Mack Urban, AECOM Acquire Six Acres in Los Angeles CBD
- Oct 04, 2013
Mack Urban and AECOM Capital, the investment fund of AECOM Technology Corp., have teamed to acquire six acres of land in downtown Los Angeles’ South Park district from EVOQ Properties for $80 million. The transaction marks the largest land acquisition by acreage in the CBD since before the U.S. economic recession began during 2008.
“Six acres of contiguous land in South Park is very rare,” Matt Burton, Mack Urban’s president & chief investment officer, pointed out to Commercial Property Executive, noting that it provides an opportunity to create “a real sense of place.” He added: “Downtown Los Angeles has passed the tipping point of viability as a residential neighborhood, with enough stores, restaurants and cultural amenities to sustain growth for years to come.”
The project is expected to comprise multiple buildings and offer modern high-rise living with phenomenal views. The plan, Burton said, is for “smart development over time” with an ultimate goal of more than 1,500 residential units, strong retail amenities and possibly a hotel tied together as a neighborhood.
According to Burton, this deal is right down the fairway where Mack Urban will be focused in the coming years: building a portfolio of Class A, institutional-quality, highly amenitized multi-family residential developments with smart urban infill growth in dynamic West Coast gateway cities.
According to a recent RCLCO report, South Park ranks among the downtown area’s premier residential neighborhoods, commanding top rents for new apartments and the most comprehensive set of lifestyle amenities. The immediate neighborhood encompasses 32 square blocks of residential properties and includes the most dynamic retail and entertainment venues in downtown, including the Staples Center and L.A. Live.
“South Park is the best residential address in all of downtown,” Burton declared. “The nearby amenities, particularly L.A. Live, make this neighborhood tops on our list.”
The planned ultra-sleek vertical towers will be designed by the Los Angeles architectural firm AC Martin Partners, with a vision to add a new dimension to the downtown Los Angeles skyline. The Mack Urban/AECOM Capital project is currently in the planning and design phase and is being prepared for the entitlement process, with the initial groundbreaking expected in late 2014 and completion of final phases slated for 2024.