Ansel also to use location for his first eatery.

Higher Rents Come Knocking at Affordable Units

HOUSING: City incentives to retain lower rates might not be enough to stave off hikes.

Landlords could see revenue boosts as affordable-housing rent limits expire.

2016 Delivered $369 Million In Seed Investment

Seed investors took a rooting interest in the health and wellness sector last year.

Venture Capital Firm Will Put Money on Startups

FINANCE: Fika’s $40 million fund will look to help stake B2B businesses from get-go.

Fika Ventures aims to get a jump on startups with a $40 million fund.

Fuller Plate

Restaurateur Lee Maen has homed in on delivery as means to boost business for Innovative Dining Group

Innovative Dining Group’s Lee Maen talks wage hikes and how to best serve up the Sunset Strip.

PAGE 3: Charity Boxed Up

A gift that keeps on giving: The Jewish Federation of Greater Los Angeles will hold an event early next month acknowledging the gift by Richard Ziman of more than 250 tzedakah (charity) boxes.

L.A. ‘Feeling’ Out Tourism Promotion

City looks to up emotional stakes to draw potential visitors with push centered on lifestyle, vibe.

TOURISM: L.A. marketing plan gets emotional in touting the city’s lifestyle and “feeling” to draw visitors.

Sister Ports Trade On Busy January

Long Beach begins to bounce back from Hanjin bankruptcy; L.A. marks another record.

TRADE: Wave of January shipments buoy L.A. and Long Beach ports.

Fast-Fashion Firm’s Quick Turn on IP

Forever 21 heads to court in order to enforce copyrights in what may prove new pattern for company.

APPAREL: Forever 21 has filed a pair of lawsuits to button up the fast-fashion retailer’s copyrights.

Lighting Fire Under Pot

Measure M, the city of L.A.’s cannabis regulation initiative on the March 7 ballot, is somewhat curious in that it doesn’t need to exist.

Auto Maker to Race Away From Massive Campus

LISTING: Toyota to hit road for Texas and leave Torrance with 2 million square feet.

Toyota Motor North America Inc. has put its massive Torrance campus on the market, almost three years after announcing plans to relocate its North American headquarters to Texas.

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Home Brokers Expand by Opening Doors Abroad

L.A. brokers hope to gain ground locally and abroad with foreign offices.

Mapletree’s Extended Interest Lands Deal For Oakwood Worldwide

Oakwood Worldwide, the extended-stay apartment company based in West L.A., has been acquired by Mapletree Investments Pte Ltd., a real estate investment trust based in Singapore, in an all-cash deal.

Thursday, February 16

Silicon Beach Report Feb. 16: Tinder Acquires Snapchat-Like App Wheel

Tinder acquires Snapchat-like app Wheel, Snap Inc. aims to raise as much as $3.2 billion in IPO, and Disney’s Maker Studios is eyeing layoffs.

Tinder Acquires Snapchat-Like App Wheel

Tinder announced on Thursday that it had for an undisclosed amount acquired General Specific Inc., the developer of Wheel, a video-and-picture slideshow app.

Royalty Fee Collector Worldwide Subsidy Group Rebuffed in Court

A federal judge in Los Angeles booted a case brought by royalty collection service Worldwide Subsidy Group over fees the company said were owed by David Letterman’s production company Worldwide Pants Inc.

Wednesday, February 15

Silicon Beach Report Feb. 15: Fika Ventures Raises $40 Million Seed Fund

Fika Ventures raises $40 million seed fund, Musk posts tweet opposing Muslim ban, then deletes it, Imax opens flagship virtual reality center on Fairfax, and more.

Fika Ventures Launches $40M Seed Fund

Fika Ventures has raised a $40 million seed fund to invest in business-to-business companies developing software products for finance, online marketplaces, and healthcare.

Nasty Gal Expected to Close Retail Stores by End of the Month

Bankrupt women’s clothier Nasty Gal has asked the U.S. Bankruptcy Court to allow it to end the leases on its two retail stores by the end of the month and liquidate all their furniture, fixtures, and equipment, according to court documents filed this week.

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Toyota’s Torrance Headquarters Hits the Market

Toyota Motor North America Inc. has just put its massive Torrance campus on the market, several years after announcing plans to relocate its North American headquarters to Texas.

L.A. City Council Gives Final Approval to Decriminalize Street Vending

The Los Angeles City Council on Wednesday gave final approval to an ordinance decriminalizing street vending and laying out a compromise proposal for regulating vending within the city.

