ACRES Capital Supplies $41M for Hollywood Micro-Unit Development
ELK Development has inked a $41 million construction loan for a Los Angeles multifamily micro-unit and retail project, Commercial Observer has learned.
ACRES Capital originated the financing for 1410 Highland, a six-story, mixed-use development planned for L.A.’s Hollywood neighborhood. The transaction was arranged by Shahin Yazdi of George Smith Partners.
“Hollywood is globally recognized as the center of the entertainment industry, but historically has lacked quality multifamily housing,” ACRES Capital CEO and President Mark Fogel said in a statement. “With the thousands of class-A housing units and community-serving retail storefronts recently added to the neighborhood, the area is fast becoming a true ‘live-work-play’ environment for its growing population of young professionals.”
Los Angeles-based ELK is sponsoring the project in conjunction with Sixty West, a real estate investment firm with a diverse portfolio that includes more than 150 projects.
Located at 1410 N. Highland Avenue, the mixed-use development will contain 180 micro-units grouped into 49 pods, along with 96 parking spaces and nearly 800 square feet of retail space. The unit mix will include three-, four-, five- and six-bedroom micro-suite selections, with an average size of approximately 1,000 square feet. Amenities at the property will include a two-level parking garage with automated lift system, community area, fitness room, common area courtyard, rooftop deck, spa, dog run and bike storage.
“The ACRES team shares our vision to serve the transforming Hollywood submarket with a multifamily property in 1410 Highland that is both aspirational and affordable,” Evan Kasper, founder and CEO of ELK Development, said in a statement. “ACRES’ financing will allow us to see our business plan through to completion, providing unprecedented freedom and flexibility for urban renters…and allow us to see our business plan through to completion.”
“Working with ACRES and ELK Development on 1410 Highland was a productive partnership that recognized the opportunity to provide affordable multifamily housing with efficient, yet high-end design and amenities,” Yazdi said in a statement. “We look forward to future opportunities to work with this team again.”