One Santa Fe One Santa Fe was the first ground-up apartment complex in the Arts District.

LOS ANGELES—The Berkshire Group has acquired One Santa Fe, a 438-unit apartment complex in the Arts District of Downtown Los Angeles. The purchase price was not disclosed, however, sources unrelated to the deal tell GlobeSt.com that a joint venture between Canyon Partners, McGregor Brown and Cowley Real Estate Partners sold the property to the Berkshire Group for $200 million. Since opening, the property has seen major success, with lease-up completed ahead of schedule at rental rates that exceeded the seller’s pro forma. This sale completes the investment cycle for developers.

In addition to completing the initial investment cycle, this sale also proves the viability of multifamily in the Arts District, according to Mark Tarczynski, EVP at Colliers International and a multifamily and Downtown market expert that was not involved in this transaction. “This sale totally legitimizes the Arts District,” he tells GlobeSt.com. “Institutional capital invested in the Arts District and the project was a complete success. There was a lot of skepticism at first as to whether or not institutions would be able to do well in an area characterized by chain-link fences, razor wire and a lot of graffiti. But, institutional capital went there and was able to build a property and lease it up really fast at lease rates that are unheard of. I think, again, that this property and sale totally legitimizes the Arts District.” Berkshire Group and the joint venture did not respond to a request for comment.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.

More from this author

 

GlobeSt. Multifamily Spring 2023Event

Join the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2022 ALM Global, LLC. All Rights Reserved.