Tuesday, February 14

L.A. Startups Received $369 Million in Seed Funding in 2016

Seed-stage companies in Los Angeles received a total of $369 million in funding in 2016, according to report from Venice tech accelerator Amplify.LA.

Silicon Beach Report Feb. 14: Mattel Partners with Alibaba to Develop Toys for China

Mattel partners with Alibaba to develop toys for China, PewDiePie original YouTube show canceled following anti-Semitic comments, and ZestFinance launches service to rate credit for millennials without borrowing history.

Mattel Partners with Alibaba to Develop Toys for China

Toy maker Mattel Inc. of El Segundo has partnered with Alibaba Group of Hangzhou, China to market and develop products for Chinese consumers.

Port of L.A Reports Busiest January in History

The Port of Los Angeles had its busiest January ever this year, beating the record-holding January 2016 with the number of cargo containers increasing 17.4 percent, officials said Tuesday.

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Nasty Gal to Close Kentucky Fulfillment Facility

It’s not such a sweet Valentine’s Day for Nasty Gal Inc.’s employees in Kentucky.

Monday, February 13

CBRE Buys Capstone Financial Solutions

CBRE Group Inc. has hooked a new company as part of ongoing efforts to enhance its status as a big fish in the world of commercial real estate services.

Appellate Court Upholds Insurance Commission’s Decision to Cut Mercury Rates

A state appellate court Friday upheld the California Department of Insurance’s decision to deny Mercury Casualty Co.’s 2009 request to raise homeowner insurance premiums.

Monday Properties Targets L.A. in West Coast Expansion

New York-based landlord Monday Properties is, for the first time, looking west. The real estate investment firm is opening an L.A. office and plans to begin targeting acquisitions in Los Angeles and along the West Coast.

State Allocates $100 Million in Film Tax Credits to 22 Film Projects

The California Film Commission on Monday announced it was allocating another $100 million in film tax credits to 22 film productions, including a remake of “A Star Is Born,” and an untitled big-budget film from Paramount Pictures.

Silicon Beach Report Feb. 13: Dreamscape Immersive Raises $11M for Virtual Reality Attractions

Dreamscape Immersive Raises $11M for Virtual Reality Attractions, Some 69 Percent of Snapchat Users Skip Ads, and Holographic Startup 8i Raises $27M.

Friday, February 10

Silicon Beach Report Feb. 10: Snap Announces Deal with A&E to Develop First Original Snapchat Show

Snap Announces Deal with A&E to Develop First Original Snapchat Show, Honest Co. Looking for Consumer Package Goods CEO to Replace Brian Lee, and Activision Hits Record $2B in Sales in Q4.

Snap Announces Deal with A&E to Develop First Original Snapchat Show

Snap Inc. and A&E Networks jointly announced a content production partnership Friday that will include the development of the first original unscripted content on Snapchat.

Movers for Week Ending February 10, 2017

Manhattan Beach-based shoe company Skechers was this week’s biggest mover, gaining 18 percent to end at $27.78. Activision Blizzard was also among the week’s biggest movers. The Santa Monica-based gaming and entertainment company gained 18 percent to end at $47.23. Wesco Aircraft Holdings Inc. of Valencia was the week’s biggest loser, dropping 15 percent to end at $12.95.

Loyola Marymount Takes First Lease at Playa Vista’s Brickyard Offices

Playa Vista’s newest office building, the Brickyard, recently wrapped up construction, and now it has snagged its first tenant.

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Ad Tech Firm Buys in to Sealing Deals for Clients

INVESTMENT: Centerfield expands service in sales with Qology Direct acquisition.

Ad tech firm Centerfield lands $156 million to help step into consumer sales side of scene.

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Mansion’s $250 Million Listing Priced to Light Fire Under Bids

Launching Pad

Sale price of $250 million would put Bel Air megamansion in a neighborhood all its own.

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Church Building to Be Born Again as Office Space

REAL ESTATE: Developer has faith in property despite challenges of conversion.

Robert Herscu has laid his hands on a church property with the goal of an office conversion.

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Oscars Call on Businesses to Play Supporting Roles

ENTERTAINMENT: Local vendors boosted by awards include florists, chauffeurs.

Oscars provide golden opportunity for businesses such as florists and chauffeur services.

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Investment Fund Scores Hoops Star

Clippers’ Chris Paul joins with Turner Impact Capital to back creation of affordable housing.

