CAPITAL MARKETS | RETAIL INVESTMENT SALES...
Transcript of CAPITAL MARKETS | RETAIL INVESTMENT SALES...
3032 WILSHIRE BLVD | SANTA MONICA PAGE: 1
3032 Wilshire Blvd | Santa Monica, CA 90403VALUE - ADD RETAIL OPPORTUNITY
CAPITAL MARKETS | RETAIL INVESTMENT SALES
Capital Markets | Investment Properties
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CBRE © 2015 All Rights Reserved. All information included in this proposal pertaining to CBRE including but not limited to its operations, employees, technology and clients are proprietary and confidential, and are supplied with the understanding that they will be held in confidence and not disclosed to third parties without the prior written consent of CBRE. This letter/proposal is intended solely as a preliminary expression of general intentions and is to be used for discussion purposes only. The parties intend that neither shall have any contractual obligations to the other with respect to the matters referred herein unless and until a definitive agreement has been fully executed and delivered by the parties. The parties agree that this letter/proposal is not intended to create any agreement or obligation by either party to negotiate a definitive lease/purchase and sale agreement and imposes no duty whatsoever on either party to continue negotiations, including without limitation any obligation to negotiate in good faith or in any way other than at arm’s length. Prior to delivery of a definitive executed agreement, and without any liability to the other party, either party may (1) propose different terms from those summarized herein, (2) enter into negotiations with other parties and/or (3) unilaterally terminate all negotiations with the other party hereto.
This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs.
ALEX KOZAKOV First Vice President+1 213 613 3031Lic. [email protected]
PATRICK WADE First Vice President+1 213 613 3071Lic. [email protected]
Table of Contents EXCLUSIVELY LISTED BY
Investment OverviewProperty SummaryLease ComparablesSale ComparablesSite Plan
Area OverviewCity OverviewDemographicsZoning Overview
3032 WILSHIRE BLVD | SANTA MONICA PAGE: 5
ADDRESS: 3032 Wilshire Blvd | Santa Monica, CA
PRICE: Open Bid- Request for Offers
1ST FLOOR GLA (SF): 7,470
MEZZANINE (SF): 1,900
TOTAL GLA (SF)*: 9,370
LAND AREA (AC): 29,555
YEAR BUILT / RENOVATED: 1962
PROFORMA RENT/SF NNN 1ST FLOOR: $96.00
PROFORMA NOI 1ST FLOOR: $717,120
PROFORMA RENT/SF NNN 2ND FLOOR: $36.00
PROFORMA NOI 2ND FLOOR: $68,400
TOTAL PROFORMA NOI: $785,520
PARKING: 60 Spaces
ZONING: C6: Mixed Use Blvd. & R2: Low Density Housing
APN: 4267-003-004 (10,518 SF) & -003 (19,037 SF)
TRAFFIC COUNTS: 45,879 CPD (Wilshire Blvd)
*TAX ASSESSOR SHOWS BUILDING SF: 7,768
Property Highlights• Irreplaceable Real Estate: 3/4 acre commer-
cial land on Wilshire Boulevard in Santa Monica
• Almost 10k SF of existing leasable area
• Ability to subdivide space into multiple tenant uses
• Directly across the street from Bristol Farms and close to new developments
• Excellent Demographics: over 480k people with an average HH Income exceeding $109k in 5-mile radius
• 2 Parcels totaling over 29,500 SF • Zoning includes C6: Mixed Use Blvd. Zoning:
Up to 2.75 FAR
• Prime location ideal for a wide-range of uses including: medical, retail, restaurant, financial and office
Investment Overview | 3032 Wilshire Blvd
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Investment OverviewCBRE is pleased to offer for sale 3032 Wilshire Boulevard - a rare value-add retail opportunity on the Wilshire Boulevard corri-dor in Santa Monica. This irreplaceable location consists of an existing former Bank of America branch with 9,370 SF of gross leasable area, situated on 2 parcels totaling almost 3/4 an acre of land. There are over 60 parking spaces in the rear of the property. The current layout bodes well for either single-users or subdividing to multiple tenants. The prime location would be suitable for a wide range of uses, including medical, restaurant, banking, or a wide-range of general retail uses. The two parcels are zoned C6: Mixed-Use Boulevard and R2: Low Density Housing, which allows for a wide range of redevelopment opportunities as well. Situated across the street from Bristol Farms, the property is in close proximity to numerous major retailers, office buildings, financial institutions, and mixed-use apartment complexes. The site also enjoys some of Southern California’s best demographics, with over 480,000 people with an average household income exceeding $109,000 in a 5-mile radius.
