The struggling-looking Metropolitan Hollywood site--a former Sunset Boulevard hotel turned apartment complex---has a new set of owners. The complex sold on March 2nd to an LLC associated with San Fransisco-based real estate investment firm Urban Green Investment (UGI), an affiliate of Boulder-based Cornerstone Holdings, LLC, a private equity and real estate development company.
The sale price for the site, located at 5825 Sunset Boulevard, was $25 million, plus associated costs, according to court documents. Accordingly, court documents indicate that $25 million was paid to lender GE Business Financial Services to satisfy an outstanding loan. UGI's Peter Hagist, asset manager for the Metropolitan, declined to comment on the Metropolitan's final sale price.
Local developer DS Ventures opened the Metropolitan in 2008, transforming the former site, a bawdy 1980s hotel frequented by Dr. Dre and Suge Knight, according to rumors, into an apartment complex. But completion of the U-shaped commercial space stalled amid the personal bankruptcy filing of DS Ventures founder David Schwartzman in 2009.
According to Hagist, original investors in the Metropolitan including Schwartzman and attorney Jerry Neuman, a lobbyist well known around City Hall, will stay on as operating members of the new LLC.
The tower won rights for two supergraphics (the graphics were grandfathered under City Councilman's Eric Garcetti ban on supergraphics in Hollywood last year.) The site is also entitled for second, 79-unit condo tower that would rise west of the first tower.
Asked about the future of the unfinished commercial space and the second tower, Hagist said the partnership is currently evaluating plans.
Right now, the existing apartment tower is nearly full of renters. Spaces are available for $1,400 and up, and you can catch a glimpse of what some of the units look like via photos of the tower when it opened three years ago. Also, that last photo in the set, taken in 2005, shows the project's old hotel sign.
· Metropolitan Hollywood Ready For Your Apartment Parties [Curbed LA]
· Hollywood Developer Fights to Keep its Supergraphics [Curbed LA]