CIM Group has sold 888 at Grand Hope Park, a 34-story luxury residential tower in Downtown Los Angeles, for $186 million, The Real Deal has learned.
The deal comes eight months after the company listed the 525-unit property with an asking price of $236 million. At that time, the property was 94 percent occupied. The initial asking price was 40 percent lower than replacement cost, according to a previous report from GlobeSt. If accurate, that would make the final purchase price about 53 percent less than replacement cost.
The deal came out to $354,000 per unit.
The buyer is San Francisco-based FPA Multifamily. The company is funding the purchase with a $105 million loan from Iowa-based Athene Annuity and Life Company. The purchase closed on March 5, according to a deed filed in Los Angeles County’s Registrar’s Office.
FPA recently purchased a two-property, 409-unit apartment portfolio in Ventura County. The firm paid $153 million for the Oakview Apartment Homes, a 242-unit property in Westlake Village, and The Biltmore at Thousand Oaks, a 167-unit residential complex in Thousand Oaks.
L.A.-based CIM finished building the Grand Hope Park complex, located at 888 South Hope Street, in 2018. Units in the complex range from 575 to 1,533 square feet. Monthly rents vary from $2,547 to $7,496, according to a listing on Apartments.com. The property has amenities such as a 30,000-square-foot rooftop deck, an outdoor pool and lounge and barbecue areas.
CIM Group is currently building what may become the tallest building in West Hollywood. Its project at 1000 North La Brea Avenue, which previously had a concrete plant for Cemex, may be converted into a 34-story, 514-unit apartment tower. The firm also is proposing to build a four-story, 63,700-square-foot office building in Culver City.
Correction: Previous story had wrong figure for sale price’s percentage of replacement cost.