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Anastasia Beverly Hills

Case Study

Raise helps cosmetics company take on a not-so-pretty real estate market.  

Anastasia Beverly Hills knows what looks good—it’s what they do professionally. So they knew when LA’s industrial real estate market was definitely not looking good. The market was red hot, pushing prices way up for tenants and snarled supply chain issues made moving a long and expensive proposition. For the global cosmetic company, it wasn’t an ideal time to have to renew their lease, but that’s what they were up against.

“Our existing lease was coming up for renewal at a challenging time for warehouse space across the country. In Greater Los Angeles, there weren’t other suitable spaces for us that were readily available. Meanwhile, price per sq/ft was climbing to record highs.”

Macro conditions were bad. But luckily, they had one thing on their side—a Raise broker equipped with deep market knowledge and savvy renegotiation strategies.

Starting with the right foundation

Starting with the right foundation.  

Raise’s Josh Rand has represented Anastasia Beverly Hills for years. He not only knew their specific needs as a company but also had deep knowledge of the dynamics of LA commercial real estate. He and the Raise team knew market conditions were very landlord-favorable and expenses related to relocation were quite high. Beyond that, the cosmetic firm was happy with their current space and wanted to avoid the headaches that come with a relocation.

“Our existing space met our current needs while still giving us enough room to be flexible. We loved the location because it was within driving distance of our corporate office and the area also had a strong pool of local job candidates.”

With a compelling case to stay put, Josh and the team recommended Anastasia Beverly Hills start lease negotiations early to get the best possible deal terms.

“Coming to the table early meant some uncertainty as to future market pricing, especially in the business climate with rising rents and logistics volatility. Raise gave us guidance on approach and rents in light of what was happening in the marketplace locally, regionally, and nationally.”

A strong strategy is a beautiful thing. 

Despite the challenge, Raise leveraged its market knowledge and access to industrial space to build a suite of relocation options—both in the LA market and further out. Coming to the landlord with options in hand allowed Josh and Anastasia Beverly Hills to negotiate from a stronger position. Together, they were able to hammer out a favorable renewal deal for their perfectly placed warehouse—despite the historically competitive environment. 

Real estate is a relationships business, and Josh’s working relationship with Anastasia Beverly Hills and their landlord was key in coming to a favorable agreement.

“It was helpful to have someone on the team who knew our company and its expectations. Josh knew early on what could work for us and what wouldn’t. That relationship definitely helped us at the negotiating table.”

Key Highlights

  • Renegotiating a lease in a challenging market
  • Finding options to strengthen your position
  • The importance of personal relationships