LOS ANGELES--(BUSINESS WIRE)--Gemdale Properties and Investments, a subsidiary of Gemdale Corporation, one of China’s largest blue chip real estate developers, announced today that it is making its first investment in Los Angeles in partnership with LaTerra Development, a Los Angeles-based developer. Gemdale and LaTerra have formed a joint venture to develop a $125 million mixed-use project in Hollywood, which will be the first real estate investment in Hollywood by a major Chinese company.
Gemdale has developed one of the strongest brands in China for residential and mixed-use development, with projects in over 25 major cities. Upon realizing significant opportunity in Southern California, the company established its US headquarters in Los Angeles in 2015.
LaTerra is a rapidly growing Los Angeles-based residential and mixed-use development company with a focus on urban infill locations. LaTerra consistently integrates green building practices into its projects and has a diverse portfolio of land entitlement and development projects throughout Los Angeles, Orange County and San Diego.
Jason Zhu, CEO of Gemdale USA, said: “This inaugural Los Angeles investment promises to be the first of many deals as we ramp up our capital investment and property development business in Los Angeles, a market that we are confident presents great value. There is abundant opportunity here and we are delighted to have partnered with LaTerra, the like-minded urban development partner we have been seeking.”
The approximate 4-acre mixed-use project, located at 1350 N. Western Avenue at Sunset Boulevard, is an infill development opportunity in a prime Hollywood location and is planned to be developed with office, retail and apartments, explained Charles Tourtellotte, President and CEO of LaTerra.
The Gemdale-LaTerra project is in close proximity to numerous public transit options and two blocks from the Hollywood and Western station of Metro’s Red Line that runs along Hollywood Boulevard and connects to downtown Los Angeles and to other Metro lines throughout the county. The site is also within two blocks of the 325,000-square-foot Icon tower at Sunset Bronson studios currently under construction where Netflix just inked a lease for 200,000 square feet.
“We are excited to be in Hollywood, one of the strongest submarkets in Los Angeles, and LaTerra is fortunate to have Gemdale as a strategic partner. Both LaTerra and Gemdale are committed to topflight design, amenities and sustainable building practices,” Tourtellotte added. “With our partner, Gemdale, we will be developing a project that will have a positive fiscal impact on the community,” he concluded.
Curtis Palmer of CBRE was the broker on this transaction.
About LaTerra Development, LLC.
LaTerra is a privately owned real estate investment and development company that focuses on urban infill projects in California that provide positive fiscal impacts to neighborhood communities, while incorporating green building practices and sustainable materials. LaTerra has sponsored more than 20 development projects in Southern California.
About Gemdale
Gemdale Properties and Investment (“Gemdale PI”) is a leading real estate developer and operator in the Greater China region. Listed in Hong Kong Stock Exchange (535.HK), it is the only business platform for commercial property investment, development and operational management that is independently operating under Gemdale Corporation, a Chinese real estate company listed in China.
Gemdale was founded in 1988 and listed on the Shanghai Stock Exchange in 2001. The Company enjoys one of the strongest brands in China. While the Company’s roots are in the residential condominium sector, with over 30,000 residential condominium units built and sold in over 25 major cities in China in 2013 alone, the Company has also embarked in recent years on commercial/mixed-use developments as well as real estate private equity funds management. Gemdale has received numerous real estate industry awards over the years, including “Top 10 China Listed Real Estate Companies in terms of Comprehensive Strength” for the ninth consecutive year, “Blue Chip Property Developers in China” for the eighth consecutive year and the “Most Valuable Listed Real Estate Enterprise in China” in 2012, amongst other honors. The Company is also involved in a number of philanthropic and community outreach endeavors, including the sponsorship of various World Tennis Association tournaments in China.