Farmers Insurance has sold its longtime Wilshire Boulevard headquarters in Los Angeles as part of its plan to relocate to the Woodland Hills area in the San Fernando Valley.
The new owner of Farmers’ three-building, 10-acre campus in Mid-Wilshire is Los Angeles developer and landlord CIM Group. Farmers will lease space from CIM Group as it gradually moves to its new quarters.
The phased transition began last year with the move of several employees to the new Farmers Plaza location at Warner Center. Later this year through early 2019, additional employees will be shifted to the office at Warner Center. More than 1,500 employees will eventually move north.
“We are excited about our progress in transitioning our employees to the newer, more modern Farmers Plaza at Warner Center -- a move that will offer a more contemporary, engaging work environment for our employees and also keep us headquartered in the city of Los Angeles,” said Jeff Dailey, chief executive of Farmers.
The insurance giant is heading to offices that it took control of when Farmers acquired 21st Century Insurance in 2009. The offices had been 21st Century's headquarters and take up 500,000 square feet in two buildings on Owensmouth Avenue.
CIM Group, which is one of the largest commercial landlords in Los Angeles, did not disclose how much it paid for the Farmers property or what it intends to do with it.
“This is an unparalleled opportunity to acquire a substantial property on Wilshire Boulevard in this desirable neighborhood,” said Shaul Kuba, a founding principal of CIM Group.
Farmers’ campus is comprised of four full city blocks on Wilshire bounded by Keniston Avenue to the west and Muirfield Road to the east. It is adjacent to some of Los Angeles’ most prominent residential neighborhoods, including Hancock Park and Windsor Square.
One of the three office buildings on Wilshire dates to 1937 and is in need of substantial retrofitting, according to Farmers.