This Week's LA Deal Sheet
Downtown LA is booming, and Suffolk Construction is one of a host of companies betting big in the area. Bisnow recently caught up with Suffolk Construction COO Mark DiNapoli to get more details about some of their latest projects downtown.
Mark (pictured with his wife, Laura) says the company began work this week on the Grand Hope Lofts, a 34-story high-rise (888 S Hope). The development will feature more than 500 units as well as retail on the first floor. It's expected to be completed by the first quarter of 2018.
Suffolk Construction also is building Axis, two towers in South Park, for Cleveland's Forest City Development.
The two sites, which are across the street from each other, are being built simultaneously, Mark says.
The first site (pictured above) is on 11th and Hill, while the second building (below) is on 12th and Broadway.
Both will feature residential with some retail on the first floor. Mark says the 12th Street building will have 214 units. The 11th Street building will have 177 units.
The buildings are expected to be completed by the spring of 2017.
To find out more about projects being built downtown, join us for Bisnow's Downtown LA Renaissance event at 7:30am June 9 at the WeWork Gas Tower. Sign up here!
GROUNDBREAKING
MVE + Partners has broken ground on two high-rise mixed-use developments (732 Spring St and 755 Spring St) in downtown LA.
The firm is working for a JV owned by North America Sekisui House LLC and developer Holland Partner Group.
A ceremonial groundbreaking was recently held for the $164M development (732 Spring St).
The 24-story tower will be a 300-unit apartment community featuring 7,500 SF of ground‑floor retail and an abundance of luxury amenities.
This tower follows the start of construction on a sister project across the street (755 Spring St) that broke ground in late 2015.
Legacy Partners broke ground last week (pictured is Legacy Partners senior managing director Timothy O’Brien) on MODA at Monrovia Station, a five-story, 261-unit, 210k SF apartment building in Monrovia.
Legacy Partners bought the ground-lease for the land in April in a JV with Griffin Capital and Silverpeak Real Estate Partners.
The residences are expected to be ready in early 2018.
CBRE Group recently broke ground for The Mix at Harman Campus, a creative office development in the San Fernando Valley.
The Mix has more than 784k SF of mixed-use office space as well as R&D and retail in Northridge.
It is being developed by Shubin - Nadal Realty Investors along with their capital partner, DRA Advisors LLC, and will feature indoor and outdoor spaces, game areas, food truck dining areas, a 30k SF town square/central park and a 37k SF health and fitness club.
The new creative office space is expected to be completed by August.
LEASING
Jamison has entered into a 42,161 SF lease agreement with Hollywood's IgnitedSpaces.
Under the terms of the long-term lease, IgnitedSpaces will occupy the 12th floor of Building B at the California Market Center in the LA Fashion District (110 E 9th St).
Jamison plans to construct the floor to fit IgnitedSpaces’ work concept.
IgnitedSpaces was co-founded by Matt Davis and Lawrence Kao and offers flexible and state-of-the-art work and studio spaces along with business support services.
The space leased by the California Market Center has polished concrete floors, new bathrooms, exposed 14-foot ceilings and modern architectural lighting.
The IgnitedSpaces area will feature large private office suites, multi-purpose event spaces, a photography studio, high-tech meeting space and a theater.
CBRE Group completed a 19k SF lease for Co-Opportunity Natural Foods, a Santa Monica grocery store at Access Culver City in Culver City.
Co-Opportunity Natural Foods, also known as “The Co-op,” has sold organic food in Santa Monica since 1974.
CBRE’s Timothy Bower and Zachary Card repped Access Culver City’s developer, Greystar Real Estate Partners of Charleston, South Carolina. Kennedy Wilson's Lee Shapiro repped the tenant.
The new location is scheduled to open in early 2017.
FINANCING
JLL Capital Markets helped arrange a $15.5M refinancing loan for the White Magnolia Apartments (17720 Magnolia) in Encino. Held Properties recently completed construction on the multifamily property.
JLL managing director Brian Halpern led his team on the deal for the 50-unit apartment building.
As part of the deal, they were able to lock in a rate of 3.65% before stabilization with five years of interest-only, according to Halpern.
The development includes an outdoor lounge area, a fitness center and a gas fire pit.
EXECUTIVE NEWS
Heger Industrial president and CEO Robert Thornburgh has been elected as the Society of Industrial and Office Realtors VP for 2017.
Thornburgh will serve as president-elect for a year and then step into the role of president of SIOR in the fall of 2018.
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Thuong Luong has been appointed to the role of chief investment officer at Gehr Hospitality, a new division of The Gehr Group.
Previously, Thuong was VP of portfolio management at Laurus Corp and with Asset Management Finance, a private equity firm.
