A joint venture between Lendlease, an international property and investment group and Aware Super, an Australian superannuation fund, has acquired a 3.5-acre mixed-use development site at 3401 S. La Cienega Blvd in Los Angeles.
”The land was acquired for $92 million and the project will have an estimated end value of $600 million upon completion,” said Lendlease in a statement.
The 500,000-square-foot mid-rise project will include 260 multi-family residential units, 250,000-square-feet of creative office space and ground floor retail in close proximity to the Culver City submarket.
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Lendlease aims to submit an application to the City of Los Angeles in 2021 and is expected to commence delivery in 2023 with development completion slated for 2025.
“Placemaking is at the heart of our business and we are bringing that mindset and capability to LA at this highly-desirable location, which boasts close proximity to entertainment and technology giants HBO, Apple, Amazon and Sony, as well as multimodal transportation options,” said Arden Hearing, Lendlease Americas Executive General Manager of West Coast Development. “We have been a general contractor in LA for many years and are now eager to expand our investment and development operations in this critical market.”
“3401 S. La Cienega expands our portfolio of urbanization projects across the targeted US gateway cities of San Francisco, Los Angeles, Boston, Chicago and New York. This is part of our long-term strategy as a leading real estate and investments business of leveraging our global integrated platform to create some of the nation’s most recognizable places and projects,” said Lendlease Americas CEO Denis Hickey. “We will continue our market expansion, focusing on residential and commercial mixed-use projects that enhance people’s lives, while generating value for our business and investment partners.”
“We are excited to expand our successful partnership with Lendlease to the West Coast of the US, in a market that is at the heart of technological innovation. This opportunity fits nicely with our overarching strategy in property and we look forward to delivering this high quality new generation project while adding value to our partnership over the long term,” said Damien Webb, Aware Super Head of Income & Real Assets.
This sale was brokered by Newmark’s Co-Head of U.S. Capital Markets Kevin Shannon, Executive Managing Director Ken White, Senior Managing Director Laura Stumm, Executive Managing Director Rob Hannan and Managing Director Anthony Muhlstein.