Concord Capital Partners Expands Los Angeles Real Estate Portfolio with $79 Million Acquisition

Concord Capital Partners has significantly expanded its real estate footprint in Los Angeles through the acquisition of five multi-family properties for $79 million. This strategic move adds 537 units to its portfolio, located in the highly sought-after Koreatown and Hollywood areas, known for their limited supply and high demand. The properties, including The Fontenoy and The Langham, are not just architectural gems but also carry a rich historical legacy, having been home to iconic figures such as Marilyn Monroe and several U.S. Presidents.

The financing for this acquisition was secured with a $60.5 million senior loan from Arbor, alongside approximately $30 million in equity. Reuben Robin, CEO of Concord, highlighted the attractive pricing of these properties compared to their historical sales and replacement costs, as well as their longstanding appeal to Class A renters. Jonathan Fhima, the firm's Chief Investment Officer, pointed out the difficulties in achieving scale in Los Angeles's real estate market and the potential for value addition these properties present.

Dating back to the late 1920s, these properties boast distinctive features such as grand lobbies, ornate facades, and landscaped courtyards. Concord Capital Partners intends to carry out targeted improvements to elevate the properties' appeal while meticulously preserving their historical essence. This acquisition not only reinforces Concord's commitment to investing in high-quality real estate assets but also highlights the lasting allure and value of historic properties in Los Angeles's competitive market landscape.