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HFF Provides West Hollywood Retail Center with $27 Million Financing Deal

28 Oct 2013, 12:57 am

By Alex Girda, Associate Editor

Holiday Fenoglio Fowler L.P. recently completed yet another financing deal for the improving Los Angeles commercial real estate market. The capital markets services provider has secured financing for a West Hollywood retail asset totaling $27 million. The company worked on behalf of Shooshani Developers, for the Hollywest Promenade.

The property offers 120,173 square feet of retail at the intersection of Hollywood Boulevard and Western Avenue, the location being in the immediate vicinity of Highway 101. The 2002-built shopping spot currently boasts a tenant roster that features names such as Ralph’s and Ross Dress for Less, as well as popular food spots such as Quizno’s Subs and Jamba Juice. According to a press statement released by HFF Inc., the retailer center had an occupancy rate of 95 percent at the time of the announcement. The property’s vacancy rate is right in the margin for Los Angeles County, with the average value for the area at around 5 percent, a market report by Marcus & Millichap Real Estate Investment Services for the midyear point in the year illustrates.

The HFF team that was in charge of securing the $27 million consisted of Managing Director Brad Black and Jeff Sause, a senior real estate analyst with the company. The financing came through a 15-year, fixed-rate loan with Aegon USA Realty Advisors. The company acts as the real estate investment and management arm of AEGON Asset Management.

Chart courtesy of Marcus & Millichap Real Estate Investment Services @ marcusmillichap.com

Woodland Hills Apartment Community Trades Hands for $88M

24 Oct 2013, 2:35 pm

By Alex Girda, Associate Editor

One of the largest San Fernando Valley apartment deals was executed recently when a group of investors headed by Jones & Jones Management Group paid $88 million for a Woodland Hills property. The buyer acquired the Mercer at Warner Center residential community from Rockwood Capital and The Bascom Group. According to the CoStar Group, the acquisition comes hot on the heels of another high-profile apartment deal made by the buyer, namely the sale of the Crenshaw Village asset, for a total of $60 million.

The object of the current deal, the 1968-built Mercer at Warner Center complex, is a 477-unit property located on an eight-acre site at 22100 Erwin St. The property offers resident amenities such as swimming pools, cabanas, barbecue grills, a number of picnic areas, fitness facilities, a tenant lounge and a café with Wi-Fi service, while lighted tennis courts are also part of the package. After the deal, the name of the complex will be changed to The Reserve at Warner Center. According to CoStar, the property went through a partial renovation process back in 2012.

Offering a wide variety of floorplans, the Reserve features eight studio units, 278 one-bedroom units, 161 two-bedroom apartments and 30 three-bedroom apartments. Occupancy at the property is at about 98 percent, and monthly rent rates range between $1,071 and $1,881.

The deal was brokered by Marcus & Millichap representatives Greg Harris and Ron Harris, both of whom are executive vice presidents with the company. The per-unit rate at which the property traded was approximately $184,000.   

Big Money Land Deal Paves Way for $750 Multifamily Development Project

7 Oct 2013, 12:12 am

By Alex Girda, Associate Editor

As far as land deals go, reports rarely come in about landmark transactions in a major city’s Central Business District. However, a joint venture between Mack Urban and AECOM Capital has recently made public the acquisition of a six-acre land parcel in L.A.’s CBD. The value of the deal is estimated at around $80 million, making it by far the largest transaction of its kind in the area since 2008. The JV acquired the downtown property from former owner, EVOQ Properties.

According to a recently released press statement, the new owners are now looking to develop “a portfolio of class A, institutional quality, highly amenitized multifamily residential developments,” part of their strategy for the entire West Coast. The Los Angeles move is a testament to Mack Urban’s commitment to their goal. With the development that would occupy the six-acre site currently in the design and planning stages, specifics regarding the size and unit haul of the upcoming multifamily are still unclear, however the Los Angeles Times writes that the total investment would come in at around $750 million. The towers are designed by architecture firm AC Martin Partners, and will be constructed by Tishman Construction Corporation, a wholly owned subsidiary of AECOM.

