This Week's LA Deal Sheet
WREN, a new seven-story luxury building with 362 units, has opened in South Park.
Mack Urban founding principal and CEO Paul Keller said WREN, at 1230 South Olive St., has something to offer that other communities in South Park do not, including high-quality finishes and a host of amenities.
WREN features bike storage, a swimming pool, two roof decks, two dog runs, a dog-wash station, indoor and outdoor lounges with communal kitchens and a business center with co-working space.
The seven-story building is nearly 20% leased.
Units in the $144M development range from 487 to 1,750 SF, averaging approximately 761 SF.
"We believe this is the finest low-rise apartment community in the entire downtown," Keller said.
Keller said Mack Urban is heavily invested in South Park with multiple projects planned.
A check for $150K was donated to Metro Charter Elementary School nearby as part of the grand opening celebration.
Giving to the school was important because residents will not be interested in staying downtown if there are not valuable local amenities, including open space and schools.
"We're hoping we set an example for other investors and developers to step up, put their money where their mouth is and assist all of us because we've got to do this collaboratively," Keller said.
WREN's first restaurant tenant, First Draft Taproom & Kitchen, is scheduled to open in the fall.
The development is the first phase of Mack Urban's South Park investment activities, according to Keller.
Togawa Smith Martin was the architect. Morley Construction and LACERA also developed the project, along with Mack Real Estate Group, AECOM Capital and Capri Capital Partners.
The interior design is by Mercedes Fernandez Interior Design with construction managed by AECOM Tishman.
SALES
A 12-unit apartment building in Highland Park, 6024 Fayette St., sold for $5.57M, or a record price of $464,166/unit.
The building went under contract within five days of being marketed. It is a non-rent-controlled building and was fully renovated last year.
There are eight two-bedroom/two-bath units and four three-bedroom/two-bath units.
Marcus & Millichap investment specalists Barry Gordon, Justin Forman and Maurius Jeffery had the exclusive listing to market the property on behalf of the seller, Neilson Hammer LLC.
Marcus & Millichap brokered the sale of a triple net leased, 111,830 SF Walmart Supercenter in Norwalk for $20.2M, or $181/SF.
The 19-year-old Walmart Supercenter is on 7.6 acres at 11729 Imperial Highway.
Marcus & Millichap senior managing director investments Mike James and associate Scott Doerner repped the seller, a privately owned real estate development company.
The buyer is a Southern California private investor.
Stepp Commercial, a leading multifamily brokerage firm in the Los Angeles market, has completed the $10.55M, or nearly $189K/unit sale of a 56-unit apartment portfolio consisting of three properties in Long Beach.
The portfolio closed at a 4.6% cap rate.
The three properties are 765 Cerritos Ave., a 20-unit property built in 1963; 731 Orange Ave., a 24-unit property built in 1958; and 933 Alamitos Ave., a 12-unit property built in 1945.
Stepp Commercial principal Robert Stepp repped the seller, a private investor from Signal Hill, and the buyer, Corona Del Mar's Mandek 10 Property Partners.
Universe Holdings purchased the 45-unit Villa Edgemont apartment community in Los Feliz for $12.6M.
Villa Edgemont is a 45-unit, low-rise apartment community with a mix of studio, one-bedroom and two-bedroom units.
Built in 1959, Villa Edgemont features courtyard community space, a rooftop pool and sun deck with BBQ area and a fitness center.
Plans include doing a reno of the units in the future.
As a result of this acquisition, Universe owns and operates a Hollywood/LA portfolio totaling 275 units in nine properties.
The Kingsley Towers in Koreatown just sold for $8.7M to Prana Investments.
The 45-unit, Art Deco multifamily building is at 530 South Kingsley Drive. It has a gated subterranean parking garage and renovated interiors.
Madison Partners negotiated the deal for the 87-year-old building.
NEW OFFICE
Cushman & Wakefield has opened an office in El Segundo.
The new office, at 2141 Rosecrans Ave., will house around 50 employees.
Cushman & Wakefield relocated from Torrance, and tripled the size of this local South Bay office from 4K SF to approximately 12K SF.
The firm’s new space is part of a larger Class-A multi-building project, Continental Park, owned by Continental Development Corp.
Cushman & Wakefield’s new penthouse space was completely redesigned and reconfigured to meet the tech needs of the firm and its clients.
FINANCING
PSRS arranged a $5.1M refinancing for the borrower for a single-tenant industrial property in Santa Fe Springs. The firm had previously financed it for the same borrower using a different lender and also has worked with the borrower on other deals.
The 149,683 SF building is on Geary Avenue on 293,009 SF of land. It is used as a warehouse and a heavy‐manufacturing facility with 29 loading bays.
The loan has a 15‐year term, which amortizes in 30 years and includes seven years interest-only.
PSRS principal Kostas Kavayiotidis arranged the financing.
