Ongoing shutdowns have to date slowed a West Coast recovery, but we're starting to see some positive
momentum with the easing of restrictions for non-essential businesses in San Francisco and schools in Los
Angeles. Despite any headwinds, and the related impact to fundamentals across our markets, we had a
highly productive third quarter. With a fortified balance sheet, over $1.3 billion of liquidity and well-aligned,
well-capitalized JV partners, we're still optimally positioned to operate and grow our platform strategically
and effectively through the pandemic and beyond.
Our office and studio properties remain fully open and operational with industry-leading health and safety
protocols in place. After Labor Day, we successfully returned 100% of our workforce to our offices in
rotating shifts. We collected 97% of our total third quarter rents, including 98% of office and 100% of studio
rents, with these trends continuing into October. Our third quarter leasing activity accelerated to nearly
185,000 square feet of deals, including a noteworthy new lease and expansion with Google in San
Francisco. We also continued to achieve pre-COVID cash rent spreads of 29%, or 25% excluding any
short-term deals.
We've hit several major milestones within our development pipeline over the last four months. We
obtained our Certificate of Occupancy for Harlow and topped off structural steel at One Westside. Most
recently, we received unanimous full approval of our master plan for Sunset Gower, which enables us to
commence pre-leasing efforts and ultimately build with our partner Blackstone another nearly half-a-millionsquare-
feet, replicating our success at Sunset Bronson. Now over 50% of our 2.7 million-square-foot future
development pipeline is fully entitled and will be ready to build as we emerge from the current crisis.
Victor Coleman
Chairman & CEO, Hudson Pacific Properties