The location certainly offers the project extensive coverage, with the proximity of the AT&T Center providing serious exposure to the soon-to-be-built residential towers. Located in Los Angeles’ South Park, one of downtown’s premier residential neighborhoods, the site is also located just east of one of the primary reasons of the area’s rebirth, the Staples Center, and the massive L.A. Live entertainment district. The area has become one of the prime spots for young professionals and the surge in interest is reflected in the average rent rates according to a RCLCO report.  

Image courtesy of Google Maps 

Arts District Gets New Mixed-Use Community, Big on Outdoor Experience

27 Sep 2013, 6:26 pm

By Alex Girda, Associate Editor

One of the largest new mixed-use complexes in downtown L.A. is set to spruce up the city’s Arts District with construction now officially kicked off at the 905 East Second Street site. Developed by a joint venture between Lowe Enterprises, Megatoys and institutional investors advised by J.P. Morgan Asset Management, the building will replace two vacant warehouses at the address, currently being demolished.

The project will bring 320 new residential units to the Arts District, on a 2.9-acre site between 1st and 2nd streets. Designed by Togawa Smith Martin Architects, the property will feature a modern interpretation of the industrialized character of the neighborhood. Architectural details will include an articulated façade, balconies and setbacks; and the use of brick will highlight the historic background of the area. With construction just starting, the new community will be unveiled during 2015’s Q3. The complex will be designed to meet the US Green Building Council’s LEED-certification standards.

Two buildings on either side of Garey Street will create an active public area including 15,000 square feet of retail and restaurant space, as well as a landscaped public plaza. The residences will feature open floor plans and high-end equipment and finishes including gourmet kitchens, quartz countertops, custom cabinets, plank flooring, walk-in closets and washer and dryer units. Average unit sizes will be around 728 square feet, with the open-space feel further heightened by large operable windows for every unit. Resident amenities for the new apartment community will include a fitness center with yoga room and outdoor fitness space, and a common area featuring a sports lounge look for informal gatherings and entertainment.

The residential units will be aimed at a creative audience, mostly young urban professionals and couples drawn to the lifestyle of L.A.’s Arts District. The ambiance created by the generous outdoor spaces that the community will provide is one of the main draws. Four different courtyards will be landscaped with native plants that resist drought. One courtyard will be available to resident’s pets. A rooftop deck, fire pits, grilling areas, a resort-style pool, spa, sundeck and outdoor lounge add to the relaxed feel that the property aims to convey.

New Mixed-Use Project Coming to Glendale, Bringing Residential Units to Growing Market

20 Sep 2013, 5:40 pm

By Alex Girda, Associate Editor

Yet another mixed-use development will be rising in the L.A. real estate market as Camden USA recently announced the groundbreaking of the Glendale Triangle project. The developer’s new construction will add new residential units to the Glendale submarket. The project will be aimed at Gen Y residents and will include a number of resident amenities to attract young crowds to the Tri-Cities area.

Designed by TCA Architects, the seven-story Glendale Triangle building offers 315,400 square feet of mixed-use space. According to rentv.com, the locally based national construction firm Bernards will handle general contracting at the 3900 San Fernando Rd. site. It’s located just off Los Feliz Boulevard and offers great proximity to the I-5. That same source puts the project’s completion date somewhere around 2015’s Q3. Specifics for the project note the presence of 16 live-work units and six retail spots at the site, while half of the regular units will have one-bedroom floorplans. The remaining units will be divided into studios and two-bedroom apartments. Unit sizes will range between 601 and 1,800 square feet. The residential component will occupy 274,386 square feet of space.

The development’s resident amenity package will include a pool, a spa facility, two roof decks, four courtyards, a barbecue area, and a fitness center with yoga rooms. The lifestyle focus of the building combined with TCA’s edgy design will be a surefire move to attract new apartment residents to the neighborhood. Because the Tri-Cities area is a budding entertainment industry environment, the project is set to see a great deal of interest from professionals working in the field.

