JV Buys $365M Community in LA
- Jul 03, 2019
A joint venture between the Qatar Investment Authority and real estate REIT Douglas Emmett has acquired a 350-unit apartment community in the Los Angeles metro area for $365 million, from seller Clarion Partners. The property, located in the neighborhood of Westwood, was financed with a $160 million secured, non-recourse, interest-only loan that matures in June 2029.
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The Glendon is located at 1060 Glendon Ave., in the heart of Westwood. Built in 2008, the community is currently 93.7 percent occupied and offers a mix of one-, two- and three-bedroom units with an average size of 988 square feet. Resident amenities at the two-story property, which is located less than a mile from the University of California – Los Angeles campus, include a fitness center, business center, clubhouse, swimming pool and 1,085 parking spaces.
Additionally, the community features approximately 50,000 square feet of retail space. The Glendon last changed hands in 2014, when it was sold by Casden Properties to Clarion Partners for $300 million.
The deal wasn’t the first for the joint venture. Douglas Emmett and QIA have also previously acquired five Class A office properties in the Los Angeles-area. The acquisition marks the 11th apartment community acquisition for Douglas Emmett, which owns multifamily properties in Los Angeles as well as Honolulu with more than 4,000 units. The firm also has a development pipeline of about 850 units. In 2017, the company landed a $550 million refinancing package for a four-property Los Angeles portfolio.