BEVERLY HILLS, CA—Dalian Wanda Group, a Chinese developer, has won the bid to purchase a plot of land at 9900 Wilshire Blvd., where the developer plans to spend $1.2 billion building a luxury mixed-use complex. The site received more than 10 offers from other foreign and domestic investors.
The purchase is part of a larger company strategy to invest in the entertainment industry. With this purchase, Wanda Group will set up a Los Angeles office, which will manage this project, along with the company’s commercial real estate investment office in New York, and focus on seeking other entertainment investment opportunities, specifically in the Hollywood market. The group has experience investing in Chinese entertainment ventures, including the Qingdao Oriental Movie Metropolis and Qingdao International Film Festival projects. The Wanda Group was not available for comment prior to the publication of this story.
The Beverly Hills property is the perfect debut venture into the Los Angeles market. Located a few miles from the company’s Hollywood target market, the site is within walking distance to Rodeo Drive and adjacent to the Los Angeles Country Club. It is also located near the Peninsula Hotel and the future Waldorf Astoria, a project that was announced in April of this year and is expected to open in 2017.
Wanda has been busy expanding its US holdings. In 2012, the company bought AMC Theaters for $2.6 billion from AMC Entertainment Holdings. The transaction relieved AMC from its load of debt, while providing capital for movie theater upgrades and expansions.