Rendering courtesy of  tcaarchitects.com


HFF Ramps UP L.A. Area Activity, Completes Financing Deal, Property Sale

14 Sep 2013, 4:27 am

By Alex Girda, Associate Editor

As the local market continues to improve, commercial real estate capital intermediary Holiday Fenoglio Fowler has ramped up its involvement in Los Angeles and Orange County. The company recently closed the sale of a Newport Beach office asset to a Goldman Sachs Asset Management-controlled fund, while on the financial front, HFF arranged refinancing for a shopping center located in Burbank, worth a total of $11.24 million. The retail property is under the ownership of a joint venture between GPI and KBS Capital Advisors.

The Class A office building in Newport Beach is Newport Plaza, an asset that HFF had marketed on behalf of former owner, Equity Office. Built in 2000, the property is located at 895 Dove Street, offering close proximity to O.C. John Wayne Airport, as well as State Route 73 and 55 and Interstate 405. The 107,472-square-foot office property was sold to the GSAM-managed fund free and clear of existing debt. Currently serving as the HQ of law firm Newmeyer & Dillion LLP, the building has an occupancy rate of 98 percent.  

On the retail front, HFF recently announced the completion of a financing deal secured for The Burbank Collection, a 39,400-square-foot retail center. Its placement benefits greatly from close proximity to one of the hottest entertainment industry hubs in the country with NBC, Warner Bros. and Disney studios located minutes away from the property. The 2008-built facility is shadow-anchored by an AMC Theatre, as well as IKEA and Macy’s. Top names on the shopping center’s tenant roster feature Barney’s Beanery, Skechers, Pinkberry and Johnny Rockets. The three-year, 2.53 percent, floating-rate loan was funded with the help of a regional bank.  

Image courtesy of loopnet.com

NoHo Office Property Acquired by Kennedy Wilson Partnership

9 Sep 2013, 5:03 am

By Alex Girda, Associate Editor

As the L.A. office market continues its climb from the depths of the recession, some investors are taking every opportunity made available to them. It was recently announced that Kennedy Wilson, an international real estate investment and services firm, acted as a partner in the acquisition of a North Hollywood office asset. The Beverly Hills-based investor provided $7.9 million of equity for the transaction which totaled $45 million. $30 million in financing was secured by the parties involved in the purchase from Pacific Western Bank.

The newly acquired asset located at 5161 Lankershim Boulevard includes a four story Class A office building, as well as a seven-story parking facility. The steel frame construction provides the new owners with 188,366 leasable square feet in the heart of the NoHo submarket, which in recent months has discovered a new tech appeal. Kennedy Wilson will look to market the 1984-built property’s unique features such as its large balconies and courtyard. The new landlord also plans immediate improvements to the facility’s common areas such as the bathrooms, elevators, lobbies, and parking structure.

According to KW Commercial Investment Group President, John Prabhu, the company is putting its faith into the asset’s “intrinsic characteristics that will allow it to strongly capitalize on the tenant demand created by the technology, media and entertainment industries that proliferate the region and largely drive its economy.” The company, along with its institutional partners, has had a busy 2013, having acquired real estate worth approximately $2.1 billion, totaling 2.7 million square feet of commercial assets on the West Coast, U.K. and Ireland.

Los Angeles Area Residential Properties Secure Loan Deals

31 Aug 2013, 7:08 pm

By Alex Girda, Associate Editor

Top financing firm Johnson Capital recently announced that it has provided deals for a seven-property multifamily portfolio, including mobile home parks, a few of which are located around Los Angeles. The national real estate capital advisory firm recently released a statement announcing that a total of $174 million had been arranged for the properties by representatives from its Phoenix, AZ office. Dave Susank and Neal Churney are the two Johnson Capital employees handling the financing deals.