3032 WILSHIRE BLVD | SANTA MONICA PAGE: 7
WILSH
IRE BLVD
BERKELEY BLVD
SANTA MONICA BLVD
ARIZONA A
VE
SITE
SANTA MONICA
PACIFIC OCEAN
BRENTWOOD
VENICE BEACH
3032 WILSHIRE BLVD | SANTA MONICA PAGE: 9
Address City GLA SF Rent/SF/Month Type Bldg SF Trans. Date Bldg Class
1401 Ocean Ave #204 SMB Santa Monica 2,225 $6.25 NNN 47,999 4/1/14 Retail: Store Front
San Vicente Place Shopping Center2530-2538 San Vicente Blvd Santa Monica 1,500 $8.00 NNN 6,074 9/1/13 Retail: Strip
3105 Wilshire Blvd Santa Monica 29,637 $6.00 NNN 43,196 8/1/13 Retail: Free - Standing
Third Street Promenade1322 3rd Street Promenade Santa Monica 6,381 $15.95 NNN 29,081 5/13/13 Retail: Store Front
212 26th St Santa Monica 1,100 $8.00 NNN 5,200 5/1/13 Retail: Store Front
Third Street Promenade1248 3rd St Santa Monica 7,250 $12.50 NNN 7,250 4/1/13 Retail: Free - Standing
1512 Montana Ave Santa Monica 1,411 $5.75 NNN 10,307 1/1/13 Retail: Store Front
Santa Monica Place395-315 Santa Monica Pl #GRND Santa Monica 7,500 $5.00 NNN 471,171 12/01/12 Retail: Store Front
1551 Ocean Ave #GRND Santa Monica 7,000 $6.15 NNN 16,940 11/01/12 Retail: Store Front
1541 Ocean Ave #GRND Santa Monica 10,000 $5.00 NNN 30,969 11/01/12 Retail: Store Front
Third Street Promenade213 Arizona Ave Santa Monica 1,800 $7.00 NNN 10,860 9/1/12 Retail: Store Front
1426 Montana Ave Santa Monica 1,517 $5.60 NNN 14,216 5/1/12 Retail: Store Front
2301 Wilshire Blvd Santa Monica 2,200 $8.00 NNN 2,200 9/1/15 Retail: Store Front
AVERAGE 6,116 $7.63*
Lease Comparables
*Average Rent: $7.63/SF/Month= $91.57/sf/year
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LAND SALES (DEVELOPMENT) Address City Sale Price Land Sq
Ft Land $/
Sq Ft Sale Date Notes
Wilshire & Barrington 11666 Wilshire Blvd. Los Angeles $7,500,000 20,969 $357.67 8/15/14 Planned Mixed-Use Development
UC Regents 1601 Wilshire Blvd. Santa Monica $6,870,000 15,000 $458.00 3/19/13 Planned Medical Development
Former Automotive 1124 Santa Monica Blvd. Santa Monica $6,250,000 17,500 $357.14 7/3/14 Planned Mixed-Use Development
Former Unical Gas Station 14th & Santa Monica Santa Monica $7,000,000 22,500 $311.11 6/4/13 Planned Automotive Dealership Development
Former Carwash 2300 Wilshire Blvd. Santa Monica $23,527,351 40,615 $579.28 8/19/15 Entitled for 60k SF, 3-story Development
Santa Monica & Purdue 11407 Santa Monica Blvd. Los Angeles $5,200,000 15,245 $341.10 8/19/14 Planned Mixed-Use Development
Average $9,391,225 21,972 $400.72
Sales Comparables
REPOSITION/VACANT SALES Address City Sale Price Land Sq
FtLand $/
Sq Ft Building
SF Building
$/SF Sale Date Notes
9647 Santa Monica Blvd. Beverly Hills $10,000,000 5,700 $1,754.39 5,700 $1,754.39 6/2/14 80% vacant; viewed as upside through lease-up
11752 San Vicente Blvd. Los Angeles $23,500,000 20,020 $1,173.83 12,000 $1,958.33 10/17/14 3.5% in-place cap rate with upside in rents
8831 Beverly Blvd. Los Angeles $14,200,000 11,000 $1,290.91 9,757 $1,455.37 9/10/14 Partial vacant storefront - repositioning play
Average $15,900,000 12,240 $1,406.37 9,152 $1,722.69
3032 WILSHIRE BLVD | SANTA MONICA PAGE: 13
3032 Wilshire Santa Monica, CA05-19-2015
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3032 Wilshire Santa Monica, CA05-19-2015
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N
SCALE 1/32” = 1’-0”
