Built Development Lands $25M Refi for San Diego Asset

JLL Capital Markets secured a floating-rate bridge loan for a 70-unit property in Little Italy.
Cielo. Image via Google Street View

Built Development has received a $24.5 million floating-rate bridge loan for Cielo, a 70-unit community in the Little Italy neighborhood of San Diego. JLL Capital Markets assisted the borrower in securing the financing through a life insurance company.

In 2018, the recently completed property became subject to a $20.7 million construction loan that Bank of Internet, now Axos Bank, provided to Ibex Ltd., according to Yardi Matrix data.

Located at 915 W. Grape St., Cielo’s 64,500 square feet of rentable space includes 1,500 square feet of ground-floor retail. The eight-story building encompasses one- and two-bedroom apartments and studios, ranging from 421 to 1,407 square feet.

Residents will have access to a gym, a community room, bicycle racks, an outdoor lounge and a barbecue area.

Cielo is a short walk from the ocean and Waterfront Park. The property is less than 3 miles from the San Diego Airport and less than 2 miles from Balboa Park, with its museums and gardens. San Diego’s numerous downtown restaurants and shops are also nearby.

Last year, San Diego’s multifamily market did not remain unscathed amid the pandemic-generated economic instability. Transactions in 2020 added up to less than one-third of the $1.6 billion in assets that traded the previous year. New construction was also at its lowest since 2015. However, at the start of this year, the market’s multifamily pipeline showed signs of a slow recovery, with 8,426 units under development.