Johnson Capital worked on behalf of regional investor and operator of multifamily properties, Rutherford Investments. The L.A.-area properties involved in the financing process were:

  •         The Alicante Apartments: a 428-unit residential complex in Aliso Viejo. A loan worth $65 million was taken out for the property.
  •          The Americana Mobile Home Park: located in Paramount, the park received $14,226,000 in financing.
  •          The Villa Huntington Mobile Home Park: the Huntington Beach mobile home property received a loan worth $10 million.

The other properties that comprised Rutherford’s portfolio were the Ballena Village Apartments in Alameda, the Rancho Vista Mobile Home Park in Sonoma, the Plum Tree Apartments in Martinez and the Vista Green Valley Mobile Home Park in Vista. All of the seven permanent loans have fixed rates with ten-year terms and are interest only. Johnson Capital secured the loans from Fannie Mae through Walker & Dunlop.

According to Mark Susank of Johnson Capital, “the quality of the underlying assets and the excellent reputation of the borrower” were key in securing the loans as they provided a great environment for the financing process.

SummerHill Appoints Patrick S. Simons as Senior VP of New SoCal Division

25 Aug 2013, 8:29 pm

By Alex Girda, Associate Editor

The growing multifamily market of Southern California is prompting changes to companies and shifting strategies. To that effect, SummerHill Apartment Communities, a division of SummerHill Housing Group, has enlisted the talents of Patrick S. Simons, an industry veteran, to help with the company’s brand new SoCal division. Simons will serve as senior vice president with SummerHill, and he will run the developer’s new Irvine office, located at 18401 Von Karman Avenue.

The move underscores the change in direction that SummerHill is deploying; the company has come up with a development plan for the lower part of the state. Its aim is to repeat the success in Northern California, and the man that the company is betting will get it done is Patrick S. Simons. According to SummerHill Housing Group’s President and CEO, Robert Freed, “Patrick is a 20-year veteran of multifamily real estate with exceptional organizational leadership skills to build our Southern California division for long-term growth.”

A press statement released by the developer noted that the first objective of the new SoCal division is to come up with a high volume of projects. The new senior vice president will handle land acquisitions, financing, and the various stages of development up to the leasing process and disposition of apartment assets.

SummerHill Apartment Communities already has a generous pipeline of 1,200 units up in NoCal, while the rest of California is lacking major projects from the developer. The strategy will now include both the acquisition of entitled, permit-ready sites ripe for development, but also the purchase of unentitled lots that present great opportunities for multifamily development.

New Little Tokyo Apartment Community Breaks Ground as Downtown L.A. Continues Rise

20 Aug 2013, 4:27 pm

By Alex Girda, Associate Editor

With Koreatown communities in L.A. now moving and the submarket’s multifamily sector set for continuous growth, it’s time to switch the focus to another community’s development endeavors, namely Little Tokyo. Residential developer SARES-REGIS Group recently announced that it has broken ground on a new mixed-use apartment development in this historic downtown community. The rental apartment complex was designed for SRG by TCA Architects, the company responsible for the six-acre master-planned community that the development is part of.

Located on a 1.74-acre lot in Little Tokyo at South San Pedro St. and East 2nd St., the mixed-use development will total 240 residential units with different floorplans, as well as 16,000 square feet of retail space, as well as an underground parking facility, that would provide 100 spaces of public parking. The plan in its current form calls for 51 studio units, 112 one-bedroom units, and 77 two-bedroom apartments with sizes reaching 1,220 square feet. According to a press statement from the Irvine-based developer, rents at the new community will circle the value of $2,400 per month.

With a resident amenity package including features such as a pool, spa, a two-level fitness facility, club, roofdeck and game and café lounges. Located in the vicinity of Los Angeles City Hall, and the city’s Bunker Hill financial district, the location is bound to attract young professionals looking for a downtown L.A. address, which is the exact target market the developer has in mind for the development.