22 TANDEM(STANDARD)
16 COMP.
4 COMP.
25'-0
"
20'-0"
8'-6"
36'-0
"
15STND
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SCALE:REF: 1/32"=1'-0"
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37
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COMPACT
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ACCESSIBLE
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3032 Wilshire Santa Monica, CA05-19-2015
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N
SCALE 1/16” = 1’-0”
UP
UNIT 11ST FL. 3480 SF
UNIT 21ST FL. 3990 SF
TRASHENCL.
OUTDOORDINING600 SF
LOADING DOCK
25'-10"32'-4"
69'-6
"
85'-2"
16'-0
"
32'-11"
51'-1
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23'-1
1"
SCALE:REF: 1/16"=1'-0"
011ST FL PLAN - LAYOUT 1
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PARKING ANALYSIS
BANK
RESTAURANT
RATE STALLSUSE AREA
1/300 SF 123480
1/125 SF 475935
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Site Plans and Survey
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405 FWY
405 FWY
Santa Monica BLVD
BRENTWOOD
WESTWOOD
CENTURY CITY
SITEW
ilshire BLVD
Arizona A
ve
VA Greater Los Angeles Healthcare Center
University High School
UCLA
Santa MonicaWater Treatment
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BRENTWOOD10 FW
Y
SANTA MONICA
SANTA MONICA PIER
WILSH
IRE BLVD
SITE
VENICE
SAN
TA M
ON
ICA
BLV
D
SAINT JOHN’S HEALTH CENTER
COLO
RADO
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METRO LIN
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3RD STREET PROMENADE
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LocationThe Wilshire Boulevard corridor stretches from Centinela Avenue on the eastern edge of the City to Lincoln Boule-vard, where it becomes part of the Downtown District.
3032 Wilshire Santa Monica, CA05-19-2015
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Concept Renderings
3032 WILSHIRE BLVD | SANTA MONICA PAGE: 19
Area Overview
Santa Monica, California is a beachfront city in western Los Angeles County. The city is named after the Christian saint, Monica. Situated on Santa Monica Bay, the city is bordered on three sides by the city of Los Angeles -- Pacific Palisades on the north, Brentwood on the northeast, West Los Angeles and Mar Vista on the east and Venice on the southeast.
Partly because of its agreeable climate, Santa Monica had become a famed resort town by the early 20th century. The city has experienced a boom since the late 1980s through the revitalization of its downtown core and significant job growth and increased tourism. The Santa Monica Looff Hippodrome (carousel) is a National Historic Landmark. It sits on the Santa Monica Pier, which was built in 1909. The La Monica Ballroom on the pier was once the largest ballroom in the US and the source for many New Year’s Eve national network broadcasts. The Santa Monica Civic Auditorium was an important music venue for several decades and hosted the Academy Awards in the 1960s. McCabe’s Guitar Shop is still a leading acoustic performance space as well as retail outlet.
The city of Santa Monica Economic Development team is committed to promoting a sustainable and vibrant economy in Santa Monica. We foster partnerships to support businesses and community goals. We work to optimize the use of city-owned properties, in accordance with council guidelines. Our staff delivers programs and services to support local businesses, the city’s business improvement districts, Santa Monica Farmers Markets, and other efforts that help to enhance the quality of life in Santa Monica.
Santa Monica, CA
Santa Monica is home to many Hollywood celebrities and executives and is a mixture of affluent single-family neighborhoods, renters, surfers, professionals and students.
