Koreatown hotelier sells shovel-ready development site entitled for 252 units

The project would replace a strip mall some apartment buildings

TRD LOS ANGELES /
Jul.July 15, 2019 02:00 PM
Top to bottom: a rendering of the project and a photo of the site at 3170 West Olympic Boulevard (Credit: Google Maps)
The development site and a rendering of Choi Bo Sung’s proposed 252-unit project (Credit: Google Maps)

A Koreatown hotelier has sold an Olympic Boulevard assemblage the firm it recently entitled for a 252-unit mixed-use apartment building.

Choi Bo Sung Inc. sold the properties — stretching along West Olympic Boulevard between South Serrano Avenue and Hobart Boulevard — to Bando Dela Corp. for $20.3 million, Los Angeles County property records show. The properties include some retail storefronts and small-lot residential buildings.

Choi Bo Sung Inc. filed for the seven-story 252-unit project in the fall of 2016 and received city approval for the project in April of this year. The firm released renderings of the project last fall.

The firm owns and operates the Rotex Hotel & Condo a few blocks away on Olympic. A representative could not be immediately reached for comment. Bando Dela Corp. has links to a San Diego individual named Dong Chul Shin as well as a Koreatown-based individual Wootaig Lee, who could not be reached for comment.

A market exists in the city of L.A. for shovel-ready development sites with entitlements built in, thanks to the city’s often arduous and archaic entitlement process. Investors buy up property, secure entitlements from the city and flip it at a premium to a new developer who doesn’t want to deal with the risks involved in that process.

Its unclear if Choi Bo Sung Inc. planned to build the 252-unit project on Olympic or planned to sell the entitled property to another party. Choi Bo Sung purchased the development property in 2014 for $7.8 million, which suggests Bando Dela Corp. did pay a premium for the entitlements.
The entitlements for the property allow for around 33,300 square feet of retail space and 261 subterranean parking spaces. The plans call for 46 units set aside for “very low-income” renters, which boosted the number of units allowed from a base of 175.

Zackary Brothers, a Fashion District-based development firm that was part of the development team for the Downtown’s Circa project, is building a large multifamily project next door. The firm is also working on a 60-unit project in Westwood.


Related Articles

arrow_forward_ios
Michael Rosenfeld,,Simon Reuben and David Reuben, with a rendering of Century Plaza (Credit: Presley Ann/Getty Images, and Dave Benett/Getty Images)

Michael Rosenfeld’s Woodridge Capital lands $275M loan for Century Plaza

Michael Rosenfeld’s Woodridge Capital lands $275M loan for Century Plaza
California State Senator Scott Wiener and Senate President Pro Tem Toni Atkins

Statewide bill would allow duplex development on single-family parcels

Statewide bill would allow duplex development on single-family parcels
Jose Huizar and Nury Martinez (Credit: Desiree Stone/Getty Images)

LA City Council moves to “close loopholes” in the development process

LA City Council moves to “close loopholes” in the development process
Jose Huizar (Credit: Kent Nishimura / Los Angeles Times via Getty Images)

Jose Huizar’s trial now set for June 2021

Jose Huizar’s trial now set for June 2021
Cypress CEO Michael Sorochinsky and 1216-1224 Menlo Avenue (Google Maps)

Cypress Equity plans 128-unit affordable complex in Pico-Union

Cypress Equity plans 128-unit affordable complex in Pico-Union
Jose Huizar and a rendering of the project (Getty, City Market LA)

Huizar-tied community benefits fund linked to DTLA megaproject faces scrutiny

Huizar-tied community benefits fund linked to DTLA megaproject faces scrutiny
ELK Development founder Evan Kasper and the development site at 730 S. Vermont Avenue (Google Maps)

ELK Development-tied entity plans 80-unit apartment complex in Koreatown

ELK Development-tied entity plans 80-unit apartment complex in Koreatown
An illustration of David Lee

A boomtown for a bygone era: Koreatown developers face a reckoning

A boomtown for a bygone era: Koreatown developers face a reckoning
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...