SRG’s President of Multifamily Acquisitions & Investments Division, Bill Montgomery, underscored that target in a recent press statement saying, “downtown L.A. continues its progress towards becoming a true 24-hour city. We expect most residents of our development will be young professionals who work downtown and want to walk to their jobs.”

Image courtesy of TCA Architects

K2LA Luxury Development Selects Cobalt Construction for Second and Third Buildings

12 Aug 2013, 6:01 pm

By Alex Girda, Associate Editor

One of the largest luxury multifamily projects under development in Los Angeles now is the K2LA urban development. The project’s developer, Century West Partners, recently announced that it has selected a company to handle the second and third phases of construction at the site. Cobalt Construction Company will take over the development of the second and third buildings located at 680 Berendo and 685 New Hampshire.

The K2LA development will consist of three luxury residential buildings totaling 476 luxury apartments. The three structures will be located at 688 S Berendo, 685 S New Hampshire and 680 S Berendo, in the city’s growing Koreatown district. The buildings will individually hold 130, 176 and 170 units respectively. The community will offer its residents fitness facilities, business centers, rooftop spas, outdoor decks and grilling areas. Individual features in luxury units will include granite countertops, plank flooring, stainless steel appliances and luxury bathrooms. Tech-oriented fixtures such as in-wall USB outlets, high-speed Internet, satellite TV, and Bluetooth-enabled amplifiers with in-wall speakers will also be available in the luxury apartments.

Launched in 2010, Century West Partners was formed to develop upscale modern residential properties in urban infill, transit oriented sites in areas such as Westwood, Marina Del Rey, Pasadena, Beverly Hills and Santa Monica. Cobalt Construction Company is a 60-year-old, California-based company that provides construction services for a wide range of markets including multifamily and solar-powered developments.

Rendering courtesy of centurywestpartners.com

Live/Work Community in Studio City Secures Recapitalization Deal Worth $37 Million

28 Jul 2013, 10:29 pm

By Alex Girda, Associate Editor

One of LA’s strong points will always be its link to the film industry and that appeal is precisely what prompted Cahuenga Pass Development’s Universal Lofts project. The company recently completed a recapitalization on the project, secured by locally based real estate investment banking firm Dekel Capital. The company arranged for a total of $37.5 million in bridge and mezzanine debt for Cahuenga.

The live/work complex offers 67 fully leased condominium units located in Studio City at 3450 West Cahuenga Boulevard, just across the 101 Freeway from Universal Studios, one of the best-known film production venues in the world. Completed in 2008, the project was, until recently, marketed as rental apartment units, with the developer eager to complete the transition to condo designation. The community is divided into nine individual buildings that house three-story, two-bedroom/1.75 bathroom live/work condos. Each of the 67 units offers residents direct garage access. There are 14 different floorplans; the loft-style units also featuring private balconies.

According to a press release announcing the recapitalization, the senior debt was funded by East West Bank while the mezzanine component was handled with the aid of Pembrook Capital. The financing measures have a three-year term and enable the borrower to begin marketing and selling the units as condominiums. Dekel Managing Principal Shlomi Ronen noted that with the help of the two aforementioned companies, the real estate investment banking firm was “able to yield the borrower a rate that was 100 basis points inside of the market.”

Image courtesy of universallofts.com

Kilroy’s Sunset Media Center Holds Major Tenant Nielsen Media Research, Adds FilmL.A. to Roster

19 Jul 2013, 11:34 pm

By Alex Girda, Associate Editor

L.A.’s office market continues to be driven by the entertainment industry as two companies have signed leases at the soon-to-be-renovated Sunset Media Center in Hollywood. Bought by real estate company Kilroy Realty Corp. at the end of 2012, the office building is set to receive extensive interior improvements as the new owner has from the outset stated its intention to raise the value and profile of one of the area’s largest office buildings. The last major renovation process to be carried out at the facility took place in 1987, 16 years after the building’s completion.