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Demographics ONE-MILE RADIUS THREE-MILE RADIUS FIVE-MILE RADIUS
POPU
LATI
ON
2015 ESTIMATED POPULATION 39,907 256,046 483,661
2020 PROJECTED POPULATION 41,467 266,157 502,029
2010 CENSUS POPULATION 38,604 247,105 467,767
2000 CENSUS POPULATION 37,103 234,878 449,647
GROWTH 2010-2015 3.38% 3.62% 3.40%
GROWTH 2015-2020 3.91% 3.95% 3.80%
2015 ESTIMATED MEDIAN AGE 39.23 37.73 38.98
2015 ESTIMATED AVERAGE AGE 41.54 40.34 40.87
HO
US
EHO
LDS
2015 ESTIMATED HOUSEHOLDS 20,092 119,794 225,314
2020 PROJECTED HOUSEHOLDS 20,948 124,812 234,303
2010 CENSUS HOUSEHOLDS 19,364 115,515 217,660
2000 CENSUS HOUSEHOLDS 19,219 112,088 211,687
GROWTH 2010-2015 3.76% 3.70% 3.52%
GROWTH 2015-2020 4.26% 4.19% 3.99%
2015 EST. AVERAGE HOUSEHOLD SIZE 1.96 2.01 2.07
INC
OM
E
2015 EST. MEDIAN HOUSEHOLD INCOME $73,493 $70,210 $70,665
2020 PRJ. MEDIAN HOUSEHOLD INCOME $75,294 $71,807 $72,250
2000 CEN. MEDIAN HOUSEHOLD INCOME $53,664 $53,276 $53,246
2015 EST. AVERAGE HOUSEHOLD INCOME $102,800 $107,042 $109,035
2015 ESTIMATED PER CAPITA INCOME $51,757 $50,081 $50,794
RA
CE
& O
RIG
IN
WHITE POPULATION 29,094 (72.90%) 180,415 (70.46%) 337,903 (69.86%)
BLACK POPULATION 1,150 (2.88%) 7,964 (3.11%) 17,966 (3.71%)
ASIAN POPULATION 5,033 (12.61%) 40,618 (15.86%) 68,815 (14.23%)
PACIFIC ISLANDER POPULATION 43 (0.11%) 330 (0.13%) 785 (0.16%)
AMERICAN INDIAN AND ALASKA NATIVE 114 (0.29%) 897 (0.35%) 2,048 (0.42%)
OTHER RACE POPULATION 2,269 (5.69%) 11,993 (4.68%) 30,773 (6.36%)
TWO OR MORE RACES POPULATION 2,204 (5.52%) 13,830 (5.40%) 25,373 (5.25%)
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City of Santa MonicaLand Use Designations
Disclaimer:This map of the City of Santa Monica has been provided for illustration purposes only. Every reasonable effort has been made to ensure the accuracy of the maps provided, however, some information may not be accurate. The City of Santa Monica ("City") provides this map on an "AS IS" basis. The City assumes no liability for damages arising from errors or omissions. THE MAPS ARE PROVIDED WITHOUT WARRANTY OF ANY KIND, either expressed or implied, including but not limited to, the implied warranties of merchantability and fitness for a particular purpose. Do not make any business decisions based on this map before validating your decision with the appropriate City office.
0 0.950.475
Miles P a c i f i c O c e a n
Land UseSingle Family HousingLow Density HousingMedium Density HousingHigh Density HousingMixed Use Boulevard LowMixed Use BoulevardGeneral CommercialNeighborhood CommercialBergamot Transit VillageMixed Use CreativeDowntown CoreIndustrial ConservationOffice CampusOceanfront DistrictHealth Care Mixed UseInstitutional/Public LandsParks and Open SpaceLUCE Districts
Bergamot Area PlanPPC (Pedestrian-Priority Corridor Overlay)RP (Ground Floor Retail Priority Overlay)BTV (Bergamot Transit Village)MUC (Mixed Use Creative)CCS (Conservation: Creative Sector)CAC (Conservation: Art Center)Expo Light Rail Line
Effective July 24, 2015
AIRPORT
The LUCE Land Use Designation Map illustrates the citywide distribution of land use designations. The other maps provided throughout the LUCE showing land use designations are primarily provided for orientation purposes. Where conflicts between maps exist, the citywide Land Use Designation Map shall govern.
ZONING OVERVIEW
3032 WILSHIRE BLVD | SANTA MONICA PAGE: 23
Wilshire Blvd
VisionWilshire Boulevard is Southern California’s grand street, connecting Downtown Santa Monica to Downtown Los Angeles.
