Prime Finance Provides $195 Million for Conversion

Jamison has landed key financing for the conversion of an office tower in downtown Los Angeles into housing.

The Koreatown-based firm has secured $195 million from Prime Finance for the transformation of the former Arco building at 1055 West Seventh Street into residences, Bisnow reported, citing data from Traded.

The building was constructed in 1987 and was once the home of petroleum company Arco, though it more recently served as the headquarters for healthcare provider L.A. Care. Jamison’s plan to turn the building into apartments first surfaced in 2023.

Jamison’s goal is to turn the 33-story, approximately 620,000-square-foot office tower into 686 units, making it one of the larger conversion projects in the city. Construction on the project started earlier this month.

The developer has undertaken a number of conversion projects in Koreatown, with three under construction now and 10 in the works, including 1055 West Seventh Street. The project at the former Arco tower would be the tallest conversion the company has ever done.

Last summer, Jamison secured a permit for a project in its home neighborhood of Koreatown, seeking to convert a 20-story office building at 3550 Wilshire Boulevard into 495 apartments.

At the same time Jamison locked down funding for one project, the company is facing loan troubles involving other properties. Last week, Jamison’s $55 million loan tied to the City Center on 6th mall in Koreatown moved to special servicing, The Real Deal previously reported. The loan on the property at 3500 West Sixth Street originated in November 2019 and currently has a balance of $51 million.

Four other Jamison properties, including 811 Wilshire Boulevard downtown and Equitable Plaza in Koreatown, are also in special servicing. Total debt across the four properties amounts to approximately $230 million.

— Chris Malone Méndez