June 28, 2013 - Capri Capital Partners
LOS ANGELES (June 28, 2013) – Capri Capital Partners, LLC (“Capri”), on behalf of an institutional investor, and Kennedy Wilson (NYSE:KW) have acquired 100% of the leasehold interest in Esprit, a luxury, multifamily mixed-use project with 437 units and a top-class 227-slip anchorage facility in Marina del Rey. The acquisition represents one of the largest multifamily mixed-use transactions in Los Angeles over the past several years.
The five-building apartment complex is a premier multifamily rental property in the area. In addition to its exceptional waterfront location, the project includes a unique combination of resort-style amenities, spacious and luxurious units, and distinct finishes. The mix of studios, one, two, three and four bedroom units all feature water views, in-unit washer and dryers, 9-foot vaulted ceilings and private patios. The units are mostly split-level townhouse layouts with expansive walk-in closets and stainless steel kitchen appliances. A pedestrian promenade runs alongside the waterfront directly in front of the apartment complex.
Additionally, Esprit offers one of the finest anchorage facilities in the area that attracts the area’s most luxurious and expensive yachts and boats. This top-class boat slips offers mariners full utility packages, separate storage and water activity centers for guest use. The 227 boat slips range from 35 to 75 feet.
Beginning immediately, Capri and Kennedy Wilson will move forward with a series of upgrades to further enhance the marketability of the asset. The team will invest approximately $5.3 million of additional capital to reconfigure the new leasing center, improve resident facilities, enhance landscaping and upgrade unit interiors.
“Capri’s investment strategy is to actively acquire high-quality Class-A properties in high barrier markets with supply-demand imbalances and strong economic, demographic and income trends,” and Ken Lombard, Partner of Investments for Capri. “Esprit is truly an iconic asset that meets our investment strategy and will be highly complementary to our investor’s real estate portfolio. We are excited to be teaming up again with Kennedy Wilson to acquire this unique waterfront property and to be investing in one of the most coveted residential communities within Los Angeles County.”
“Esprit is considered the finest multifamily mixed-use property in Marina del Rey, and an off-market transaction to acquire a property of this size and quality is very rare,” said Kurt Zech, President of Kennedy Wilson Multifamily Management Group. “The property was stabilized at 94% occupancy in late 2012 after a lengthy three year lease-up period and still has plenty of upside for rental growth in a steadily improving economy.”
The 18‐acre property is ideally located in Los Angeles’ Westside, within close proximity to the LA International Airport, the 90 and 405 freeways and employment hubs in nearby Santa Monica, as well as UCLA and Loyola Marymount University.
Brian Eisendrath and Troy Tegeler of CBRE facilitated financing for the transaction with Fannie Mae.
About Capri Capital Partners
Capri Capital Partners, LLC is an institutional real estate investment advisory firm, investing and managing commercial real estate properties and portfolios since 1992. Capri and its predecessor companies have acquired or originated over $10 billion in commercial real estate investments. Capri offers a broad spectrum of equity and debt products to its customers through separate account and commingled fund vehicles. Diversified assets managed on behalf of its pension fund and other institutional clients totaled approximately $3.4 billion as of March 31, 2013. Capri is headquartered in Chicago with offices in Los Angeles and the New York area. For more information, visit the company’s website www.capricapital.com.
About Kennedy Wilson
Founded in 1977, Kennedy Wilson is an international real estate investment and services company headquartered in Beverly Hills, CA with 24 offices in the U.S., U.K., Ireland, Spain and Japan. The company offers a comprehensive array of real estate services including auction, conventional sales, property services, research and investment management. Through its fund management and separate account businesses, Kennedy Wilson is a strategic investor of real estate investments in the U.S., U.K., Ireland and Japan. For further information on Kennedy Wilson, please visit www.kennedywilson.com.
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This announcement does not constitute an offer to sell, or a solicitation of an offer to buy any security relating to Capri Capital Partners, LLC or any of its funds. Any offer or solicitation may be made only through the delivery of a definitive Private Offering Memorandum and all information contained herein is qualified in its entirety by such Memorandum.