Development firm Faring has successfully secured refinancing for a long-gestating project on Robertson Lane in West Hollywood, where plans are underway to construct a high-end hotel and office complex.
Faring, led by Jason Illoulian, received $35 million from Centennial Bank for the Robertson Lane project, as reported by the Commercial Observer.
This venture envisions a 400,000-square-foot development that includes a 123-room luxury hotel and a seven-story office building featuring ground-floor retail space and a subterranean parking garage. Additionally, the project will incorporate the adaptive reuse and rehabilitation of the historic Factory Building.
The financing was orchestrated and announced by Priority Capital Advisory, representing the borrower in these proceedings.
Set to be developed on eight adjacent lots that cover nearly two acres at 645-681 North Robertson Boulevard, the project is strategically located just south of Santa Monica Boulevard, near West Hollywood Park and the Pacific Design Center.
“This is a rare opportunity to develop a generational asset in one of Los Angeles’ most robust submarkets,” Illoulian commented. “We are thrilled that Centennial Bank is aligned with our vision for this project.”
Zachary Streit, President of PCA, managed the financing arrangements. Streit noted, “This transaction demonstrates that even in the pre-development phase, appealing land financing is available for reputable developers who have a compelling vision, a prime location, and a solid business strategy.”
Anyone saying this is a good swing is only saying that because she’s attractive. Her swing needs lots of work.
Great news. It has been a very tough credit market since interest rates increased 3x over the last couple years. This is a transformative project for both Robertson and LaPeer.
I truly hope this means they will start construction. Too much of West Hollywood’s promised developments have sat in limbo that has left once vibrant areas vacated unnecessarily. I do wish the hotel component and office tower were converted to housing units.
I see the big train wreck on the horizon. $35 million is nothing, look at what $40 million get you in Bel Air. All that they are going to be able to build for that is another Lake West Hollywood.
Given they have done millions in site work already and this financing is really tied to one aspect, the hotel, it is plenty.
$35M can’t build a 5 store strip center in El Monte.
L.A. is starting to look like it did in “Bladerunner” (although that was supposed to be 2019, envisionedin 1982, but you know what I mean).
While I’m a fan of this ambitious project in one of the crown jewel streets of WEHO, I’d love to know more details re: overall financing requirements, conditions, & the balance of construction monies required to break-ground. In this day & age, 35M doesn’t get you very far in this type of build-out & the last thing we need, is another fenced-off hole in the ground. Recent history shows terrible lack of fiscal & social responsibility from most of these developers who prey upon our city. As recently discussed with Mayor Erickson, strong financial levers of construction advancement schedules MUST… Read more »
YAY more vacant commercial space coming soon. Hope we get another Smoke Shop or Yogurt shop
Finally.
I no would hope that this might serve as a model to city planning and the city council for future developments, no green lights until complete financing is secured and proof of the financing is provided the city.
agreed – and no moving out existing businesses before financing is secured.
Can you get financing for a project if it’s yet to even be approved? I mean, if you don’t know if you can build it…neither does anyone else. Why would anyone loan you money if no one knows if it can be built or not.
Given how many developments have stalled after leveling buildings and the businesses housed there, I think this is more than fair. Sorry, but if you don’t have enough capital to secure the rest of your funds then GTFO.
Didn’t really answer my question. Do banks or financial firms loan money to projects yet to be approved? I understand where you’re coming from but if it is an unknown whether the project can even be built why would money be loaned? I don’t know the answer to that question so I was throwing it out there but no one has really answered it yet.
Amen to that! AND to SeeMe’s subcomment supporting a ban on booting pre-existing businesses BEFORE proof of financing AND approval of the project. Allowing eviction of the prior businesses before the developer has even secured funding & project approval by the city is a MAJOR part of why we have significant stretches of vacant properties that have turned into blight/attractive nuisances/fire hazards as would-be developers (or property speculators) sit on on their vacated properties waiting for interest rates to drop. And the blight then drives foot traffic away from the remaining businesses, driving down their revenues. I’m ALL FOR a… Read more »