LA Site Sold to Non-Profit Housing Group
Crenshaw District Site Sells to Non-Profit for $3.075 Million
Colliers International has completed the $3.075 million sale of a much sought-after site along busy Crenshaw Boulevard to a non-profit partnership steeped in building, owning and operating affordable housing both in Los Angeles throughout the nation.
Two locally based and non-profit organizations -- Retirement Housing Foundation (RHF) of Long Beach and American Communities of Los Angeles -- have formed a venture partnership to build 49 affordable family housing units on the site with a ground-floor retail component totaling 5,000 square feet, according to Colliers’ Jesse Munoz, who represented both the partnership and the seller, in the transaction. The seller was a private investor.
Located at 3411-3429 Crenshaw Blvd., the site totals 14,000 square feet and is comprised of four street-front retail pads and another setback parcel that contains five housing units, all of which will be razed to make way for the new development.
According to Munoz, both firms bring certain strengths to the partnership. Founded in 1961, RHF has a long history of building and operating every variety of affordable housing. It has completed 170 projects throughout the nation. Los Angeles-based American Communities was founded in 2000 and has focused largely on senior affordable housing throughout California. It also is actively engaged in a variety of urban renewal projects focusing on retail development.
“This entire process was a collaborative effort that could not have been accomplished without the combined efforts of City Councilman Herb Wesson and those of the two partners -- RHF and American Communities,” said Munoz, who is based in Colliers’ downtown Los Angeles office. “With RHF’s long experience in building and operating all types of affordable housing, and American’s history in the Los Angeles market on both residential and commercial projects, they will be applying smart urban building and design to an area that is in dire need of both retail gentrification and affordable housing.”
The development also fits perfectly into the city’s Crenshaw Corridor Specific Plan that encompasses future development in West Adams, Baldwin Hills, Leimert Park, and the Wilshire Community, Munoz noted. In addition to meeting those specifications, the development is well located one-half mile from MTA’s Crenshaw Expo Line and has direct access to the Santa Monica Freeway (I-10), linking downtown to the Westside.
“In making this purchase, the partnership was focused on the land component and how many affordable family housing units it could build there and how much retail square footage could be included,” he said. “In order to make the deal pencil out financially, all of the parties had to work together so that the project could move forward and we could get this underway. It was a challenge, to say the least, but we managed to get it done with everyone participating.”