Turner Impact Capital teams with basketball star Chris Paul on affordable housing.

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Musician Calls for Historic Decision on Mansion

REAL ESTATE: Taylor Swift likely to boost cachet but not price of ‘landmark’ home.

Singer Taylor Swift moves to tune up her Beverly Hills mansion with landmark status.

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Profit From In-Game Sales Not Easily App-arrent

INTERNET: USC report says transactions concentrated among few hits, big spenders.

There are winners and there are losers in the world of in-app purchasing.

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Talent Agency Aims To Make Some News

ICM Partners takes step back into journalism business with pickup of Headline Media Management.

ICM Partners looks to re-establish its talent for representation in broadcast journalism.

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Hyperloop Firm Arrives

TRANSPORTATION: Exec at center of recent lawsuit launches new tube venture.

Hyperloop One founder doubles down on the technology with his new venture, Arrivo.

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Plan to Shutter Santa Monica Airport has Businesses’ Fate Up in Air

Set for Take-Off?

Plan to close Santa Monica Airport has some businesses there looking to land a new home.

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Stone Canyon Packs Up Dutch Firm in Second $2 Billion-Plus Acquisition

Stone Canyon Industries, which has deep ties to Michael Milken, continued its role as an active player in the M&A market last week, shelling out $2.3 billion to purchase industrial packaging and container maker Mauser Group.

Merrill Sticks With Fiduciary Rules Trump Targets

NVESTING: Rules put forth under Obama stay in place even as GOP seeks rollback.

Financial institutions have been stuck in an awkward position since the election of President Donald Trump as they try and figure out what direction his regulatory policies will take.

Federal Attention Buoys Stock of Aquifer Owner

WATER: Trump team puts Cadiz’s desert project on list of infrastructure investment.

Cadiz’s stock heats up as its desert aquifer project makes a federal infrastructure priority list.

Rivals Feed Ad Revenue

INTERNET: MediaAlpha’s website placement strategy converts foes into friends.

MediaAlpha looks to sell clients on hosting ads for rival businesses.

PAGE 3: Votes of Confidence

It feels like the Big Election just ended and things ought to be quieting down. Instead, it’s even harder to avoid politics these days. Statewide, the race for governor is starting to warm up, and the leading candidates – Antonio Villaraigosa, Gavin Newsom, and John Chiang – are tapping L.A.’s wealthiest.

Fast-Fashion Firm Proved Tough Fit

Bankrupt Nasty Gal sold to lone bidder in $20 million deal after competitive offers fail to appear.

Bankrupt Nasty Gal attracts only one suitor, Boohoo.com, in $20 million sale.

Jet Set Internet

AVIATION: Lessor of aircraft high on airborne broadband.

Air Lease Corp. gets on board plan to install internet broadband transmitters on aircraft.

Downtown Veterans Aim to Scale Skyscaper

REAL ESTATE: Trio looks to fill Citibank Center offices.

Downtown veterans look to build on legacy by reviving office space at Citibank Center.

Kindred Spirits Join Businesses

MEDIA: Social impact brings together Good with Upworthy.

Good Worldwide sees positive in merger deal with similarly socially minded Upworthy.

Stuck in the Past

It is perhaps inevitable that there should be so much anxiety over the wave of development that has been washing over Los Angeles as the economy has recovered.

Macy’s West L.A. Sale Could Signal Store Closure

REAL ESTATE: Retailer sells $50M building near expanding Century City site.

The recent sale of Macy’s Inc.’s Westside Pavilion location in West Los Angeles has cast doubt on the store’s future as the company progresses with plans to close about 100 retail sites nationwide.

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Thursday, February 9

New Tourism Ad Campaign Taps Into That L.A. Feeling

Discover Los Angeles, the city’s tourism marketing arm, has launched a campaign focused on selling visitors on the “feeling” of the city.

Silicon Beach Report Feb. 9: Brogan BamBrogan Starts Second Hyperloop Company

Brogan BamBrogan starts second hyperloop company, Greycroft raises $250 million fund, Wiredrive merges with MediaSilo, and more.

Brogan BamBrogan Starts Second Hyperloop Company

Brogan BamBrogan is starting his second hyperloop company, named Arrivo, just months after leaving and settling a lawsuit against the company he founded, Hyperloop One.

