Los Angeles - April 1, 2016 – CBRE Group, Inc. announced the sale of the Foreman & Clark building, a prime historic property built in 1927, in downtown Los Angeles for $52.5 million.
Olive Hill Group, the investment and property management company headed by local high net-worth investor Kyung Ku Cho, sold the beaux art-style building on 404 West 7th to an unidentified foreign investment firm looking for an apartment project in the Los Angeles core.
“I believe this is an incredible opportunity for the City and the surrounding neighborhood,” said Senior Vice President Phillip Sample. “It allows for continued gentrification of 7th Street and the continued restaurant growth.”
The property with 131,000 rentable square feet has been slated for a multi-million dollar revamp into a residential project with 165 units that would also include restaurants on the ground-floor space. Until last year the 13-story property housed office tenants and jewelry businesses.
CBRE’s Sample, Chris Caras and Mike Shustak represented the seller. Avison Young’s Derrick Moore represented the buyer.
“This property received a lot of interest from both domestic and international buyers given the popularity and growth of downtown in the last few years,” said Caras.
Downtown Los Angeles has seen a flurry of new projects and redevelopment of existing buildings across all neighborhoods, including the historic core, the financial district and South Park. Since 1999, Downtown has received more than $7.3 billion in residential, $1.2 billion in arts & entertainment, and $2.6 billion in civic and institutional investments.
The Urban Investment Group headed by Sample also helped in the sale of the historic Broadway Trade Center, formerly the Hamburger’s Department store and a May Company Department Store, which will become a mixed-use creative office campus. Over the last three years the team has sold 62 percent of all the adaptive re-use projects in Downtown.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.
