AvalonBay secures $167M loan for Arts District resi project

Bank of America led syndicate on financing of 475-unit development

TRD LOS ANGELES /
Oct.October 06, 2020 11:00 AM
Tim Naughton and a rendering of the project (Credit: OFFICEUNTITLED and  AvalonBay)
Tim Naughton and a rendering of the project (Credit: OFFICEUNTITLED and AvalonBay)

AvalonBay Communities has secured $167 million in construction financing for its 475-unit mixed-use development in the Arts District.

The loan came from a syndicate of banks led by Bank of America, according to the Los Angeles Business Journal.

The AVA Arts District project is set to rise on a 3.75-acre site at 668 South Alameda Street. It will have 60,000 square feet of commercial space along with its rental units. The Los Angeles City Council approved the project in 2018.

Cushman & Wakefield’s Rob Rubano arranged the loan, according to the report. AvalonBay started setting up the financing before the pandemic hit, and the loan ended up getting delayed three months, he said.

“Had we not started it pre-Covid, we would probably still be working on it,” he told the outlet.

Nationwide, the pandemic caused lenders and developers to slam the brakes on much of their activity in the early months. But some of that picked up in the second quarter, with domestic banks providing $380 billion in construction loans from April through June. Most of that went to large commercial projects.

Most projects that break ground this year will take at least a couple of years to deliver, including AVA Arts District, which is slated for completion in 2022. [LABJ]Dennis Lynch 


Related Articles

arrow_forward_ios
Tents in Los Angeles, California (Credit: APU GOMES/AFP via Getty Images)

LA officials cut $300M homeless housing deal

LA officials cut $300M homeless housing deal
Los Angeles City Council member Kevin de León

New LA Council member who won Huizar’s vacated seat vows affordable housing push

New LA Council member who won Huizar’s vacated seat vows affordable housing push
L.A.’s office market continued to weaken through the third quarter

LA office market vacancy rises to 15% in Q3

LA office market vacancy rises to 15% in Q3
Donald Bren Hotel Irvine and Fashion Island Hotel (Credit: Anne Cusack/Los Angeles Times via Getty Images, and Google Maps)

Irvine Company’s 1,700 layoffs mostly hit staff at 3 hotels, resorts

Irvine Company’s 1,700 layoffs mostly hit staff at 3 hotels, resorts
Metropolis Los Angeles, and The Century Plaza

Surprise, surprise: LA condo sales are way up

Surprise, surprise: LA condo sales are way up
1.6 million square feet of office space was leased in L.A. in Q3

LA office market leasing fell 61% in Q3

LA office market leasing fell 61% in Q3
The remote work reality has sent San Francisco’s office vacancy rate surging

San Francisco office vacancy hasn’t been this high in years

San Francisco office vacancy hasn’t been this high in years
Sandy Sigal and SouthBay Pavilion (Credit: NewMark Merrill)

Seritage sells part of Shops at SouthBay Pavilion

Seritage sells part of Shops at SouthBay Pavilion
arrow_forward_ios

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

Loading...