U.S Dept. of Commerce Grants $500,000 to Cal State L.A. For Bioscience Bootcamp

The U.S. Department of Commerce granted nearly $500,000 to California State University, Los Angeles and its partners, the Biocom Institute and the Los Angeles Cleantech Incubator (LACI), to fund the creation of a bootcamp for bioscientists in the region.

Port of Long Beach Cargo Surged in January

Reversing a slide at the end of last year, cargo shipments at the Port of Long Beach rose sharply in January, up 6 percent from December and up 8 percent from a year ago, port officials reported Thursday.

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City Attorney Takes on ‘Pay-to-Play’ Casting Schemes

As the result of an undercover investigation by his office, Los Angeles City Attorney Mike Feuer announced today the filing of criminal charges against five actors’ workshop businesses to stop “pay-to-play” schemes.

Bankruptcy Court Approves Sale of Nasty Gal

The $20 million sale of women’s clothier Nasty Gal Inc. to British e-tailer Boohoo.com was approved by the U.S. Bankruptcy Court for the Central District of California yesterday.

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Wednesday, February 8

ICM Partners to Acquire Headline Media Management

ICM Partners talent and literary agency is expanding its reach into on-air talent by acquiring Headline Media Management (HMM), a boutique firm representing anchors, reporters, hosts, and producers in news, lifestyle and sports broadcasting. HMM Chief Executive Lou Oppenheim and President Michael Glantz will join the agency as partners. Oppenheim will head the new broadcasting department at ICM and Glantz will lead news and programming efforts within the department. Details of the deal were not disclosed.

Silicon Beach Report Feb. 8: Snap Inc. Hires Swiss Engineer to Fight Copycats

Snap Inc. hires Swiss engineer to fight copycats, SpaceX aims for Feb. 18 to launch resupply mission to Space Station, and Exactuals Raises $10 million and signs SAG-AFTRA as client.

Report: Immigrants to Los Angeles Provide Major Economic Boost

Immigrants to Los Angeles generate more than one-third of the county’s gross domestic product and account for more than half of the self-employed workers in the county, according to a new study released Wednesday.

Macy’s Sells West L.A. Store for $50 Million, Signaling Possible Closure

The recent sale of Macy’s Inc.’s Westside Pavilion location in West Los Angeles has cast doubt on the store’s future as the company progresses with plans to close about 100 retail sites nationwide.

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Tuesday, February 7

Toymaker Isaac Larian Buys Malibu Mansion for $24 Million

Isaac Larian, founder of the toy company behind the Bratz dolls, purchased a Frank Gehry-designed beachfront home in Malibu for $24.15 million.

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Silicon Beach Report Feb. 7: Collectible Sneaker Reseller Goat Raises $25M

Collectible sneaker reseller Goat raises $25 million, SpaceX plans to launch rockets every 2 weeks, and Virtual reality firm Upland expands into SoCal.

Collectible Sneaker Reseller Goat Raises $25M

Online collectible sneaker reseller Goat raised a $25 million round led by venture capital firm Accel.

Survey: L.A. Consumer Sentiment Plunged During 4th Quarter

Stung by the surprise election of Donald Trump as president, L.A. consumers turned bearish on the economy during the fourth quarter, sending a new consumer sentiment index plunging 12 percent from the previous quarter.

Monday, February 6

Clippers’ Chris Paul Teams With Turner Impact Capital on Workforce Housing Fund

Los Angeles Clippers’ point guard Chris Paul has partnered with Santa Monica-based real estate investment firm Turner Impact Capital to invest $264 million into affordable workforce housing.

Nasty Gal Sale to Proceed with Boohoo Only Qualified Bidder

The sale of Nasty Gal Inc. to British e-tailer Boohoo.com for $20 million is going forward after the bankrupt fast-fashion company failed to attract any other qualified bids, the companies announced Monday.

Silicon Beach Report Feb. 6: BBC to Show Special “Plant Earth II” Episodes on Snapchat

BBC to show special “Plant Earth II” episodes on Snapchat, Snap’s research and development division remains top secret, and Stem’s royalty splitting service taking off.

Upworthy to Merge with Good Worldwide

Upworthy media company and Good Worldwide Inc., a self-described global media brand and social impact company, will join forces in a merger that its leaders say will position the new entity as a leader in social good media and consulting.

Mattel Submits HQ Expansion Plan, But Doesn't Plan to Build Yet

Although Mattel Inc. has a proposal before the city of El Segundo to significantly expand its 12.5-acre headquarters, a company spokesman said the project isn't actually going to be built, at least not yet.

