This Week's LA Deal Sheet
A mixed-use development site at 1717 North Las Palmas in Hollywood just sold for $23.3M. Bisnow caught up with Champion Real Estate Co partner Greg Beck to get the latest about the sale.
Greg (pictured with his wife, Allison) says it was Champion Real Estate Co's plan to initially build on the site, but "once we obtained approvals we realized there was more interest from builders than we expected."
As a result, an affiliate of Champion, called Hollywood Cherokee Apartments Venture, sold the entitled site to Airport Holdings LP. Champion obtained entitlements for the development of 224 Class-A residential units over retail.
Champion Real Estate first bought the property in April 2012.
It was formerly a 49,590 SF public parking lot.
The community played a role in the proposed building's design, according to Greg. Champion Real Estate "learned from the community there was a desire for architecture to be unique and iconic," he says.
The property has a lobby, a leasing office, an exercise room and clubhouse amenities on the ground floor and 333 SF of retail space.
The firm "tried to balance that with historic Hollywood Boulevard and create a project unlike others in Hollywood," but that didn't "overwhelm the historic structures," Greg says.
SALES
CBRE Group sold the largest industrial building in Thousand Oaks for more than $37M to Majestic Asset Management.
The property, at 1461–1475 Lawrence Drive in the Conejo Spectrum Business Park, is a research and development facility and is 100% leased to four tenants, including Custom Sensors and Technologies, a manufacturer of aerospace hardware, and Library Associates Inc.
The 347,119 SF industrial building is on about 18 acres.
CBRE SVP Nicholas Gregg, Bob Boyer, Michael Slater, Tom Dwyer and Barbara Emmons repped both the buyer and the undisclosed seller.
CBRE’s Val Achtemeier secured the new $26.6M balance sheet loan for the buyer.
Stepp Commercial completed the sale of two apartment properties in the Carroll Park community of Long Beach, totaling 26 units, for $5.35M, or $205k/unit.
The first property, at 311 to 315 Junipero Ave, includes 16 units in a two-story building. There are 10 one-bedroom units, six two-bedroom apartments, an on-site laundry and eight private garages.
The second property, at 500 Junipero Ave, has 10 apartments—eight one-bedrooms and two two-bedroom units. The property offers a central courtyard, an on-site laundry and five private garages.
Carroll Park was the first planned housing tract in Long Beach.
Stepp Commercial principal Robert Stepp repped the seller, a private investor from Long Beach, and the buyer, The Waterford Group in Long Beach.
CBRE Group sold a retail space leased to Tesla Motors on Santa Monica’s Third Street Promenade for about $15.6M.
The 3k SF property at 1227 Third Street Promenade is a bottom-floor storefront that underwent a complete revamp four years ago into Tesla’s state-of-the-art showroom.
CBRE SVP Timothy Bower, First VP Ken McLeod and senior associate Tim Kuruzar repped the undisclosed seller and the buyer, a JV between KLM Equities and Harlington Realty.
Progressive Real Estate Partners sold a 14,700 SF building at 203 South Azusa Ave in West Covina for $2.5M in an all-cash deal.
The building, previously occupied by a Tutor Time Preschool, was remodeled 15 years ago and has several classrooms, a teacher’s lounge, indoor and outdoor play areas, and parking.
Options for Learning, the buyer, will be offering Head Start, Early Head Start and preschool programs there and is expected to have approximately 30 employees and up to 209 children from infants to the age of 5.
Progressive Real Estate Partners SVP Frank Vora exclusively marketed the property and repped the seller, a private investor in San Diego County.
Newmark Grubb Knight Frank's Rick Sheckter in the City of Industry repped Options for Learning, a nonprofit public service agency providing Head Start, preschool and child care services throughout Whittier and the San Gabriel Valley.
Berkadia just announced the sale of three apartment buildings on Las Palmas Avenue, north of Santa Monica Boulevard in Hollywood.
The three buildings, in the heart of Hollywood, include one 32-unit and two 11-unit non-continuous mid-century buildings.
The properties consist of a mix of studios, and one-bedroom and two-bedroom apartments. The larger building (above) also has a swimming pool.
Each building was being operated at 100% occupancy with rent levels significantly under current market rates.
The buyer, a private family and long-term owner with nearby assets, plans to upgrade the interiors and increase rents as units turn.
Berkadia senior managing director Dean Zander and director Mark Ventre repped both sides of the deal.
FINANCING
Dekel Strategic Investors, a proprietary equity fund of Dekel Capital that focuses on investing in multifamily and senior housing development projects, has placed $16.1M in equity for the development of Sage Mountain Senior Living.
The 130-unit, 58,154 SF assisted living and memory care facility will be in Thousand Oaks.
With the closing of this deal, Dekel Strategic Investors has invested over $100M in equity since the platform was launched in January 2014.
EXECUTIVE NEWS
Amy Dittoe, Chelsea Gribble and Jackie Klein (above) joined Cushman & Wakefield's LA office. They will work in the DTLA office as Portfolio Solutions specialists, servicing the firm's Global Occupier Services platform.
As business development director, Amy will work with sales professionals to craft strategy and messaging for new business pursuits.
Business development design director Chelsea will work on creative design solutions for business development opportunities nationally. Business development manager Jackie will partner with sales professionals pursuing account-based occupier business as well as big single deals.
