$81M loan secured for luxury multi-housing development
JLL Capital Markets arranged the financing for Cityview to develop the Adams & Grand Class A apartment building in a designated Qualified Opportunity Zone
LOS ANGELES, March 1, 2021 – JLL Capital Markets announced today that it has arranged $81 million in construction financing to develop Adams & Grand, a mid-rise, transit-oriented, multi-housing building within a Qualified Opportunity Zone in Los Angeles, California.
JLL worked on behalf of the borrower, Cityview, to secure a structured loan through ACORE Capital (“ACORE”), a leading commercial real estate finance company and debt fund manager. Construction is planned to begin immediately with completion in mid-2023.
Adams & Grand will offer 296 studio, one- and two-bedroom apartment units, including 25 affordable apartments set aside for low-income tenants. The property will comprise one seven-story building with ground-floor retail and 360 parking spaces for residents and commercial tenants. The units will have high-end finishes such as quartz countertops, stainless steel appliances, vinyl flooring and in-unit washers and dryers. The best-in-class community amenities include a two-story clubroom, business center, two sky decks, yoga studio, fitness center, swimming pools, dog spa and bike storage. The building is designated as LEED Silver/CalGreen with energy efficient HVAC units, low flow plumbing fixtures and Nest thermostats.
Located at 2528 S. Grand Ave., Adams & Grand is near the University of Southern California, Downtown Los Angeles employment and entertainment hubs and regional medical centers. It is within walking distance to the Exposition Line Metro station stop and adjacent to the Figueroa Corridor, which has experienced investment from the Exposition Park improvements. The transit-oriented development has a Walk Score® of 92 and a Transit Score of 90, designating the location both a Walker’s and a Rider’s Paradise.
The JLL Capital Markets team representing the borrower was led by Senior Managing Director Paul Brindley, Senior Director Anson Snyder and Analysts Chad Morgan and Lillian Roos. ACORE Managing Director Anthony Marconi originated the loan.
“High-quality housing proximate to job centers, education and medical uses remain attractive to the resident and investor,” Snyder said. “Cityview continues to deliver on this model and transform Los Angeles neighborhoods.”
“We are very excited about the opportunity to finance a high-quality, transit-oriented project that benefits from unique demand generators in USC and several other universities located in the immediate area,” Marconi added. “This also represents the first transaction for ACORE with Cityview, an experienced and well-respected multi-housing developer, which we hope will be the first of many we do together.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.
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JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $16.6 billion, operations in over 80 countries and a global workforce of more than 91,000 as of December 31, 2020. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
Founded in 2003, Cityview is a premier investment management and development firm dedicated to redefining 21st century living. Focused on developing multifamily and mixed-use projects in high-growth markets in the Western United States, Cityview connects the comforts of home with the energy of city life. Cityview investments have generated more than $4 billion in urban investment across more than 100 projects. For more information, visit cityview.com.
About ACORE Capital
ACORE Capital, LP is a leading commercial real estate finance company and debt fund manager with approximately $17 billion of assets under management. ACORE is focused on originating, acquiring and managing first mortgages, B-notes, mezzanine debt and preferred equity throughout the United States. ACORE, which is an acronym for Alpha Commercial Real Estate, specializes in providing borrowers with customized financing solutions at competitive rates and flexible terms. For more information, please visit acorecapital.com.