Major Downtown Expansion Amid High Vacancy Rates
Banc of California is doubling down on Los Angeles. The state’s largest independent bank has announced a major expansion in downtown L.A., leasing 40,000 square feet of office space at 865 S. Figueroa Street and securing naming rights atop the 35-story tower — a move that will literally place the bank’s name across the Los Angeles skyline.
This strategic expansion nearly doubles its existing office footprint and signals renewed corporate confidence in a downtown still struggling with high vacancy rates since the pandemic’s remote work boom. According to CBRE, roughly a third of office space in the area’s financial district remains empty.
“We moved our headquarters to Los Angeles two years ago because we believe in this city and the power of the entrepreneurs who call it home,” said Jared Wolff, Banc of California’s CEO, in a statement.
The bank plans to move into its new offices by late summer 2026, further strengthening its local presence in the lead-up to the 2028 Los Angeles Olympics, when the building’s signage is expected to become a visible part of the skyline seen worldwide.
Reinforcing a Strong L.A. Identity
Previously headquartered in Santa Ana, Banc of California officially relocated its headquarters to Brentwood in 2023. Its current downtown office, located at Figueroa at Wilshire, spans about 23,000 square feet. The new Figueroa lease almost doubles that footprint, reflecting the bank’s growth trajectory and commitment to Greater Los Angeles.
“Expanding our presence in downtown demonstrates our deep commitment to serving the Greater L.A. market,” Wolff said.
The new signage rights are also a symbolic step. With its logo soon to top one of the most prominent towers near L.A. Live, the move underscores Banc of California’s intent to become synonymous with the city’s financial and cultural resurgence.
Expansion Beyond California
This isn’t the only expansion for Banc of California in 2025. Earlier this year, the bank opened a new corporate office in New York City’s Park Avenue district and expanded its Beverly Hills office, where it also added rooftop signage on Wilshire Boulevard.
The bank has also grown its footprint across major Southern California business hubs, placing its name atop multiple key office buildings, including one adjacent to the 405 Freeway on Olympic Boulevard.
These visible markers are part of the bank’s branding strategy — one that emphasizes both visibility and stability at a time when many financial institutions are retreating from commercial real estate.
Economic and Policy Headwinds
The expansion arrives at a time when Los Angeles faces steep commercial challenges. Many investors remain cautious about new downtown projects, citing regulatory hurdles such as Measure ULA — the “United to House Los Angeles” tax, which levies transfer fees on high-value property transactions.
Temporary pandemic-era tenant protections have also added uncertainty to the local property market, slowing large-scale investment.
Despite those headwinds, Banc of California’s move signals optimism, suggesting that confidence in downtown L.A.’s long-term recovery may be gaining momentum.
Strong Financial Momentum
The bank’s expansion aligns with solid financial performance. In its third-quarter 2025 earnings, Banc of California reported a 5% increase in revenue to $288 million and a return to profitability after a loss in the same period a year earlier.
“Given our strong footprint and disciplined approach, we’re well-positioned for long-term growth,” Wolff said in a prepared statement.
Industry analysts note that the combination of steady earnings, strategic real estate investments, and visible branding gives the bank a competitive edge among regional financial institutions vying for attention in major markets.
A Skyline Symbol of L.A.’s Future
As downtown Los Angeles works to revitalize its business district, Banc of California’s expansion offers a hopeful contrast to the ongoing narrative of office vacancies and corporate downsizing.
By investing heavily in visibility and long-term infrastructure, the bank is not only betting on its own growth — it’s betting on Los Angeles.
When the 2028 Olympics arrive, the Banc of California tower could stand as a symbol of both the city’s economic resilience and its enduring appeal as a global business hub.
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