Parkview Financial will be providing a $28 million loan to Sherman Oaks-based Sandstone Properties, Inc. to refinance an existing loan and to finance the pre-development of a 35-story multifamily development and four-story hotel conversion at 6400 Canoga Ave. in downtown Woodland Hills.
The 4.7-acre redevelopment site currently consists of a three-story, 128,586-square-foot Class B multi-tenant office building and 457 surface and structured parking spaces.
Sandstone Properties acquired the asset in February 2018 and has since obtained entitlements to develop a 650-unit, 35-story high-rise apartment building on the location of the existing parking structure. The entitlements also allow for the 10,000-square-foot expansion of the existing office building and its conversion to a four-story, 240-key luxury hotel.
“With substantial development experience in all sectors, Sandstone Properties has successfully executed many significant multifamily and hospitality projects in the greater Los Angeles area and we are pleased to provide financing to move this project forward,” Paul Rahimian, chief executive and founder of Parkview Financial, said in a statement.
Rahimian believes the time is right for the Sandstone project.
“Although downtown Woodland Hills has seen a surge in the development of mid-rise apartments over the past few years, a high-rise tower and a luxury hotel don’t currently exist,” he said. “We believe this project will provide much-needed housing and lodging space that will enhance the area.”