Rockpoint is adding a nearly 100-unit apartment community in Westwood to its nationwide multifamily portfolio.
The Boston-based private equity firm acquired Wilshire Margot, a 97-unit mid-rise property at 10599 Wilshire Boulevard, from NMS Residential, L.A. Business First reported. Terms of the deal were not disclosed, though the property is valued at $61.5 million, according to Los Angeles County assessor’s office records cited by L.A. Business First.
Rockpoint plans to pursue a repositioning strategy at the site, Rockpoint co-CEO Aric Shalev said in a statement, noting West Los Angeles is “one of the most supply-constrained multifamily markets in the country” with “a deep base of affluent renters.”
Wilshire Margot was built in 2007 and boasts subterranean parking, bike lockers, a rooftop deck, a gym, a sauna and a media lounge. Rockpoint’s latest purchase adds to its investment portfolio of close to 100,000 multifamily units.
Demand for housing in Westwood is expected to increase as more students at the University of California, Los Angeles move in.
Investors and developers are looking to get a piece of the pie while avoiding ground-up construction. Earlier this spring, Raintree Partners sold Axiom Westwood, a four-building, 153-unit student housing complex in the neighborhood, to a private investor for $62.6 million.
Office-to-multifamily conversion is also emerging as a popular redevelopment option across the city. Last month, Douglas Emmett filed plans with the City of Los Angeles to convert the 17-story, approximately 247,000-square-foot high-rise at 10900 Wilshire Boulevard into 199 apartments. That proposal also calls for a new seven-story building on a portion of the site with 124 units. Douglas Emmett acquired the building from Tishman Speyer last year for $131.1 million, or $539 per square foot, The Real Deal previously reported.
The City of Los Angeles must plan for 456,643 new residential units by 2031 as part of its state-mandated housing goals.
— Chris Malone Méndez
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