Concord Capital Partners Expands Los Angeles Portfolio with $79 Million Acquisition of Historic Multi-Family Properties

Concord Capital Partners has made a significant investment in the Los Angeles real estate market by acquiring a portfolio of five multi-family properties for $79 million. The properties, located in the sought-after neighborhoods of Koreatown and Hollywood, encompass a total of 537 units. This acquisition was facilitated by a $60.5 million senior loan from Arbor, complemented by approximately $30 million in equity.

The portfolio includes The Fontenoy, The Langham, The Sir Francis Drake, The Piccadilly, and Park Wilshire, all of which are noted for their architectural significance and historical value. These properties, constructed in the late 1920s, have been well-maintained and feature distinctive characteristics such as grand lobbies, ornate facades, and landscaped courtyards. Concord Capital Partners plans to implement targeted improvements to enhance the properties while preserving their historical integrity.

Reuben Robin, Concord Chief Executive Officer and Founding Principal, highlighted the strategic rationale behind the acquisition, citing the properties' favorable pricing relative to their historical sales, replacement costs, and intrinsic value. Jonathan Fhima, Concord Chief Investment Officer and Managing Principal, emphasized the unique opportunity to scale in Los Angeles, a market known for its challenging development landscape. The acquisition not only expands Concord's footprint in Los Angeles but also integrates seamlessly with its existing portfolio of thousands of units in the vicinity.

The transaction underscores the enduring appeal of Los Angeles' real estate market, particularly properties with historical significance and value-add potential. Concord Capital Partners' investment reflects a broader trend of confidence in the resilience and growth prospects of the Los Angeles multi-family sector, driven by strong renter demographics and the city's status as a cultural and economic hub.

Kitty Wallace of Colliers and Janet Neman of Kidder Mathews represented the sellers in the transaction, with Zalmi Klein of Northmarq arranging the senior financing from Arbor. This acquisition marks another milestone for Concord Capital Partners as it continues to build its portfolio of high-quality, value-add real estate investments across the United States.