Right in front of the Arclight is the Hollywood Film School (loserville as USC film students call it) and I thought that corner bldg, was a retail-only bldg as right below where your friend is was the former Borders store I used to frequent (they always made sure every anti-Bush book was out front but I miss reading the mangas though).
The first floor is retail; I think there’s a Bed, Bath, & Beyond, Jersey Mikes, and the Wolfslair Biergarten on the first floor. The upper floors are apartments and only residents can get up there.