Downtown Los Angeles - South Group; Elleven, Luma, Evo and Future Projects

[colemonkee]

^That doesn't screen out all the flippers, but it takes a very good step towards creating a more natural appreciation rate downtown. I bought my place from an investor who sat on the property for about a year, leased it for six months, then sold (to me) for a very good profit. He never lived in it, but could have claimed it as his primary residence and still qualified to purchase at developments like the South Group's. But the fact that the South Group even has this rule demonstrates that they are trying to build a community and not just a development.

I really think that 11th street will be great in about six months with Elleven, Grand Ave., and Met Lofts opening up. And once Luma is complete, it will create a very nice, walkable street with a lot of retail and a lot of residents. katfam, you made a smart move.

[citywatch]

I sure don't want to see ANY condo proj in DT wrecked by greedy devlprs or shortsighted buyers, referring to ppl who really want a condo for investment purposes, or mainly to flip. The devlpr of the Barry Lofts, as mentioned in another thread by Colemonkee, may be playing the housing mkt as though it were a slot machine & if he comes up with lemons, not only will his proj look bad, but it in turn will cast a shadow over the hood it's located in, meaning the Pershing Sq area around 5th & Broadway.

As for you folks living in DT or soon to be living there, I had to drive all the way from Woodland Hills south to DT several days ago, or from the typical burbs up north in the valley to the center of LA. It was then that I was struck by how much more interesting a home in DT would be compared with the hoods around the north valley & Ventura county. I say that because a few yrs ago I felt kind of sorry for a person I know who lives in DT LA. Now with all the changes going on there, I feel sorry for ppl living in, as one example, Woodland Hills.

OK, maybe such burbs have lower crime rates & fewer (or no) homeless ppl, & more conveniences associated with hoods where a lot more ppl with $$$ live, but big changes there mean something like a new burb-style 5 floor apt bldg down the street or a new chain restaurant next to the mall. IOW, zzzzzz.

[LongBeachUrbanist]

Originally Posted by colemonkee

Townhomes are great (there are actually some on Hope just a few blocks north that look pretty nice), but you give up ground floor retail, which activates the street much better. It's a trade-off, but not necessarily a bad one.

Remember, there is only so much retail demand, you don't want to oversaturate the market. So as "second best", townhomes I think will be a good thing. Even in the model megacities (NYC, London, Tokyo) not every building can have retail on the ground floor.

To some extent, retail should be focused along main ped corridors. Hope Street was supposed to be one of these, maybe 9th and 11th as well.

The most important thing at this point is to get enough residents to support retail. This will then draw outsiders, which will promote more retail and streetlife, etc.

[katfam]

I've talked to South Sales Center about the retail they planned on having. They said that the area 'South' is located in isn't zoned for mainstream retail like a Gap or Starbucks. Its zoned for things like a yoga center (which is actually planned for the Met Lofts across the street), Hair Salon, etc. They did say that they were hoping to try and get some type of food establishment.

I think this is a great thing to hear. Yes I wish i could just walk downstairs to a coffee bean, book store and La Salsa, but those things are planned all around 'South' by 2 blocks. In 5/10 years when South Park is full of people, stores, entertainment, towers and LA Live/Staples traffic, South will be a more calm, community like area, yet at the center of it all.

[colemonkee]

Originally Posted by LongBeachUrbanist

Remember, there is only so much retail demand, you don't want to oversaturate the market. So as "second best", townhomes I think will be a good thing. Even in the model megacities (NYC, London, Tokyo) not every building can have retail on the ground floor.

You make a very good point there.

[colemonkee]

Construction update from the South Group

Elleven: The vertical construction on Elleven is nearly complete! The 12th floor structure was just finished and we are pouring the last of the concrete of the 13th floor and roof support. The building will be topped-out (that's construction speak for "it has a roof on it") by October. Meanwhile, the interior build-out continues, with framing, drywall and electrical completed through the 8th floor. We are also preparing for the first of the finish installations - the meticulous and time-consuming process of building out each individual home with the buyer's personal finish palettes and selections. This will represent the buld of our construction effort as we move into the fall. So, there's a lot going on! We're looking good on timing, and we'll bring you a scheduling update next month.

Luma: Much like Elleven's beginning, it's concrete, concrete, concrete. the foundations and reinforcing steel are in place, with the basement levels beginning to take shape. The structure will start to rise above the construction fence sometime next month. Until then, more concrete.

