The property, dubbed the Terraces at La Cienega, is located just a block from the Sunset Strip at 1121 N. La Cienega Blvd.
The Terraces at La Cienega was built in 1990. LaTerra Development plans to update the units and amenity spaces and add 10 additional apartment units.
“This is an ideal opportunity for LaTerra to apply our skills to create an updated living environment for tenants, and overall increased value for the city and our investors,” Charles Tourtellotte, LaTerra’s chief executive, said in a statement.
Urban Architecture Lab will work on the building’s exterior. A new rooftop deck will also be added to the property.
The building has nine one-bedroom units, 31 two-bedroom units and two three-bedroom units. Tenants in those apartments will be allowed to relocate to renovated units at market rents.
LaTerra will add 10 units by converting areas within the property to accessory dwelling units, which will have one or two bedrooms.
IPA, a division of Marcus & Millichap, Greg Harris, Kevin Green and Joe Grabiec and THG Multifamily Advisors’ Paul Darrow represented the seller and found the buyer.
The property, according to the brokers, is exempt from West Hollywood rent control.
“The offering was truly a generational buying opportunity as West Hollywood’s ownership rarely puts a mid-size 1990-built multifamily asset up for sale,” Darrow said in a statement.
“There are only six other buildings of this size and vintage that even exist in West Hollywood, let alone come to market, and this building was (the) best of the best regarding location,” he added. “As a result, the deal attracted interest from some ultra-high-net-worth families, foreign investors, 1031 exchange buyers … including the winning buyer, LaTerra, which was backed by institutional capital.”
