Downtown LA Pricing Record Shattered by Kor Group on Barker Block
- Oct 31, 2014
Los Angeles—Warehouse No. 1 at Barker Block has sold out, making it the fastest-selling residential project in Downtown Los Angeles. The Kor Group announced the sellout of the property after selling 68 lofts in less than six months for $42 million, at an average of close to $600 per square foot. That figure established a new record for the Arts District of Downtown Los Angeles.
“Warehouse No. 1 at Barker Block is the only new construction residential community in the area in more than a year,” Tripp DuBois, sales and marketing vice president of The Kor Group tells MHN. “The lack of new and resale supply, coupled with the Arts District’s ever-growing popularity as an urban destination, made it really the right time, the right community and the right offering.”
Housed in a renovated and restored early 20th-century factory and warehouse of Barker Brothers Furniture, Warehouse No. 1 features one- and two-story lofts.
The Kor Group saved the building’s original details, including exposed brick, heavy timber beams and columns, wood and concrete floors. In the renovation and repurposing, Kor Group added environmentally friendly, modern conveniences, but meticulously preserved timeless and historic character.
Kor added a number of distinctive amenities for prospective buyers. These included a dynamic arts and events space called Warehouse No. 1 Gallery, featuring a versatile social environment with hand-made hanging chairs. Additional amenities include an inviting, garden-themed outdoor lounge with green canopy, water fountain, fireplace, grills and intimate seating areas.
An open-air courtyard with luxuriant greenery is invested with unique features such as hammocks and love seats suspended from rafters, and decorative lighting that delivers bountiful style and enchantment.
The Kor Group’s expanded sales and marketing division played a critical role in implementing the vision for Warehouse No. 1, helping ensure all components blended harmoniously.
Design input, pricing and inventory strategies, branding alliances and cross marketing with Kor’s hospitality team were critical facets of that endeavor.
“We didn’t see many challenges with Warehouse No. 1,” DuBois says. “If I were to call out anything, it would be there was some education that had to go into communicating our pricing. We set a pricing record for the area. And with that comes educating buyers on new price points and overall value proposition.”
Warehouse No. 1 is the final phase of Barker Block, which Kor launched in 2006 with the first building of 242 live/work lofts, DuBois says.
“We were one of the first developers to make a significant residential-focused investment in the Arts District,” he reports. “To go back and complete the final phase of the project nearly 10 years later was significant. We’ve come full circle on a community that completes our original vision. We sought to create superior housing in what is now one of the hottest neighborhoods in LA.
“Barker Block was a catalyst for the Arts District.”