Developer Izek Shomof’s firm, the Shomof Group, has closed on Landmark Square — a 24-story, 460,000-square-foot office tower in Long Beach, Calif. — for $50 million, which is roughly 63% below its prior $135.5 million sale in 2013. The LEED Gold-certified property, located at 111 W. Ocean Blvd., was financed with a $25 million loan.

First reported by The Real Deal, the purchase extends Shomof’s streak of value-driven office acquisitions across southern California. Earlier this year, he acquired Beacon Capital Partners’ 101 N. Brand Blvd. in Glendale, Calif., for $58.8 million — about 54% below its 2016 price. And, last spring, he picked up the 12-story 617 W. Seventh St. in downtown Los Angeles for $20.5 million, which amounted to roughly half of what the Swig Company paid in 2011.

Shomof is already known for adaptive-reuse projects, such as Panorama Tower in Panorama City, Calif., which converted a former office building into 194 condominiums with ground-floor retail in 2020. No plans have been announced as of yet for Landmark Square.

Landmark Square at 111 West Ocean Boulevard overlooks the Pacific and the Queen Mary.

Notably, Shomof’s latest acquisitions come as Los Angeles has witnessed major towers trade at sharply reduced values. For example, Brookfield sold the 52-story Figueroa at Wilshire this year for about $210 million — nearly 40% below what it paid in 2005. Similarly, the Gas Company Tower traded in late 2024 for around $200 million, which was far below valuations that once topped $600 million. And, the Aon Center sold in December 2023 for $147.8 million, or about 45% below its 2014 price.

Even with those discounts, Los Angeles’ fundamentals have held up better than most markets. Through September of this year, Yardi Research data shows a vacancy rate that came in at 15%, which was down from 16.3% a year earlier and one of the lowest among Western metros. Meanwhile, asking rents averaged $41.11 per square foot — down 4.5% year-over-year, but still above the national average ($32.79). Additionally, total office sales volume more than doubled to $2.04 billion through September, showing that opportunistic capital is back in the market.

“The outlook is cloudy,” said Jeff Bramson, senior managing director and co-head of JLL’s Los Angeles office, to Commercial Observer in September. “Nobody knows what’s going to happen, which is why people are buying. I don’t see it as cautious. I see it as an opportunistic market.”