The two companies that have inked agreements with Kilroy for space at the building located at 6255 Sunset Blvd. are FilmL.A. and Nielsen Media Research. FilmL.A. is a new tenant at the property, the first company to join the building’s tenant roster after Kilroy took over as the landlord, after deciding to relocate from its former headquarters at 1201 W. 5th Street. The entertainment company will be taking over the 12th floor, or a total of 17,800 square feet of space for the following ten years.

Nielsen Media Research is the building’s largest tenant, and the news that the company is renewing and extending its lease comes as a good sign for Kilroy. The company, dealing with the compiling of media audience numbers for various media outlets, is responsible for the famed Nielsen ratings, essential in the policy of television networks. Nielsen will be taking over floors 14, 19 and 20 at Sunset Media Center for the next decade.   

Image courtesy of kilroyrealty.com

U.S. Bank Completes Financing Deal for Two L.A. Senior Affordable Housing Projects

14 Jun 2013, 3:24 pm

By Alex Girda, Associate Editor

An important financing deal securing the future of two urban senior housing developments in Los Angeles was completed last week when U.S. Bank confirmed that it is providing $55.1 million for the projects. The two affordable housing communities have groundbreaking ceremonies scheduled this month. U.S. Bank is working with the Retirement Housing Foundation to get the two developments done. The banking giant will present the organization with a $30,000 check, in support of its current senior housing endeavors.

The two affordable senior housing developments are Broadwood Terrace in South Los Angeles and Las Alturas in East Los Angeles. The two residential complexes will add a total of 165 new affordable units for eligible seniors; 153 of those units are designed to be HUD 202 Section 8 rental subsidies for eligible seniors older than 62. The 12 remaining units are designated as affordable housing units for seniors ages 55 and older. Both of the properties, scheduled for completion during the second half of 2014, will have LEED certifications.

Broadwood Terrace will have 88 one- and two-bedroom units in a five-story building, at 5001-5025 South Main Street in South Los Angeles. The second project, the Las Alturas housing complex, will be located in the Boyle Heights neighborhood at 3545 East Whittier Boulevard. The five-story, 77-unit building will offer one-bedroom floorplans in the proximity of local transportation and a number of resident amenities.

Retirement Housing Foundation has been collaborating with U.S. Bank on its affordable senior residential projects for the past ten years. During this timeframe, U.S. Bank has reinforced the partnership by providing help with development financing, as well as a total of $160,000 which is part of the financial giant’s initiative to reinforce the working relationship between the parties, and support RHF’s ongoing projects.

Renderings courtesy of rhf.org

West Angeles Community Development Corporation Debuts New Community-Helping Project

9 Jun 2013, 11:30 pm

By Alex Girda, Associate Editor

A brand new development was recently unveiled in the Crenshaw Corridor, bringing the spotlight to an area of the city that has been in serious need of a makeover. The $8.5 million investment was handled by the West Angeles Community Development Corporation and Union Bank and is located at 3501 Jefferson Boulevard.

The West Angeles Plaza development includes 15,000 square feet of grocery space, a 4,500 square-foot Union Bank, as well as 5,000 square feet of retail, commercial and community space. The development is paramount for the Crenshaw Corridor, and the West Angeles Community Development Corporation had an important role in the financing project, attracting $2 million from the federal American Recovery and Reinvestment Act, CIM Group and other sources.

The project was supported by a number of local authorities and according to Los Angeles City Council President, Herb Wesson, “the development is also an economic shot in the arm bringing as many as 150 construction-related jobs, 50 grocer-related jobs, 25 bank jobs, and possibly as many as 30 office jobs in addition to attracting additional small businesses.” The project is reportedly relevant to local policies and its success is driving the empowerment given to community economic development.

The West Angeles Community Development Corporation was created in 1994 as an outreach program of West Angeles Church of God in Christ. At the time, with a 15,000-strong congregation, the church created the CDC to expand its operation in an attempt to fight the rising poverty in L.A.’s Crenshaw District.

