Wanda Group to Build $1.2B MXD in LA
- Aug 11, 2014
That’s one way to get into the movie business. Chinese conglomerate the Wanda Group, a/k/a Dalian Wanda Group, has outbid numerous other parties for a prime site in Beverly Hills, on which it plans to build a $1.2 billion mixed-use project, a Hong Kong-based correspondent reported in the Financial Times on Friday.
The site, at 9900 Wilshire Blvd., is adjacent to the private Los Angeles Country Club and very close to Rodeo Drive, UCLA and Hollywood. The mixed-use development reportedly will include luxury apartments and “office space targeting the entertainment industry.”
No further information was available from Wanda Group about the project’s specifics.
The project “will serve as the Wanda Group’s first important step into Hollywood,” according to a release from the company. A new LA office will handle entertainment sector investments and “will be able to leverage on Hollywood’s solid film industry resources to support the group’s Qingdao Oriental Movie Metropolis and Qingdao International Film Festival projects in China,” Wanda announced, adding, “The office will also be the base for investment in local film production companies or global theatrical releases.”
Currently China’s largest CRE developer by sales, Wanda two years ago bought AMC, the largest American chain of movie theaters, in a $2.6 billion transaction.
The Financial Times noted that “China is now the world’s second-largest box office market, making it a vital source of revenue for Hollywood’s film industry.”
Commercial Property Executive reported in June of last year that Wanda Group had bought, for a reported $140 million, the site for a major component of London’s One Nine Elms redevelopment project. The original developer, Green Property, was the seller.
Wanda Group announced at that time that it planned to put about $1.1 billion into the project, which is to include two residential towers, of 43 and 58 stories. A podium in the smaller tower reportedly will feature a 160-key five-star hotel and roughly 108,000 square feet of office space.