This Week's LA Deal Sheet
CBRE arranged $170M in acquisition and renovation financing for the buyers of the Newport Beach Marriott Hotel & Spa, Eagle Four Partners and Lyon Living. The buyers plan to renovate the 532-room hotel property.
The Orange County Register reported that the sale of the hotel (also arranged by CBRE) for $216M was the most expensive hotel sale in California this year.
Eagle Four, which is based in Newport Beach, already owns a number of hospitality properties in coastal Southern California, including the Balboa Bay Resort in Newport Beach and the Paséa Hotel & Spa in Huntington Beach.
CBRE’s Hotels Debt & Structured Finance team was led by Executive Directors Mark Owens and Bill Grice. CBRE Hotels’ Robert Webster, Michael DiPrima and Diana Simpson represented the seller, Host Hotels & Resorts.
Newmark arranged the sale of a 112K SF industrial distribution building for $37.3M in West Rancho Dominguez. The buyer, Cohen Asset Management Inc., was represented by Newmark Managing Director Ryan Plummer, Director of Buyer Services Andrey Mindirgasov, Executive Managing Director Sean Fulp and Director Mark Schuessler.
The building on San Pedro Street was developed on spec by Panattoni Development Co. and M. Payne Investments.
The 118-unit Bechir Apartments in Tarzana has sold for $27.1M, or just over $229K per unit. The property was built in 1969 and holds a mix of studios and one- and two-bedroom units. Marcus & Millichap Vice President of Investments Michael Sterman and Executive Managing Director of Investments Jeff Louks represented the seller and procured the buyer.
CapRock Partners has acquired a 230K SF infill industrial property on a roughly 12.5-acre site in Pomona for redevelopment. Once the present tenant's lease expires, CapRock plans to demolish the existing manufacturing building on the site and build a new, 270K SF building with up to 10K SF of spec office space.
CONSTRUCTION AND DEVELOPMENT
Multifamily investment manager and development firm Cityview has broken ground on a 123-unit mixed-use project in Mid-City. Designed by Togawa Smith Martin, the seven-story complex, 5935 Pico, will also include 13 affordable units and 3.3K SF of retail.
The project is replacing a one-story strip mall near Carthay Square. Cityview purchased the property in January 2019. Construction is expected to be complete by the end of 2022.
George Smith Partners arranged $13.34M in acquisition and bridge financing for the purchase and reposition of a six-property multifamily portfolio in Long Beach. The sponsor placed the portfolio under contract during the coronavirus pandemic. The GSP advisory team included Michael Anderson-Mitterling, Kyle Howerton, David Stepanchak and Olga Brandeis.