Developer secures $51M loan for office-hotel conversion Downtown
Mosaic Real Estate Investors provided the loan
Ocean V, the hotel arm of developer PNK Group, has secured a $50.9 million loan to convert a dated Historic Core building into a 180-room business hotel Downtown.
Mosaic Real Estate Investors provided the loan, arranged by HFF, Commercial Property Executive reported.
The hotel, which will be under the Cambria Hotel and Suites brand, is set to include 2,500 square feet of meeting and event space, a restaurant, fitness center and sweeping views of Downtown Los Angeles.
Located at 419 South Spring Street, the 14-story office building sits near Spring Street Park and Pershing Square.
PNK has been planning its conversion of the vacant 14-story building for more than three years. Internal demolition work began in 2016, and the entire project is expected to be completed by 2019.
Nadel Architects is designing the 122,000-square-foot project.
A joint venture – including Pacific Property Partners, Choice Hotels, Sun Holdings DTLA and Barry Beitler — is also developing another Cambria-branded hotel nearby. The 18-story building at 926 James M. Wood Boulevard will hold 247 guest rooms. It’s also expected to open in 2019. [CPE] – Natalie Hoberman