Carolwood LP pays $20M for Beverly Hills strip mall

Beverly Hills Plaza on Olympic Boulevard trades for the first time since 1988

8950 West Olympic Blvd in Beverly Hills with Carolwood LP chiefs - Andrew Shanfeld and Adam Rubin

Carolwood LP chiefs – Andrew Shanfeld and Adam Rubin (L&R, Andrew Shanfeld, Google Maps)

For the first time in its more than 30-year history, Beverly Hills Plaza, a prominent strip mall located at 8950 West Olympic Blvd in Beverly Hills, has changed hands.

Carolwood LP, a nine-year-old private equity firm with a portfolio in real estate and restaurants, bought the 30,000-square-foot mall from the company that developed it for $20.1 million. The deal closed last month. Carolwood funded the purchase with a $10.8 million loan from First Republic Bank.  

The sales price works out to $658 per square foot. For comparison, in the second quarter of 2022, the average sales price per square foot for retail properties in the Los Angeles market was about $350, according to the commercial real estate site MyElisting.

A person familiar with the deal, but unauthorized to talk to the press, said that Carolwood probably would move some of the restaurants it owns — such as Pop’s Bagels, Croft Alley, Impasta, Bravo Toast and Cha Cha Matcha — into the strip mall. Currently restaurants such as La Provence and Chef Ming’s have locations at the mall, which is more than 70 percent occupied.

Carolwood LP co-founders Adam Rubin and Andrew Shanfeld declined to comment on the deal. Carolwood LP recently filed a lawsuit against luxury residential brokerage Carolwood Estates for trademark infringement over its name. Carolwood Estates is headquartered in Beverly Hills.

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Shanfeld runs acquisitions for Carolwood LP, which owns commercial and residential holdings in Miami Beach and New York City.

Rubin also serves as president of parking conglomerate L&R Group, which operates under the name Joe’s Auto Parks in Los Angeles and Wally Park, a national airport parking operator. Carolwood LP is a separate entity from L&R Group.

Jay Luchs, vice chairman at brokerage Newmark and a long-time agent in Beverly Hills who was not involved in the Carolwood deal, said that despite news reports about the demise of retail, opportunity remains in strip malls.

“Food goes a long way in any property,” Luchs noted. “Restaurants are really strong.  If you mix a strip mall correctly with restaurants, retail and things for the community, people will come.”

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