Steve Blue of Buchanan Capital, which is a division within Buchanan Street Partners that invests equity and mezzanine debt for real estate, says the $20 million mezzanine loan will be paired with developer equity and a $90 million construction loan by Key Bank for the development. Blue, who arranged the financing, describes the new project as the first major new waterfront luxury apartments in Marina del Rey in more than 30 years. Besides its 437 apartments, Esprit Marina del Rey will include a 227-slip marina. The project will be situated at the end of Marquesas Way, a quarter-mile east of Via Marina. The 512,000-sf development will feature floor plans of one to four bedrooms, with gourmet kitchens with premium appliances, nine-foot ceilings, top of the line interior appointments, and oversized windows that provide and views of the harbor and coastline.

Marina del Rey is a densely developed apartment market with over 6,000 units that were largely delivered to the market in the 1960s and 1970s. While newer units have been built in the market over the past several years, including Water Terrace, Chateau Marina and Fiji Villas, none have been developed fronting the Marina del Rey harbor. Construction of the development is scheduled to be completed in July 2006.