HFF Arranges Sale, Debt and Equity Placements for the Recapitalization of The Alhambra in Los Angeles

LOS ANGELES--()--Holliday Fenoglio Fowler, L.P. (HFF) announced today that it has arranged the sale of and secured debt and equity placements to facilitate the recapitalization of The Alhambra, a 45-acre mixed-use urban community in the City of Alhambra, California.

HFF worked on behalf of The Ratkovich Company and their existing institutional capital partner to recapitalize the property with new equity and debt providers. The Ratkovich Company will maintain a stake in the property with new partners, ELITE International Investment Fund and Future Land Holdings. Additionally, HFF worked on behalf of the new ownership group to secure the $119.5 million in financing from a national lender for the payment in full of the existing CMBS loan on the property. HFF was also involved sale/recapitalization and financing of The Alhambra in 2006.

“Since we acquired the property nearly two decades ago, we’ve made it a priority to protect, enhance and expand The Alhambra – seeking ultimately to create a deeply-rooted part of the local community and a business, service and innovation hub for Los Angeles county at large,” said Wayne Ratkovich, president and CEO of The Ratkovich Company. “We are grateful to our prior partner in helping to realize this vision and look forward continuing this progress through our new partnership with ELITE and Future Land.”

The Ratkovich Company purchased the site in December 1999 and completed a successful $56 million renovation to protect, enhance and expand the campus into a truly integrated urban community. The recapitalization comes on the heels of two recent transactions, which brings the The Alhambra to nearly 75 percent leased:

  • The County of Los Angeles Parks and Recreation Division will move its new department headquarters into 55,583 square feet of office space at the property
  • The University of Southern California’s Keck School of Medicine will expand into an additional 22,475 square feet to enhance their USC Care program.

The Alhambra is LEED Gold certified and centrally positioned several miles east of downtown Los Angeles and south of Pasadena.

The HFF investment sales, debt and equity team included director John Crump; senior managing director Michael Leggett, who is also co-head of HFF”s West Coast team; and managing director Bill Fishel.

About The Ratkovich Company

The Ratkovich Company is a Los Angeles development company that engages in both new development and the imaginative reuse of existing buildings. The company has completed, or has under development, nearly 18 million square feet of commercial space in Los Angeles County, including The Bloc, a 1.8 million square foot, mixed-use property at the heart of downtown Los Angeles that will become the premier urban retail, office and hospitality destination. The company has also redeveloped The Hercules Campus at Playa Vista, a landmark property comprised of 11 historic buildings, including the hangar where Howard Hughes’ legendary Spruce Goose was built. The Hercules Campus is home to Google/YouTube, Konami and 72andSunny. The Ratkovich Company has won numerous awards for its restoration of Los Angeles landmarks, including the art deco Wiltern Theatre and adjacent Pellissier building; the iconic 31-story 5900 Wilshire in Miracle Mile; the Chapman Market and the city of Glendale's Alex Theatre. The James Oviatt and Fine Arts buildings were also both awarded national landmark status after successful renovations by The Ratkovich Company.

About ELITE International Investment Fund

Established in May 2013, Elite International Investment Fund (EIIF) is a privately-owned real estate investment management company with offices in Beijing, Los Angeles, and New York. EIIF seeks to deliver attractive risk adjusted returns to our investors. Our disciplined investment strategy is responsive to different stages of the real estate cycles through discreet selection, stringent underwriting and working with the best local talents and sponsors. Since its inception, EIIF has set the precedence as the first Chinese private equity fund ever to invest in a U.S. development project, as well as the first to bring on board a major Chinese bank as an equity partner.

About Future Land Development Holdings

Future Land Development Holdings is an investment holding company listed on the main board of Hong Kong Stock Exchange (1030.hk). It is the majority shareholder of Future Land, a top home builder in China that has over 100 residential and mixed-use projects in over 25 cities in China. Since its first multifamily development project in the US in 2014, Future Land Development Holdings has grown its US real estate portfolio to include nine projects at various development stages.

About HFF

Holliday Fenoglio Fowler, L.P. (“HFF”), HFF Securities L.P. and HFF Securities Limited (collectively, “HFFS”) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 24 offices and is a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.

Holliday Fenoglio Fowler, L.P., acting by and through Holliday GP Corp., a real estate broker licensed with the California Department of Real Estate, License Number 01385740.

Contacts

HFF
Michael Leggett, 415-276-6300
CA Lic. # 01056344
HFF Senior Managing Director
mleggett@hfflp.com
or
John Crump, 310-407-2100
CA Lic. # 01420973
HFF Director
jcrump@hfflp.com
or
Kristen Murphy, 617-338-0990
HFF Director, Public Relations
krmurphy@hfflp.com

Release Summary

HFF has arranged the sale of and secured debt and equity placements to facilitate the recapitalization of The Alhambra, a 45-acre mixed-use urban community in the City of Alhambra, CA.

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Contacts

HFF
Michael Leggett, 415-276-6300
CA Lic. # 01056344
HFF Senior Managing Director
mleggett@hfflp.com
or
John Crump, 310-407-2100
CA Lic. # 01420973
HFF Director
jcrump@hfflp.com
or
Kristen Murphy, 617-338-0990
HFF Director, Public Relations
krmurphy@hfflp.com