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Just a bit of comparison - The Ralph's project broke ground at least a month before Luma, and Luma is already ahead in terms of production schedule. I realize the total floor area for Luma is smaller, but with a month's head start, Ralph's should be much further along.

[RBR]

Originally Posted by citywatch

Thanks for this thread, Katfam. If you become a regular visitor here, you'll be the 2nd person at SSP who lives in DT (I suddenly recall that LATowers lives in DT too but that SSPer doesn't post as much here---wish he or she would).

I live downtown and I bet a lot more people live downtown as well, but how would you know if they didn't say? Anyway i am trying to move out cause i can't afford these new apartments/condos. Also I 'am after a city view but i still like following the downtown development.

[colemonkee]

^ Actually, we had a LA Forumer Roll Call forum a while back where everyone gave their name and where they live. There were only 2 people on this forum that responded with living downtown. But that was then, this is now. Seems like we have at least 4 now.

[Easy]

Just a bit of comparison - The Ralph's project broke ground at least a month before Luma, and Luma is already ahead in terms of production schedule. I realize the total floor area for Luma is smaller, but with a month's head start, Ralph's should be much further along.

I also noticed that the Ralph's project was slower , but I was thinking that it was more Luma/Elleven going up fast than Ralphs being slow. Everything about Luma/Elleven from the initial announcement, to initial construction, to (hopefully) completion seems to be progressing much faster than any other project that I've seen in the LA area.

[LAMetroGuy]

^ I agree, lets hope its the same for their second project in downtown (accross the street from Staples Center). Anyone have any idea on when that is scheduled to get kicked off?

[colemonkee]

Originally Posted by Easy

I also noticed that the Ralph's project was slower , but I was thinking that it was more Luma/Elleven going up fast than Ralphs being slow. Everything about Luma/Elleven from the initial announcement, to initial construction, to (hopefully) completion seems to be progressing much faster than any other project that I've seen in the LA area.

True. Construction of the Colburn Expansion has also gone very slowly. They had finished digging back when I posted my very first photo update. Five months later, and they're barely above ground. It seems like projects in other cities seem to get out of the ground faster. Perhaps it has something to do with our seismic requirements and/or our inspection procedures.

[katfam]

Remember the first resident gathering is today for ELLEVEN buyers.

6-9pm @ Broadway Bar

I'll have pictures, and hopefully some new info to discuss, from event posted as quickly as I can.

[colemonkee]

Cool! We'll look forward to your update! See if you can get some shots of the Eastern Columbian conversion across the street...

[LosAngelesBeauty]

Originally Posted by katfam

Remember the first resident gathering is today for ELLEVEN buyers.

6-9pm @ Broadway Bar

I'll have pictures, and hopefully some new info to discuss, from event posted as quickly as I can.

Will you be a future Elleven dweller?

[citywatch]

Developers, The South Group, Thrilled by Weekend Sell-Out

Buyers' Response Bodes Well for Success of Downtown Los Angeles Community

LOS ANGELES--(BUSINESS WIRE)--Sept. 29, 2005--The South Group sold all 191 available units in Luma, its second downtown condominium high rise, in a mere seven hours during last weekend's reservation event. The sales represent over $160 million in product.

The Luma tower's residences, on the corner of llth and Hope Streets, sold from $440,000 for an 850-plus square foot softloft to over $2.4 million for a 2700-plus square foot penthouse in the 19-story building. Each buyer paid a $10,000 deposit to reserve a unit. For those who were not able to buy at Luma due to the early sell-out, The South Group will defer them as priority buyers for Evo, their third building soon to break ground. Elleven, the company's first building at 1111 S. Grand Avenue, is also sold out.

"In the last few months, approximately l,000 people signed up on Luma's interest list," said Tom Cody, principal of The South Group. "And we believe the excitement last week surrounding the announcement of LA Live has certainly had an impact on our evolving 'South' neighborhood. These two events are a validation of everything we and others are doing to invigorate the South Park community. People see the opportunity and reality of having a vibrant, cultured, convenient life downtown. They've come to understand, as we do, that there is no substitute for neighborhood and a neighborhood requires more than one beautiful building."

Cody said, "Many buyers currently work downtown and live elsewhere, but they've been looking. Until now, most of what's been available are older buildings being adaptively reused or projects without a compelling environment. Judging from people's enthusiasm, it's obvious they're ready for a new standard in urban living that includes a refined home and amenity-rich lifestyle in an attractive neighborhood."

The architecturally innovative Luma, which features "softloft" condominium homes in an elegant l9-story structure, includes 475,000 square feet of development with ground floor retail and four levels of secured parking above and below ground.

