Development of 112-Unit Apartments, 5,145 SQFT Retail
Los Angeles, CA
Parkview Financial has provided a $37.3 million construction loan to a joint venture of River Shelters, LLC, LA River Properties, LLC, Allesandro Live Work, LLC, and Tory River Development, LLC for the development of 112 apartment units with ground floor retail located in the Elysian Valley of North Los Angeles. Construction completion is anticipated for 3Q 2022.
The project will consist of four, nearby non-contiguous lots totaling 2.33 acres with 108,385-square feet of rentable space at 2957-2965, 2923-2927, 2938-2954, and 2908-2914 Allesandro Street. Each of the four lots will include one three-story building. The unit mix will include one-, two-, and three-bedroom units with features including granite countertops and private balconies. Additionally, each of the assets will include an observation deck, ground floor retail, river and bike path access, and surface parking.
The project, which is primarily within a residential area, is walking distance to the Los Angeles River, is surrounded by major Los Angeles job hubs including downtown L.A., Hollywood, Glendale, and Pasadena, and is near the 5 and 110 freeways.
“Parkview believes this new planned project will do well as there is a demand for the area and very little new residential product coming to market,” said Paul Rahimian, CEO with Parkview Financial. “It is located in between the higher priced areas of Silver Lake, Atwater and Highland Park, and has been capturing renter overflow from these areas as they seek a lower priced, but well-located alternative.”
He added, “Development and investment are ramping up along the Los Angeles River in anticipation of the planned redesign and revitalization of the waterway which will only elevate values over the coming years.”
Prior to the COVID-19 pandemic, vacancy in the Elysian Valley was at 2.6 percent, and has demonstrated resiliency with vacancy now at around 4.3 percent. Average rents in Northeast L.A. are about $1,000 per month lower than in nearby downtown L.A.