Rendering courtesy of cimgroup.com

Vandenberg Air Force Base Military Housing Ends Six-Year Makeover Process

20 May 2013, 2:06 pm

By Alex Girda, Associate Editor

The housing component at Vandenberg Air Force Base has received a major boost as the initial development period finally comes to an end. A partnership between Balfour Beatty Communiites LLC and Hensel Phelps Construction Company handled the renovation and construction of new military housing units at the base. The total investment made during the six-year interval now stands at around $158 million. Balfour Beatty Communities currently deals with a range of residential projects including multifamily, military and student housing. With the initial development period now over, the developer and property manager has increased the number of units it handles at the Vandenberg AFB to almost 1,000.

Started back in 2007, the development process has seen the partnership build around 160 brand-new homes, while 500 outdated housing units had to be taken down. A further 700 homes underwent extensive renovation operations at the Air Force Base. Also part of the lengthy development process was the construction of a new community center offering residents 6,200 square feet of common space. A pool as well as a number of multi-purpose rooms are included in the new amenity package which features parks, athletic facilities, bus shelters, perimeter fencing, and substantially improved infrastructure. The community will feature a new 2,400 square-foot maintenance facility.

Vandenberg AFB’s new residential component was built with energy efficiency in mind and to achieve that, most of the materials obtained through the renovation and demolition processes were reused to as great an extent as possible. New materials were locally sourced, local contractors were used meaning that around 80 percent of the investment went into the local community, while the construction process itself was carried out with the use of low voltage lighting, tankless hot water systems, Energy Star appliances, high efficiency furnaces, low-flow plumbing fixtures and low-VOC construction materials. Water conservation was also a priority as well as the use of native plants for the landscaping.

Image courtesy of vandenbergfamilyhousing.com

Upscale Gated Community in Century City Set to Expand After Land Deal

26 Apr 2013, 8:02 pm

By Alex Girda, Associate Editor

L.A.’s residential market seems to be picking up where it left off as reports indicate that even the slowest neighborhoods of the city’s metropolitan area are now recording improvements in the residential sector. In fact, an affiliate of California Landmark Group has recently acquired a 70,000 square-foot, undeveloped site in Century City. The plan is to get a small, upscale residential community built here, one that will complement the existing Century Woods community. The land and developing rights for the lot cost the investor $13 million.

Located at the corner of Century Park West and Solar Way, the site will house ten 5,000-square-foot homes that will form The Enclave at Century Woods. The development process is set to be fast tracked and construction should begin during the next few months, with completion tentatively set for the end of next year. Along with purchasing the land from a neighboring homeowner association, CLG also acquired JMB Realty Corporation’s option to build homes there.

The development plan will also include a perimeter wall that will enclose the new high-end gated community into the existing Century Woods residential complex. The homes will be oriented towards a central common courtyard, while lush landscaping will form a transition area from the street and nearby buildings. The new homes will benefit from the same amenity package currently available to the residents of Century Woods including: secure entry, tennis court, indoor and outdoor pools, a fitness center and a clubhouse. CLG also handled the construction of the last four homes to be added to the community, back in 2002.

New Development in City’s Arts District Set to Reopen Market for Condo Homes

19 Apr 2013, 6:43 pm

By Alex Girda, Associate Editor

The final construction phase on one of L.A.’s most interesting redevelopment projects has started. The development team of Blackstone and CityView recently announced that they have broken ground on the last stage of construction at their Barker Block residential community. Working in association with The Kor Group, the developers are now set to convert an old warehouse space into a loft and townhome component for this project in the city’s Arts District. When work is completed at the site, the total investment will clock in at around $150 million.

The Barker Block condo development will become the first new for-sale development in the city for quite some time and will offer 309 residential units to potential buyers in the Arts District. The final phase will include the construction of 68 units for an investment of around $25 million. With the backing of Los Angeles Mayor Antonio Villaraigosa, the community will be added to the city official’s Clean Tech Lab initiative for the surrounding district.

