Mack Urban and AECOM Announce the Land Acquisition of Six Acres for More Than $80M
- Oct 04, 2013
Los Angeles–Mack Urban and AECOM Capital, the investment fund of AECOM Technology Corp., announced the acquisition of six acres of land in downtown Los Angeles’ South Park district located in the central business district (CBD).
Valued at more than $80 million, this transaction is the largest land acquisition, by acreage, in the CBD since before the U.S. economic recession began during 2008, notes Paul Keller, CEO of Mack Urban. The seller was EVOQ Properties.
“Mack Urban is building a portfolio of Class A, institutional quality, highly amenitized multifamily residential developments in West Coast gateway cities. This acquisition of land in L.A.’s South Park is a major component of our plan,” says Richard Mack, CEO of Mack Real Estate Group. “Just as importantly, Mack Urban and AECOM believe that these buildings will provide a special investment offering for institutional investors, who are looking for long-term class A multifamily ownership opportunities in select West Coast urban markets. We are pleased that AECOM shares our vision, and we hope that this will be the first of many partnerships.”
John T. Livingston, chief executive of AECOM Capital, cited the ability of AECOM’s team to co-develop, invest in, and provide construction and design-related services for the development as one of the many ways that AECOM connects to its partners and clients with an integrated delivery approach. “We are excited to play such an innovative role in the development of this area of South Park, and to create a unique downtown community environment,” says Livingston.
“The project is expected to comprise multiple buildings and offer modern high-rise living with phenomenal views,” comments Keller, explaining that these apartments are expected to attract both young people as well as established professionals looking for an urban lifestyle and breath taking views in a desirable, walkable neighborhood. The studios are ideal for the suburban commuter who desires a landing pad during the workweek, he adds.
The project is currently in the planning and design phase, and is being prepared for the entitlement process, with the initial groundbreaking expected in late 2014 and completion of final phases slated for 2024.
South Park ranks among the downtown area’s premier residential neighborhoods commanding top rents for new apartments and the most comprehensive set of lifestyle amenities, according to a recent RCLCO report. The immediate neighborhood encompasses 32 square blocks of residential properties and includes the most dynamic retail and entertainment venues in downtown, including the Staples Center and L.A. Live. The location of the new Mack Urban/AECOM Capital project is within a short walk of these amenities and adjacent to the Metro Pico Station.
Designed by the Los Angeles architectural firm AC Martin Partners, this development’s ultra-sleek vertical towers will add a new dimension to the downtown Los Angeles skyline. The project will reflect the high-quality, best-in-class, multi-generation historical successes that are part of both Mack Urban and AECOM Capital, says Matt Burton, Mack Urban President/CIO.
Tishman Construction Corporation, a wholly owned subsidiary of AECOM will be the construction manager of the project. Dan McQuade, chief executive of AECOM’s construction services business, notes, “We look forward to contributing to the continued revitalization of Downtown Los Angeles and building our first project for Mack Urban.”
Senior Living Investment Brokerage sells three Georgia assets
Oakwood, Ga.—Senior Living Investment Brokerage has closed three transactions in Georgia. The firm first arranged the sale Peachtree Plantation, a personal care home located in Oakwood, Ga. The one-story asset was picked up for $11.8 million by an institutional owner and investor.
The seniors housing brokerage firm also closed the sale of The Cameron Hall Portfolio, which is comprisedof Cameron Hall Ellijay and Cameron Hall Canton. Cameron Hall Ellijay is a 54-unit asset located in Ellijay, Ga., while Cameron Hall Canton is a 94-unit property in Canton, Ga. The facilities carried a combined purchase price of $19.1 million. The buyer was an entity between a publicly traded REIT and their affiliated national operator.
There were multiple offers from both regional and national buyers to purchase each transaction.
Greystone closes $15.9 million for a Maryland community
Lanham, Md.—Greystone has provided $15.9 million in Fannie Mae financing for Whitfield Towne Apartments, a 322-unit property located in Lanham, Md.
This latest deal was the culmination of $34.2 million in funds across three loans in the last 18 months on behalf of Avis-R Co. of Rockville, Md. For Whitfield Towne Apartments, Greystone refinanced an $11.5 million bridge loan, which was closed by Greystone in April 2012, with a $15.9 million Fannie Mae DUS loan. The Greystone bridge loan enabled the borrower to take control of the property and invest approximately $2.4 million in capital improvements, helping to obtain long-term financing. Greystone worked closely with broker Marc Tropp of Eastern Union Commercial throughout the loan process.
“Through our strong relationship with Fannie Mae and understanding of the borrower’s needs, we were able to provide Whitfield Towne Apartments with not only a temporary financing solution, but a more permanent one as well,” says Billy Posey, CEO of Fannie Mae and Freddie Mac Lending at Greystone. “We see the success of this transaction as a great example of the team’s ability to help secure short-term funding for our clients while keeping long-term financial objectives in mind.”