Developer Gets Funding to Build Apartments in Glendale

L.A.-based CBRE Group Inc. said its finance arm has arranged funding for the construction of a nearly 500-unit new apartment complex in Glendale. Century West Partners of Los Angeles and Chicago will use $126 million in a bank construction loan, third-party capital and additional equity to help build the $280 million project Next on Lex at 201 W. Lexington Drive in Glendale. Currently, the 2.79-acre parcel houses a vacant office building and parking garage in downtown near bus stops. Once built, the 444,000-square-foot luxury complex will include 494 units as a mix of studios and one-, two- and three-bedroom units. Parking for 706 vehicles will be underground. There will also be 8,100 square feet of retail on the ground level. Construction has begun on the complex and is expected to finish by 2019, according to CBRE. Brandon Smith, vice president with CBRE, said rentals in the market average about $3.30 a square foot a month. “There has been a significant amount of new supply added over the past three years, but the market has absorbed those units with continued rent growth and limited concessions,” Smith said. Individual units will have stainless steel appliances, vinyl-plank flooring, washers and dryers, in-wall USB outlets and Blue-tooth-enabled amplifiers with in-wall speakers. The complex will also feature bike lockers, onsite storage, a yoga studio, screening room, game room, indoor golf range, private massage room, fitness center, pool and hot tubs. CBRE Vice Chairman Brian Eisendrath and Smith arranged the construction financing. Eisendrath said large projects generally have to get financing outside the typical lenders to get the best terms.