National City Tower Acquired by Canadian Investor in $43 Million Deal
- Oct 19, 2014
National City Tower, a historic adaptive reuse project in downtown Los Angeles, recently traded hands in a deal worth $43.26 million. Canada-based RC Acquisitions LLC acquired the property from seller National City Towers LLC in a deal arranged on behalf of both parties by Janet Neman and Bryan Glenn of full-service regional real estate firm Charles Dunn Company.
National City Tower is the former home of a National City Bank branch in the area. The historic property was originally developed in 1924, while a redevelopment process turned the building into a residential tower with a ground floor and basement retail component. Totaling 118,162 square feet of space, the 12-story asset totals 93 residential lofts. According to the brokers handling the transaction, at the time of the sale, National City Tower was operating on a 97 percent occupancy rate for the residential component, while the retail space was fully leased out.
Tenants currently occupying space at 810 South Spring Street include successful gourmet Italian restaurant Terroni, Northern Chinese cuisine provider Peking Tavern, and Crane’s Downtown Bar, occupying the original vault of National City Bank. The 93 residential units include 12 studios, 61 one-bedroom units, 16 two-bedroom units, two two-bedroom penthouses and two three-bedroom penthouses. Units range in size between 617 and 1,884 square feet. The loft-like units feature gourmet kitchens, high ceilings, polished concrete floors, modern finishes and abundant light throughout the units due to the large windows that also offer great views of the DTLA skyline.
Attracted by the stabilized asset and its DTLA location, buyers submitted a number of offers to the Charles Dunn Company, and Neman and Glenn eventually selected the Canadian entity whose portfolio consists of other high-end residential properties in Southern California.
This is the company’s first asset located in the city’s downtown area, a growing, vibrant part of Los Angeles that Neman said “is evolving into a 24/7 city which I believe will become the next Manhattan.” Total investment in the area between 1999 and 2013 stood at around $17.3 billion according to a report published by the Los Angeles Downtown Center Business Improvement District, more than $6 billion of which was directed towards residential real estate.