J.P. Morgan Sells Los Angeles Apartment Building at a Loss
FPA’s buying streak continues
By Anna Staropoli August 23, 2024 2:25 pm
reprints
J.P. Morgan’s latest deal comes at a loss.
FPA Multifamily has purchased the bank’s 240-unit apartment building at 232 East Second Street in Los Angeles for $86.1 million, The Real Deal reported. When J.P. Morgan acquired the property in 2020, it paid $116 million, or 26 percent more for the tower.
It is unclear who brokered the deal. Spokespeople for J.P. Morgan and FPA did not immediately respond to requests for comment.
Known as Arrive Wakaba, the seven-story property consists of studio, one-bedroom and two-bedroom apartments in the heart of L.A.’s Little Tokyo neighborhood. At its $86.1 million price, the building’s sale equates to roughly $350,000 per unit.
The property sits between San Pedro and South Los Angeles streets. It’s on the eastern side of Downtown L.A. close to several public art installations and galleries, and also near the Japanese American National Museum and the James Irvine Japanese Garden at the Japanese American Cultural and Community Center.
With this latest purchase, California-based FPA continues to expand its portfolio in Los Angeles. In recent months, the multifamily-focused real estate firm has inked deal after deal in Southern California, including its $186 million purchase of a 34-story residential property downtown from CIM Group. In February, the firm also purchased two multifamily buildings in Ventura County for $153 million.
FPA operates out of its San Francisco headquarters, with additional offices in Irvine, Atlanta, Chicago, Denver, Houston and Washington, D.C., per its website. Last year, the company ranked 23rd in a list of the United State’s largest apartment owners, per TRD.
Anna Staropoli can be reached at astaropoli@commercialobserver.com.
