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Hasbro seeks to sublease office with 80K sf in Burbank

Worthe building in LA’s tightest market now 38% unoccupied

From left: Hasbro's Chris Cocks and Worthe Real Estate Group's with 333 West Empire Avenue (Hasbro, The Ocean Avenue Project, Loopnet, Getty)
From left: Hasbro's Chris Cocks and Worthe Real Estate Group's Jeff Worthe with 333 West Empire Avenue (Hasbro, The Ocean Avenue Project, Loopnet, Getty)

Peppa Pig and the Monopoly man are giving up their office space in L.A.

Hasbro, the owner of both children’s characters, has put almost 80,000 square feet of office space in Burbank up for sublease, according to sources familiar with the matter.

The company has occupied 3333 West Empire Avenue — a building owned by Worthe Real Estate Group and Shorenstein Properties — since 2016 Hasbro almost doubled its office footprint across L.A. with the deal, moving from 2950 North Hollywood Way where it occupied about 45,000 square feet.

The company did not immediately respond to a request for comment. Hasbro used the space for its studios division, the firm said when the deal was signed.

The lease at 3333 West Empire expires in January 2027, according to a listing for the property on LoopNet, which did not mention the tenant. Cresa is marketing the space for sublease.

With Hasbro leaving the space, the roughly 200,000-square-foot building will be 38 percent available.

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“They have some real term remaining so they should attract someone to it,” Jeff Worthe said. “Most large tenants prefer to deal directly with the landlord, though.”

Earlier this month, Hasbro reported third-quarter revenue of $1.7 billion, a decline of 15 percent year over year. The company is looking for ways to cut up to $300 million in annual costs over the next three years.

Burbank is currently L.A.’s tightest office market, with about 15 percent available in the third quarter, according to Savills. But companies in the San Fernando Valley city are slowly churning out space for sublease.

In July, Netflix put up about 180,000 square feet of office space at 2350 West Empire Avenue in Burbank for sublease.

Coworking firm WeWork is closing its location at 3900 West Alameda Avenue — also a Worthe building — where it leased about 75,000 square feet.

Worthe is still optimistic about the office market’s future.

“The need for space will return again,” he said.

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