Downtown Los Angeles has the top two ZIP codes for the fastest growth of millennial populations in the United States over the past five years, according to a study by RentCafé, a subsidiary of Yardi Systems Inc., a Santa Barbara-based real estate software firm.
The ZIP code 90013, which comprises the Arts District and other adjacent areas, saw a 91 percent surge in millennials, the study said. Around 3,300 millennials moved to that area of the city, nearly doubling the cohort’s population there.
Coming in second was the 90014 ZIP code, where part of downtown’s Historic Core is located. This ZIP code sported a 60 percent increase, with 4,700 new millennial residents.
The only other local ZIP code to make the list was 90048 in the Mid-Wilshire area, which saw 10,300 millennials move in, a 39 percent gain.
Hotel Boom Continues
Westside-based commercial real estate lender Dominion Mortgage Corp. has provided an $11.6 million construction loan to develop a 64-room hotel branded by Hyatt Hotels Corp. at 1525 N. Cahuenga Blvd. in Hollywood.
The under-construction hotel, which is expected to be completed in November 2019, is slated to be part of the Unbound Collection by Hyatt brand. Hyatt has partnered with Hollywood-based hotel developer PNK Group Investments.
The project already had received some financing via a $6 million construction financing bond as well as overseas financing through the EB-5 program, which Congress established in 1990 to encourage foreign investment in the United States.
The $11.6 million loan is interest-only, where the borrower only pays interest on the loan for a fixed term. The loan’s initial term is two years but offers extensions.
“The loan was structured with a balloon payment, as the developer intends to sell the asset and thus, did not want to be locked into a hefty pre-payment penalty,” Keith Olson, partner at Dominion Mortgage, said in an email.
The Hyatt-affiliated hotel is part of a larger hotel construction boom in Los Angeles County.
Chicago-based developer Oxford Capital Group is building the seven-story, 220-room Godfrey Hotel one block south of the Hyatt project at 1400 N. Cahuenga Blvd.
Relevant Group, a Hollywood-based developer, is building Thompson Hotel, an 11-story building with 190 guest rooms at 1523 Wilcox Ave. Relevant also has broken ground on the Tommie Hotel, an eight-story, 212-room building at 6516 Selma Ave. in Hollywood.
PNK also is renovating 419 S. Spring St., a 13-story, 180-room, 122,000-square-foot building in downtown’s Historic Core neighborhood and turning it into a business hotel.
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