The condo development has taken shape in a number of repurposed buildings whose architectural elements have been preserved. Many materials from these original structures have been repurposed and used in the new construction process. The loft units and townhomes will have a number of green design features such as water-efficient landscaping, Energy Star appliances and energy-efficient homes that will include insulated dual-pane windows.

Developer Blackstone is eager to finish the final phase which will create around 100 construction jobs for the community and has voiced excitement regarding its partnership with CityView and the city’s local authorities through Jon Gray, the company’s head of real estate. “Blackstone’s investment demonstrates the impact that private capital can have on revitalizing America’s urban neighborhoods.” Gray also said that contributing to the local economy is a point of pride for the organization.  

Two Historic Multifamily Properties Trade Hands as 1920s Charm Makes a Comeback

15 Apr 2013, 6:24 pm

By Alex Girda, Associate Editor

Los Angeles’ residential market saw a recent upswing in interest for smaller multifamily properties as two deals were completed for properties bearing those traits. South Park Lofts in the South Park district and Avondale Apartments in Hollywood were snapped up by investment firms M West Holdings and Avondale Hollywood LLC, respectively. However, the two properties don’t only have a small footprint in common. Both South Park Lofts and Avondale Apartments are historic properties.

South Park Lofts is a 49-unit high-end multifamily building located at 818 South Grand Avenue in downtown Los Angeles. The property was originally built in 1924, and it underwent extensive renovations in 2004. Resident amenities include a rooftop garden and spa, grilling area, glass enclosed rooftop gym and onsite café, as well as its coveted location within walking distance to the LA Live entertainment district and Staples Center. The property is currently on the National Register of Historic Places and was also granted landmark status by the California Historic Resources Commission. Sold by Rockwood Real Estate Advisors, a full service real estate investment banking firm, the property is now under the ownership of M West Holdings, a vertically integrated private real estate investment company that operates in Southern California and New York City.

Avondale Apartments is a 1928-built apartment asset in Hollywood, offering 58 residential units. Located at 1825 North Cahuenga Boulevard, the property retains a large proportion of its original architectural features, while providing a great opportunity for any owner seeking renovation. A number of improvements could be undertaken at the aging building, most notably unit modernization and a lobby makeover. The property was acquired by Avondale Hollywood LLC for a fee of $6 million from seller 1825 N. Cahuenga LLC. The transaction was arranged on behalf of both parties by a representative from Madison Partners.

 Images courtesy of splofts.com and Google StreetView

The Desmond will Join Creative Office Building Inventory in L.A.’s South Park District

29 Mar 2013, 8:47 pm

By Alex Girda, Associate Editor

Lincoln Property Company is looking to capitalize on the growing demand for creative office space in the Los Angeles metro area and has snapped up an intriguing property in the city’s downtown. The company recently announced that it is finalizing the deal for The Desmond building, a property that has gathered quite the history in its nearly 100 years of existence. The space will be completely renovated and converted to match current standards for its type of property. The revamped facility would also benefit from proximity to the growing L.A. Live entertainment district.

The Desmond is a vacant five-story building located in downtown’s South Park District. When completed, the construction will offer potential tenants a total of 78,500 square feet of newly renovated creative office space. The refurbishing process at the property will begin immediately, with the process set to last for a year. With ceilings ranging in height from 11 to 16 feet, the building looks like a great candidate for a Class A property, especially in a growing market.

The facility features 15,600 square foot floor plates throughout, as well as an adjacent surface parking lot which the new owner will use to support the building’s office and retail residents. Renovations will deal with building mechanicals, new windows, and brand new interior finishes while maintaining the attractive sense of spaciousness and rooftop views. The location is in close proximity to the city’s Metro rail system, Downtown Dash Bus station and major roadways. Additionally, local authorities are considering restoring the Downtown Streetcar service which would have a stop just next to The Desmond. Leasing for the building is already underway

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