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Friday, February 3

Silicon Beach Report Feb. 3: 5 Challenges for Snap Inc. in Its First Year as a Publicly Traded Company

Five challenges for Snap Inc. in its first year as a publicly traded company, SpaceX test fires recycled rocket, Disney pays $100 million to settle wage fixing lawsuit, and more.

Movers for Week Ending February 3, 2017

Century City’s Ritter Pharmaceuticals Inc. was the week’s biggest gainer, jumping 22.3 percent to close at $3.57. MGM Holdings Inc. of Beverly Hills, the parent company of Metro-Goldwyn-Mayer Studios Inc., also was up, gaining 13.3 percent to close at $96.75. The week’s biggest laggard was Nova Lifestyle Inc., which dropped 15.18 percent to close at $1.62.

Snap’s Challenges to Gain Increased Focus in Public

INVESTMENT: Message app will feel pressure to expand ad reach, age of user base.

Business Journal lays out five factors that could figure in to Snap’s first year as a public company.

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Woo Acquires L.A.-Based Dating App for South Asians

Woo, an India-based dating app, has acquired L.A.’s Dus, an app designed for South Asian singles in the United States.

Paper’s Digital Offerings Have Yet to Deliver

MEDIA: L.A. Times’ parent, tronc, sticks by tech strategy.

After a year of digital focus, Los Angeles Times’ parent, tronc, has only a few positive results to report.

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Swiss Firm Seals Long Beach Terminal Deal as Hanjin Shipping Nears End

Mediterranean Shipping Co. said this week it had finalized a deal to purchase Hanjin Shipping Co.’s majority stake in the Port of Long Beach’s largest cargo container terminal.

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Restaurant Chain Rock & Brews Gets New Lead Man

A new frontman is taking the stage at Rock & Brews, the midsize international rock ‘n’ roll-themed restaurant chain based in Manhattan Beach.

City of Los Angeles Clears Way for Street Vendors

GOVERNMENT: Council votes to legalize in response to Trump deportation talk

Fear of deportation crackdown spurs city of L.A.’s vote to legalize street vending.

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Chinese Developer Builds Up Presence Downtown

REAL ESTATE: Oceanwide Plaza could set template for company’s projects in U.S.

Developer Thomas Feng explains how downtown speaks to China’s Oceanwide Holdings.

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Gold Rush

Producers of the nine films nominated for Best Picture look to reap the Academy Award bonanza

Producers of the best picture field pursue an epic Oscar win with lower-budget fare marked by diversity.

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Pickup of Office Building May Be Snap Decision

LISTING: Snapchat’s parent as tenant could stoke deal for $20 million Venice property.

The site of one of Snap Inc.’s new Venice offices is on the market for $20 million, or a sky-high $2,877 a square foot. The listing went out last week, just days before the maker of the Snapchat photo sharing and message app filed its registration for an initial public offering.

Equipment Financer Powered Up By Private Equity Firm

While helping a farmer harvest corn doesn’t seem like something the financial tech industry is clamoring to address, the rise of companies such as West L.A.’s Currency Capital proves online banking solutions are pushing further afield.

Conflict Builds Around Development Restrictions

REAL ESTATE: Opposition, support campaigns ramp up as vote on Measure S nears

With a month to go before Election Day, the rhetoric is heating up on both sides of the campaign over Measure S development restrictions.

Studio’s Turmoil Continues With Exodus of Exec

Relativity Media sheds another exec as business affairs head jumps to law firm.

Utility’s Venture to Drive Buzz for Electric Power

ENERGY: SoCal Edison to spend $570 million to charge medium, heavy vehicles.

Electric utility to weigh in with charging stations for medium and heavy vehicles.

Contractor Will Ride Rail With $1.4 Billion Deal

TRANSIT: Joint venture of Tutor Perini will take Purple Line; Gold calendar laid out.

Metro digs Tutor Perini’s joint venture as the contractor for a $1.4 billion subway extension.

Listings for Tenants Move to New Owner

Westside Rentals service will join CoStar Group’s Apartments.com in bid to expand real estate data.

New owner CoStar Group will move Westside Rentals’ listings to Apartments.com.

Flower Vendor Hits Pay Dirt in C Round

E-tailer Bouqs scores $24 million with intent to further grow roots in field packed with competitors.

C Series investors take a $24 million rooting interest in online flower vendor Bouqs Co.

Food Giant Follows Exodus out of L.A.

