Pistola Denim Takes Nearly 18K SF at ROW DTLA
Why this matters
Office continues to trade in two distinct markets: trophy assets in walkable submarkets that are leasing at or near record rents, and commodity Class B and C buildings where the basis is still resetting. Underwriting on the latter has moved toward replacement-cost-minus, with credit underwriting now leaning on tenant covenant and remaining lease term rather than mark-to-market expectations. Los Angeles is working asset-by-asset through an extended office reset. Hospitality on the West Side and selective industrial in the South Bay are where capital is currently moving; downtown Class B remains in price discovery. For LP-positioned capital, the read-through is that the bifurcation is now a structural feature of the sector, not a cycle to wait out.
Editorial analysis · Real Estate Trail Editorial
On the RET wire
- The 43rd Los Angeles story tracked on the wire in September 2026. All Los Angeles coverage →
- Disclosed office deal value tracked in September 2026: $12.9B across 60 reported transactions. All Office coverage →
Computed from Real Estate Trail’s own tracked coverage
Denim and womenswear company Pistola Denim has signed a 17,922-square-foot office lease at Atlas Capital Group ’s ROW DTLA , adding another fashion company to the nearly 2 million-square-foot Downtown Los Angeles comp…
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