Kilroy Realty Inks Lease Deal With Blue Shield of California at Aero Long Beach
By Mark Hallum June 7, 2022 1:36 pm
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Blue Shield of California is heading to Long Beach where it has agreed to a lease in Aero Long Beach.
The insurance provider will occupy 72,000 square feet for 11 years in the seven-building campus near the Long Beach Airport and adjacent to Interstate 405, according to the landlord, Kilroy Realty. Blue Shield plans to continue operations out of its offices at 601 12th Street in Oakland.
“As a nonprofit health plan whose mission is to provide Californians access to quality health care that’s sustainably affordable, Blue Shield of California is always looking for ways to operate as efficiently as possible,” Blue Shield of California said in a statement. “As part of that effort Blue Shield has decided to consolidate some of its office spaces in the Los Angeles region. The changes will be made possible by continuing our successful work-from-home plan during the COVID-19 pandemic, while providing space to employees who need an office to successfully complete their work.”
Kilroy counts this lease among several other deals in San Diego, Los Angeles, Seattle and the San Francisco Bay Area that serve to stabilize its portfolio until 2023, which is when it expects to have vacancies above 40,000 square feet, the firm said in a recent press release.
Kilroy did not reveal asking rents and did not respond to a request for comment.
Blue Shield’s space will be on the larger end for tenants at the 955,000-square-foot Aero Long Beach, with the average floor plate ranging between 25,000 and 50,000 square feet.
Mark Hallum can be reached at mhallum@commercialobserver.com.
