Evergreen International Corporation

NEC 1st Street and Alameda
Size: 9.89 Acres
Value: $43,000,000

Services Rendered:
  • Historical and Forecast Housing Absorption & Rental Rate Studies
  • Financial Analysis & Buyer Qualification
  • Property Management
  • Contracted Legal Representation
  • Sale Negotiation

Challenge:
  
Find a qualified investor/developer to purchase nearly 10 acres of development land located in the industrial sector of Downtown Los Angeles at a price never achieved in the area.

Solution:
  • Developed a compelling story for the advantages of purchasing a "fully entitled" re-development property.
  • Immediately alerted Client when Metropolitan Transit Authority (MTA) pushed through a defective Environmental Impact Report for an above ground light-rail line that blocked access to the property's two most important access streets.
  • Recommended filing lawsuit blocking development of the light-rail line and seeking significant severance damages.

The Result:

8 weeks after listing was awarded, 3 offers were presented from 3 qualified investor/developers. City of Los Angeles purchased property for historically high price to resolve pending litigation.


Shuwa Investments, Inc.

9th & Flower
Size: 7.2 Acres
Value: $40,000,000

Services Rendered:
  • Demographic Analysis
  • Traffic Studies
  • Financial Analysis
  • Buyer Qualification
  • Liaison between Govt. Agencies and Buyer
  • Entitlement 
    procurement
  • Sale Contract Negotiation

Challenge:
  
Achieve premium price for a 7+-acre development site in an otherwise lackluster market.

Solution:
  • Analyze and determine highest and best use of the property:
    multi-unit high-rise residential over retail.
  • Convince a major retailer (Ralphs Supermarkets) to locate at the site.
  • Convince Community Redevelopment Agency (CRA) to provide gap financing for the Supermarket development up to $10 million - thus increasing value of property.
  • Create a compelling housing shortage story justifying over-market asset price.
  • Identify and convince target developers of the opportunity. 

The Result:

15 offers received within 8 weeks - 4 were over the asking price.

Developer to develop a 1,400 residential unit project over 100,000 SF of retail. Total project cost $250 million.


Evergreen International Corporation

Historic Bank Building | Downtown Los Angeles, CA

Challenge:  
To assemble an entire city block for redevelopment as adaptive reuse residential.

Solution:
  •  Develop a series of staggered contracts for lease with option to purchase and purchases of separately owned adjacent property.
  • Promote product type feasibility in newspapers and local forums.
  • Provide market value analysis to Lenders to assist Buyer in acquisitions.
  • Negotiate purchase extensions on original assemblage and Phase Two of development.

The Result:

Over a two-year period new adaptive reuse boom was established in Historic Core Area of Downtown Los Angeles. Single Buyer acquired block of property for residential lofts and retail uses.


Hayward Hotel - Pacific Investments

601 South Spring Street
Size: 150,000 SF
Value: $8,000,000

Services Rendered
  • Transaction management of Buyer and Seller's legal counsel
  • Purchase Contract Negotiation
  • Informal notice requirements to public agencies.
  • Due diligence review
Challenge:  
To acquire a Section 8 Hotel for a reasonable price, which was adjacent to the Buyer's property. Property was negatively impacting the client's other real estate investments in the area.

Solution:
  • Developed a relationship with the property receiver to access due diligence files.
  • Established pre-transaction thresholds with bondholder in control of the asset to reach “conceptual agreement” on a transaction structure agreeable to both Buyer and Seller.
  • Utilized contacts within Los Angeles City Government to determine legal notice requirements and obstacles to ownership change and asset use change that affected policy mix of housing agencies.
  • Negotiated partially funded foreclosure process specific to property and requirements of Buyer and bond holder group.

The Result:

Two years after contract execution, successful foreclosure was achieved, Buyer acquired property and renegotiated terms of public housing agreement, thereby removing substandard tenancies and raising area property values.