Geoff Palmer Secures $120M Refinance For Downtown's Da Vinci Apartments
Geoff Palmer, one of Downtown's biggest residential landlords, secured a $120.1M refinance for his Da Vinci apartment building.
The 526-unit property is 98% occupied and sits off Figueroa Street where the 110 and 101 freeways meet.
The loan is fixed for 10 years at 4.38% with interest-only payments for the first seven years, according to George Smith Partners, which announced the deal and arranged the financing. Walker & Dunlop provided the loan, Commercial Observer reported.
In June, Palmer agreed to pay $12.5M to settle a class-action lawsuit brought by more than 19,000 of his tenants in 20 different properties who claimed their security deposits were wrongfully withheld after they moved out, the LA Times reported.
Palmer's large Downtown complexes are considered some of the first major residential projects to come into the area in the early 2000s when boosters hoped that the area's new adaptive reuse ordinance and young professionals' growing interest in returning to the urban core would bring new energy to a part of town that high-rise workers cleared out of at 5 p.m.
The Da Vinci apartment complex was the site of an enormous arson in 2014. The building was under construction at the time of the fire. Palmer reportedly lost as much as $100M in revenue because of the blaze, the Los Angeles Times reported at the time.