Moonbug Entertainment

110 S Fairfax Ave, Los Angeles, CA | 15,000 RSF

The Challenge

Popular children’s media company, Moonbug Entertainment required high-image creative space, and the building’s space offerings were very dated. Thus, significant capital was required. However, this was a challenge because capital needs a long term to amortize. Additionally, Moonbug is a VC-backed startup, and the CEO preferred short-term flexible leases (obviously, this was the opposite of the landlord’s preference).

Strategy & Approach

The landlord has owned the land since the turn of the century, so they have a low-cost basis and deep pockets. By managing down the capital while still achieving a gorgeous, creative space, CREA achieved a shorter lease term, appeasing the client’s desire for flexibility and the landlord’s capital outlay.

Client Results

CREA negotiated a new lease with the landlord, achieving:

• Term flexibility

• Lower rent

• Free rent

• Zero capital outlay from Moonbug

Today, Moonbug's offices are a hotbed of creativity in a creative office space with high ceilings, exposed concrete floors, lots of glass, and a large outdoor deck off the kitchen. Employees can easily walk to the Farmer's Market food court and The Grove LA's retail offerings.