Kia announced today that it will lease a 1.9-million-square-foot building in downtown Los Angeles for $1 billion over the next 12 years.
Kia is the second-largest leasing company in the country, with more than $1 trillion in total revenue, and the company said it has already signed more than 700 leases in the Los Angeles area.
The deal will allow the leasing company to build homes for the city’s high-income residents, who can be found in Hollywood, the Culver City area, and other neighborhoods in the LA area.KIA said it would lease about 2,000 homes for $8,500 a month, and would also lease about 1,000 additional homes for as little as $2,000 a month.
It will pay $2.99 a month for a home, and $3.99 for a smaller unit.
It also said it will rent about 300 of its units to low-income tenants.
The company said the new building will be able to house more than 500 residents, which would allow it to grow its workforce by 40 percent and help meet its goal to expand to more than 1 million people by 2032.
The building’s new tenants will be announced at a later date.
Kiala, which also has a large construction business in downtown L.A., announced last week that it was acquiring a 49-story tower in South Beach that is being built to house the L.I.U. campus and its new headquarters for the Los Altos school district.