CBRE Secures $103M For Los Angeles Apartments

January 7, 2016

TruAmerica Multifamily and Intercontinental Real Estate Corp. acquired recently constructed 395-unit Los Angeles apartment community The Millennium in Woodland Hills for $163 million.

CBRE Vice Chairman Brian Eisendrath and Associate Cameron Chalfant arranged a 10-year fixed-rate $103.1 million loan to finance the transaction.

The Dinerstein Cos., Houston, completed the five-story property in Los Angeles’ Warner Center district in first-quarter 2015. Home to many of the country’s largest healthcare and financial service firms including Anthem, Health Net, Farmer’s Insurance and AIG, Warner Center represents the San Fernando Valley’s economic hub.

“This asset checks all the boxes as a multifamily investment that will benefit greatly from the changes taking place in Warner Center,” said TruAmerica Senior Managing Director of Acquisitions Greg Campbell, referring to the recent passage of the Warner Center 2035 Plan. “The new zoning promotes a denser, more walkable and sustainable community by promoting more mixed-used, transit-oriented development similar to the changes taking place in Hollywood and Downtown L.A.”

Campbell said Westfield Corp’s new Village at Topanga, one of the largest malls in the United States, lies within walking distance.

Eisendrath said Millennium in Woodland Hills units lease at a 45- to 50-per month rate. “This extremely quick lease-up symbolizes the strong demand in the area, which is a high-barrier-to-entry market with very little new product,” he said.

Intercontinental CFO Paul Nasser said Eisendrath and Chalfant “were able to get lenders comfortable with the lease-up component, deal size and very short timeframe to close.”

The new ownership will rebrand the property as The Motif.