After multiple development proposals, a foreclosure and years of starts and stops, a massive 340-unit luxury apartment complex in Woodland Hills is approaching completion. The Boulevard at 20600 Ventura Blvd. will begin leasing in April. Construction on the site, which climbs a hill on the south side of the street, is now in the framing stages. And like a lot of recent Valley construction, the rents are steep. The building will be a mix of studio, one- and two-bedroom units, with rents ranging from $1,700 to $2,700, said William Montgomery, president of acquisitions and investment for developer Sares-Regis Group of Irvine. But with the complex entering the market as employment begins to pick up in the Valley and at nearby Warner Center, the developer is optimistic leasing will not be an issue. “There are a lot of jobs here now. The delivery of new product is starting to pick up, so we anticipate a great demand and quick lease up,” Montgomery said. The apartments are being built on the former site of a Jehovah’s Witnesses Assembly Hall that was razed and is next door to Avalon Woodland Hills, a 663-unit apartment building. The complex will feature multiple swimming pools, a professional-grade fitness center complete with free weights and cardiovascular equipment, a media center, a game room, and both indoor and outdoor spas. While leasing will begin in April, residents will not be able to move in until November, when construction is expected to be completed. Lara Markel, vice president of the Casper and Markel Multifamily Sales unit at the Encino office of Colliers International, said the apartments may be slow renting despite all the bells and whistles. “This is pretty pricey. I expect it to be a slower lease up or for them to offer some concessions,” she said. “There’s a lot of product coming on line, but there is a growing disconnect between asking prices and affordability.” The site has a long history. It was purchased in 2007 by JPI Management of Irving, Texas for $48.5 million, according to real estate data firm CoStar Group Inc. The developer tore down the Jehovah’s Witnesses hall in 2007, but eventually was foreclosed on during the housing bust. Sares-Regis bought the land in July of 2011 for $32 million, according to CoStar. Montgomery would not disclose construction costs, merely saying it was “a lot,” and adding: “We’ve got views out over the Valley and a product that is as nice as anything that’s been built in recent years.” Valencia Revival Trion Properties Inc. has bought up an underperforming Valencia property for $6.9 million and has begun turning it around. The Los Angeles real estate investment firm, which acquires predominantly distressed assets, announced late last month that it acquired a 26,186-square-foot office/retail park at 24510 Town Center Plaza Drive. The property was built in 1998 and is divided between retail on the ground floor and medical office above. Trion said the property, formerly owned by a family trust in Montrose, was only about 40 percent occupied when the purchase closed. There were five ground-floor spaces totaling 5,900 square feet that were vacant, and Trion has already leased three spots to an upscale furniture store, a residential real state firm and Apollo’s Barber Shop, a trendy men’s groomer. Trion mostly owns multifamily complexes, including buildings in Sylmar, North Hollywood and Glendale. But Max Sharkansky, principal at Trion, said the asset came with a big upside and small price tag. “You can rarely find a Class A property that’s distressed and has some leasing opportunities,” he said. While the retail is filling up, the medical office space is still struggling, despite being less than two miles from the 238-bed Henry Mayo Newhall Memorial Hospital. “There’s only one tenant up there right now,” Sharkansky said. “But that’s not the only use for the office space. The property just has such an overwhelming amount of parking (332 spaces), so it’s the ideal use.” Industrial Sale The 173,262-square-foot Mission Industrial Park in Northridge has sold for $19 million. The 8733-8845 Shirley Ave. park was purchased by Hunter Columbia Business Park of Beverly Hills. A collection of 17 mostly Class C warehouses, the property was built in 1973 and was 99 percent occupied at the time of sale. It was sold by 8733 Shirley Investments LLC late last month. “There was a lot of interest with multiple bidders, but this is a good asset and the buyer plans to hold the property for many, many years,” said David Hoffberg, the listing broker and a senior vice president at the Van Nuys office of Delphi Business Properties Inc.. More than 30 tenants fill the nearly 130-acre park, which features units ranging from 2,500 square feet to 10,000 square feet. Hoffberg said there are no big corporate tenants, but a collection of small entrepreneurial businesses. Bradley Gibbons, principal at Commercial Property Group Inc. in Los Angeles, represented the buyer. Staff Reporter Elliot Golan can be reached at (818) 316-3123 or [email protected].