As part of The South Group's commitment to creating a neighborhood within a neighborhood, Luma is the second of a number of projects planned for an area of the South Park, to be known simply as "South." Luma will be surrounded by open areas including a terrace plaza and a pool deck shared with Elleven, its sister building. Ample space will be devoted to lush greenery and gardens for neighborhood gatherings, along with quiet retreats and pathways. Plans are also underway for a park and additional residential buildings nearby.

"Our experience with Luma this weekend not only thrills us," said Cody, "but supports our philosophy of creating a 'community,' and our commitment to green, smart urban design. South has become the choice for downtown living."

About The South Group

The South Group brings together two Portland, Oregon-based developers Williams & Dame and Gerding/Edlen. Luma is part of The South Group's vision for developing several thousand residential living spaces and associated ground floor retail space in South Park.

With the construction of Luma, Elleven and Evo, The South Group, a national leader in environmentally-responsible design, delivers to Los Angeles its first downtown residential buildings to be certified by the U.S. Green Building Council (USGBC) for Leadership in Energy and Environmental Design (LEED). It will offer smart buyers sustainable elements that include an abundant use of natural light, use of low-emitting materials and finishes, water efficient fixtures, appliances and landscaping, a strong emphasis on the use of both locally manufactured and high recycled content construction materials. An aggressive waste management plan ensures that the majority of materials leaving the site are recycled. The South Group's overall goal is to create a mixed-use, environmentally sustainable, pedestrian-oriented, eclectic and compelling South Park neighborhood, with an atmosphere that engages the street to create a neighborhood rather than a series of developments.

Williams & Dame's leaders, Homer Williams and Dike Dame, represent over 70 years of collective real estate experience. The firm uses an organic approach to urban transformation, collaborating with public and private partners to create unique neighborhoods that blend quality housing, vibrant street life and new business opportunities.

Gerding/Edlen is widely respected for their extensive experience building large scale, mixed-use developments. With a fundamental commitment to building environmentally sustainable structures, the forward-thinking company fosters an "eco-friendly," progressive approach to urban living that consistently sets a new standard in community-based development.

For more information about The South Group, visit www.exploresouthgroup.com, The South Sales Center at 707 S. Grand Avenue or call 213-622-5400.

[LosAngelesSportsFan]

Hopefully these exceptionally quick sellouts will prompt them to start construction on the second project that they have in the area. that would be ideal.

[colemonkee]

It'll definitely push up the timeline, but I wouldn't expect construction to start very soon. They'll need to market them first, which usually takes at least 5-6 months for a completely new project.

[katfam]

Sorry guys for the long delay,



Have to tell you the Elleven Mixer was SO GREAT!!!! I was able to meet many of my future neighbors. The mix of people were really positive. It wasn't a lot of condo flippers, these people were full of excitement and love of downtown. We were all talking about the parties we want to through and even met with most of the people who purchased the penthouses. They are just as fun and excited to live downtown.

Talked with the South Group Sales Associates for a while and learned that Luma went for $150 more a sqaure foot than Elleven and that when Evo goes on presale it will probably sale for $250 more than Elleven did.

Evo is officially breaking ground November 1st. They are already moving the trailers off Evo's site and building news ones on the west alley entrance to South. They also said the webcam will be offline for a week while they set up the new WEBCAM onto top of the SBC TOWER (formally Transamerica Tower) which will overlook the whole block.

Evo should go on presale when all the contracts are finalized for Luma which should be in April.

Gonna be putting up some great info/pictures next week that I think everyone will be amazed to see. No hints though

[colemonkee]

katfam, thanks for the update. Glad to hear you have a community starting up. Hopefully it will be like the Higgins community and you will have many parties on your roof!

Looking forward to the pictures.

[citywatch]

Originally Posted by katfam

. It wasn't a lot of condo flippers, these people were full of excitement and love of downtown. We were all talking about the parties we want to through and even met with most of the people who purchased the penthouses. They are just as fun and excited to live downtown.

That's great to know. The supply of new housing in DT still is modest enough & at an early enough stage that it would be pathetic if lots of flippers already were eyeing the place & wanting to move in like leeches. The hood needs ppl who are commited to DT, & its current & future revitalization, not just to their bank account.

I know the condo boom in cities like Miami and San Diego is full of speculators, so many, in fact, that it's ridiculous, even scary, at least to those buyers & lenders who are betting no bubble will burst. Nothing worse than a bldg full of either unsold units or units that are mostly unoccupied throughout the yr.