Today, sustainability is expected; it’s part of our lifestyle. Just ask Paul Daneshrad, CEO of StarPoint Properties. After the devastating 1994 Northridge earthquake pushed him to become keen on seismic rehab, Daneshrad realized that a company’s prosperity is fundamentally tied to the environment. Today, that philosophy extends not only to the immediate environment of California and its unique seismic challenges, but to the climate itself. Now they’ve got LEED Gold v4.1 certification for sustainability on their renovations on Beverly Hills’ most expensive office building. The only direction to go is forward.
As a property developer, Paul Daneshrad is used to adapting to the environment and its incipient challenges. Just as 1994’s devastating Northridge earthquake presented an early make-or-break test of the young developer’s investment philosophy, the current climate crisis is pushing adaptation. The earthquake prompted Daneshrad and his company to become experts in seismic rehab; today, they’re going green.
“Our society now expects sustainability to be incorporated into almost everything, thus the sustainable model is not only in demand today, it will remain so for the future, and not just for commercial real estate. As owners, we should provide tenants with spaces that are good for them as well as the overall community.”
– Paul Daneshrad
In 2018, StarPoint set a record when it paid $193 million for the most expensive – and second-tallest – office building in Beverly Hills. The first thing they did with the flagship executive property was to pursue extensive renovations. True to Daneshrad’s climate commitment, the company decided against a traditional renovation model, instead opting for extensive year-long renovations that would end up seeing the property attain LEED Gold v4.1 certification, cementing the company’s status as an industry leader in sustainable development. Not only will those renovations save the company money by reducing expenses, they’ll serve as a testament to Daneshrad’s belief that he and his company have a duty to safeguard the environment.
“The goal was always to develop this property as a means for StarPoint tenants to maximize profits in a way that aligns with the world-class location while practicing corporate social responsibility.”
– Paul Daneshrad
At the time of StarPoint’s purchase, the 207,432-square-foot building hadn’t been renovated in 15 years. Rent in the building fell 25-percent below the market’s average rent of $48.24 per square foot. This growth opportunity made the property unique: with high average rents and low vacancy rates, Beverly Hills’ Golden Triangle submarket rarely sees major ownership changes. Combined with the property being one of only 16 Class A buildings in the neighborhood, it was a once-in-a-lifetime opportunity for StarPoint.
Daneshrad had had his eye on the property for years – in more ways than one. Rising above the ultra-chic Golden Triangle, the property at 433 N. Camden is visible from Daneshrad’s office at the StarPoint headquarters. The view served as motivation for Daneshrad, who had long believed that the property met StarPoint’s stringent investment criteria.
“First address money-saving, sustainable measures, so we can reduce costs associated with maintenance and operations, then move on to the exterior and aesthetic qualities.”
– Paul Daneshrad
For Daneshrad and StarPoint, renovating for sustainability was more than just a way to reduce operating costs and save money: it reflected a duty to protect the environment. The ultimate result was that the building’s new loadout received a Gold v4.1 certification from LEED, cementing StarPoint’s commitment to sustainability.
“Today, sustainability is expected; it’s part of our lifestyle. We believe that incorporating green elements into every project makes our environment healthier, and everyone — and every building — needs to contribute.”
– Paul Daneshrad
LEED stands for Leadership in Energy and Environmental Design. It is a certification awarded by the U.S. Green Building Council, a non-profit organization that promotes sustainability in building design, construction, and operation. With over 83,000 properties certified worldwide, LEED represents an industry-leading standard in sustainable architecture.
StarPoint Properties was founded in 1995 by Paul Daneshrad, who currently serves as CEO. The company has bought and sold over half a billion dollars in assets and manages a portfolio of more than 4 million square feet, with a value of approximately $800 million.
