8850 Sunset, the massive development recently approved by the city council is $69,346,044.27 million dollars in the hole. Foreclosure documents show the default was recorded on February 12th, 2025.
The original lender was listed as CW Viper Capital Management, c/o the Cottonwood Group. And the foreclosure proceedings will take place on June 17, 2025.
The developer received final approvals in August 2024. We previously reported on this here:
• https://wehoonline.com/breaking-divided-council-approves-viper-room-development/
• https://wehoonline.com/oped-viper-room-development-fait-accompli/
Although the project received approvals from the city council, it appears the applicants were not paying their mortgage and were short on their financing. The sale of an approved and entitled project would carry a premium to any new buyer. Questions remain if the applicant was forthright in their presentation to the city council—and whether any councilmembers closely aligned with the developer had prior knowledge of the financing issues.
Hallelujah amen
It doesn’t come as much of a surprise that the city council members, who were endorsed and supported by the union pushing for the sale, would look the other way. This proposal had come before council numerous time and always failed.
On a different subject, totally unrelated of course, money talks but only to the powerful.
“Questions remain if the applicant was forthright in their presentation to the city council—and whether any councilmembers closely aligned with the developer had prior knowledge of the financing issues.” When will we get answers, if ever?
KEEP THE SIGHT LINE LOW ON SUNSET!!!!! Good news.
Sad to hear. That whole stretch of Sunset needs a makeover.
Hopefully someone will come in buy during foreclosure and pick up where this developer dropped the ball.
I had to move to Philadelphia a few months ago, but a neighbor has sent me this article. I join those people who are glad and relieved that they didn’t tear up the property. The only city council person who had the guts to stand up to these developers and the union was Lauren Meister. I don’t understand why Silver Creek and the original developers aren’t named in this debacle. Hopefully West Hollywood will learn a lesson from this fiasco. Beware of slick developers who are bringing seemingly impossible gifts. The folks in that area of West Hollywood were onto… Read more »
Because they are not slick. They are in the pockets of developers and law firms like Latham and Watkins who care little about the community and more about protecting the interests of themselves, while succumbing to Trump extortion. Let’s call it what it is, grift!
The fact that you are cheering the decline of my neighborhood says so much about your character. We are much better off with you gone.
Kay, I am not cheering to decline of that neighborhood. I am cheering that particularly slimy developers, and the corruption they encouraged at City Hall are gone. I don’t know if you ever attended any meetings about this particular project. But the way they behaved to our neighborhood was horrible. And the construction of this monstrosity would’ve been a terrible nightmare.
Kay must be short for Karen. Annoying progressive women like yourself seem to think no one should have opinions except for you. She’s not cheering the “decline of your neighborhood” she’s advocating for less overdevelopment.
I’ve lived here for 25 years and experienced the overdevelopment of the city firsthand. Susan is right, we don’t need another massive development to benefit the wealthy and line the pockets of our inept city council members.
This is unfortunate, and the fact that elected officials who championed the project had no idea demonstrates where their loyalties lie—with developers, not residents who have to walk by unbuilt lots and empty storefronts.
Are you absolutely delusional? Do you honestly believe that delaying permits for SEVEN years is a developer friendly environment? NIMBYs are a stain on our city.
Kay, I live on Larrabee Street right where that hotel was supposed to be built and went to every public meeting about it. These developers were lying crooks. It’s a frigging blessing that this project fell through – one which barely made it past council vote, and only suspiciously so. This hotel plan would’ve made a logistic nightmare of my neighborhood.
I’m tired of IMBYs
There are so many projects approved and wind up being huge eyesores that encompass entire city blocks. They go from one developer to the next, and then the next in an ever ending revolving door of approvals from City Hall. None of which resemble the original design.
Watching West Hollywood destroy itself is actually kind of sad
I appreciate you sharing this blog post. Thanks Again. Cool.
Another commenter on here said “Wow.” I agree.
$69,346,044!! That is a lot of money. Now that this foreclosure has been found out, what is going to happen to the property? I hope it does not turn into another hole in the ground and any new investors have the cash on hand to get what was planned done. West Hollywood does not need another incomplete project!
and WeHo wants to “streamline” and allow developers to build 99 unit buildings without any oversight. Get ready for more money buried in 20+ years of holes in the ground.
Since February? Really? Confirms that the whole West Hollywood planning process stinks with a complete lack of due diligence. Oh, and who’s the wonderful planning commissioner who must have known about this?