Nestle USA’s relocation of HQ to Virginia will leave 378,000 square feet open in Glendale.

Nestle USA to leave Glendale with an empty feeling when it relocates to Arlington, Va.

Debt Load Weighs Down True Religion’s Future

APPAREL: Jeans Stretched

Debt-laden jeans maker True Religion has struggled to stay in fashion with consumers.

Market Preps to Snap Up Shares

INTERNET: IPO could mean billions to firm’s co-founders.

Snap’s IPO could create a new pecking order among L.A.’s billionaires and tech companies.

Hollywood Hotel Making Room for London Club

EXPANSION: Former home of Redbury will serve as first Hospital Club site in U.S.

The first U.S. outpost of the exclusive London creative social club co-founded by Microsoft Corp. billionaire Paul Allen and Dave Stewart of the Eurythmics is scheduled to open in Hollywood next year.

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Big Cargo Move

Long Beach port hopes Middle Terminal stacks up with megaships.

Port of Long Beach expects big gains from its megaship-servicing Middle Terminal.

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Deadline Looms for Signage on Public Restrooms

REGULATION: Businesses could face lawsuits over lack of gender-neutral facilities

Law on gender-neutral signage for single-occupant restrooms kicks in March 1.

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Pursuing Different Dividends in L.A.

Diversity works in favor of business, according to Tracy Hernandez.

Adding Fuel to Climate Change Policy

Ronald Stein cautions that climate change goals could prove costly to California.

Melting Pot L.A.

The strength of the region – and nation – has always relied on immigration. Now is not the time to change that.

Conventions

Upcoming Conventions

Calendar

Calendar of Events

PAGE 3: Chamber’s Chosen

The Los Angeles Area Chamber of Commerce installed its new leadership last week, elevating Steve Nissen to board chair.

Thursday, February 2

Silicon Beach Report Feb. 2: Snap Inc. Files for $3 Billion IPO; Discloses 158 Million Daily Active Users

Snap Inc. files for $3 billion IPO; discloses 158 million daily active users, concerns raised over cracks in SpaceX’s rockets, and Faraday Future sets sights lower, plans for smaller factory.

MedMen Buys New York Medical Marijuana Company Bloomfield Industries

Cannabis management company MedMen is betting on the growth of the medical marijuana market in New York. The Culver City-based company announced Thursday that it acquired financially distressed Bloomfield Industries Inc., one of five organizations licensed to grow and distribute medical marijuana in the state of New York. Terms of the deal were not disclosed.

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UPDATE: Snap Inc. Files for $3 Billion IPO; Discloses 158 Million Daily Active Users

Snap Inc., parent company of ephemeral photo-sharing and messaging app Snapchat, has filed for a $3 billion initial public offering of its stock on the New York Stock Exchange in March.

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Wednesday, February 1

Silicon Beach Report Feb. 2: Westside Rentals Sells to CoStar’s Apartments.com

Westside Rentals Sells to CoStar’s Apartments.com, Flipagram Acquired by Chinese Company, L.A. Region Leads Nation in Business Startups, and more.

Westside Rentals Sells to CoStar Group

Westside Rentals has found itself a new home. The popular rental listing website was just acquired by CoStar Group Inc., a real estate data service in Washington D.C. that operates Apartments.com., said CoStar in a statement released Wednesday. Terms of the deal were not disclosed.

Relativity Media’s Head of Business and Legal Affairs Jumps to Sklar Kirsh

Ryan Kavanaugh’s troubled Relativity Media is taking another a hit with the departure of Hillel Elkins, the studio’s executive vice president of business affairs and general counsel.

Houlihan Reports Earnings of $0.51 a Share

Houlihan Lokey announced its financial results for the third quarter Wednesday with the investment bank reporting earnings of $0.51 a share. The company had $248 million in total revenue, up 21 percent year-over-year.

L.A. Region Leads Nation in Business Startups

The Los Angeles-Orange County region leads the nation in business startups, according to a report released Wednesday from the Economic Innovation Group.

Nordstrom Rack Set to Open First Store Downtown

It took nearly a year, but the FIGat7th mall in downtown has finally secured a tenant to fill the gaping hole left by Sports Chalet Inc. when it filed for bankruptcy last April.

Glendale’s Nestle USA Plans Move to Virginia

Nestle USA is pulling its corporate headquarters out of Glendale and moving to Arlington, Va., the mega-food company said Wednesday.