There was no doubt about which deal led Los Angeles County’s top five multifamily investment sales in May.
Through its Opportunity Zone fund, Starwood Capital Group paid $110-million for a 375-unit mixed-use development in San Pedro. That amount nearly matched the top five multifamily investment sales in April, which combined for $114 million. As the only property on the list in May located in an Opportunity Zone, Starwood’s long-term investors expect to benefit from significant tax breaks.
Overall, the top five multifamily deals were spread out last month, from Tarzana to the northwest, down to the southern tip in San Pedro, and to the city of Bellflower in the southeast.
The Real Deal compiled the list based off property records from PropertyShark, as well as business registration records.
550 S. Palos Verdes Street — Starwood Capital Group | $110 million
Starwood used its $500 million Opportunity Zone fund to buy into a 375-unit mixed-use development in downtown San Pedro. The deal teamed the company with Holland Partners. The seven-story project is called 550 Harborfront. Holland Partners purchased the 2.5-acre site in 2017 for $24.5 million. The development is expected to be completed next year with 5,000 square feet of commercial space.
616 Esplande — IDEAL Capital Group; Aegon Real Assets | $53.5 million
San Francisco-based Stockbridge Capital Group sold a storm-damaged apartment complex in Redondo Beach to a joint venture of IDEAL Capital Group and Aegon Real Assets. The price was $53.5 million, and the new owners plan to redevelop the 105-unit property at 616 Esplande. About 80 percent of the units had been vacated from the 82,200-square-foot complex at the time of sale, after it suffered water damage last October. Stockbridge paid $50 million for the property in 2015.
1450 S. Point View Street — Mark Sonnino | $21 million
An entity tied to Mark Sonnino, protege of George Soros, paid $21 million for a 29-unit multifamily complex that was built this year on the east end of Mid City. The seller was an entity that belongs to the developer of the building, Mojtaba Sajjadieh. The property is located a block off Pico Boulevard at the corner of Saturn and Point View streets. Out of the 29 units, two are set aside as affordable.
15357 Bellflower Boulevard — Berkman Hong | $10 million
Berkman Hong with Anime Investments, LLC purchased a 47-unit property in the city of Bellflower for $10 million, records show. The sellers of the property at 15357 Bellflower Boulevard were Jun and Toshiko Fukushima. The building, called Somerset Plaza, was built in 1963, and it includes 32,800 square feet of space.
18529 Calvert Street — Paul Johnsen | $9.7 million
Mark Golastani and Dean Shabbouei sold their 24-unit property near the north border of Tarzana for $9.7 million. The four-story property, called Calvert Place Apartments, was completed last year and is fully leased. The building spans 23,000 square feet, including 10 one-bedroom units with 700 square feet, and 14 two-bedroom units with 1,050 square feet.