The installation of a gateway feature on Wilshire Boulevard at the border of Santa Monica creates a distinct and elegant entryway into the City. Wilshire Boulevard is envisioned as a vibrant complete street with a continuous land-scaped center median, enhanced pedestrian sidewalks and crosswalks and effi-cient transit services coordinated with improved vehicle circulation. The boule-vard transitions over time from a vehicle-dominated, regional-serving commercial street to a transit/pedestrian priority boulevard lined with a mix of local-serving retail and residential uses. The ground floor includes retail and services catering to adjacent residential neighborhoods with attractive display windows along the length of the street. The upper levels will be devoted predominantly to a variety of affordable and market-rate housing types, stepped back from the face of the ground level stores to facilitate sun access to the sidewalk, provide privacy to the residential units and contribute to a sense of openness along the street. Trees, seating, comfortable sidewalks, safe and accessible crosswalks, and interesting shops and display windows will create a world-class pedestrian street environ-ment.
New transit shelters and state-of-the-art electronic information kiosks add to the streetscape while making the Big Blue Bus and Metro transit more convenient, inviting and pleasant to use. Enhanced pedestrian circulation in the adjacent neighborhoods and leading to Wilshire will facilitate access to boulevard shops, services, and the transit system. The transit system becomes more efficient and timely through the use of sophisticated signal timing, and if deemed necessary, through the use of dedicated travel lanes to further facilitate the transit service.
In cooperation with property owners, the City may over time create new shared parking facilities to provide parking consistent with the enhanced transit en-vironment, reduce vehicular traffic circulation, provide parking for adjacent under-parked neighborhoods and mitigate the intrusion of shoppers who seek parking in residential neighborhoods. The boulevard’s character is enhanced with community benefits in the form of gathering areas, open space, enhanced landscaping and affordable and workforce housing. These community ameni-ties contribute to the creation of a true sense of place, complete neighborhoods and a vibrant 17 hours per day/7 days per week boulevard scene.
The Mixed-Use Boulevard designation provides the framework for Wilshire Boulevard to transition over time from a predominantly regional-serving commer-cial street to a mixed-use street with retail to service a diversity of residential uses along the boulevard, as well as adjacent residential neighborhoods.
Current Conditions, Trends and Issues
Wilshire Boulevard is the primary gateway into Santa Monica. It enters the City with the character and traffic volume of a regional automobile ar-terial. The street width and lack of continuous urban form contribute to the dominance of the vehicle. The lack of sidewalk amenities and compelling stores and display windows combine with the predominantly auto-oriented office and regional retail uses to limit pedestrian activity to business hours.
Residential uses on the boulevard are limited. Small parcel size hinders the ability to provide adequate parking and results in multiple vehicle entranc-es on Wilshire Boulevard. The boulevard is a key regional transit corri-dor, served by Big Blue Bus, Metro Rapid and the potential future “Sub-way to the Sea,” but it currently lacks adequate transit support facilities.
Strategic Approach
Wilshire Boulevard’s Mixed-Use Boulevard designation is designed to encourage mixed-use development providing ground floor local-serving retail and predominantly residential uses on the upper levels. New buildings should include varied heights, and architectural elements and shapes to create visual interest.
Projects that provide community benefits that enhance the boulevard, such as shared parking, plazas, added green space or other neighborhood amenities, are given the opportunity to increase their development potential. Where limited parcel size impedes the redevelopment of a property, policies encourage joint-venture partnerships to facilitate shared parking.
ZONING OVERVIEW
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LocationMid-City is geographically defined by Washington Avenue to the north, Centinela Avenue to the east, Colorado Avenue (adjacent to the industrial areas) and Santa Monica Boulevard to the south and 5th Street to the west. The area to the east of this neighborhood connects central Santa Monica to the West Los Angeles area, while the area to the west is a dense urban area characterized by its wide variety of architectural styles.
Neighborhood CharacterThe Mid-City neighborhood is composed of two sub-areas: Mid-City East—an area defined by Wilshire Boulevard to the north, Centine-la Avenue to the east, Colorado Boulevard to the south and 25th Street to the west (including two small residential blocks of Berkeley and Franklin Streets)—and Central City which occupies land in the core of Santa Monica.
The residential component of the Mid-City neighborhood is made up of a large number of well maintained mid-20th century apart-ments. More recent 21st century contemporary Californian Span-ish-Mediterranean and modern design styles are also woven into the architectural fabric. A number of single family homes remain as well—there are California bungalows and duplexes sprinkled throughout the area.
Mid-City is intersected by three major boulevards (Broadway, Santa Monica Boulevard and Wilshire Boulevard), and has an array of neighborhood- and regional-serving businesses and amenities with-in a short walk of most homes. The commercial services not only provide the neighborhood with products and services, but they also offer an assortment of employment opportunities for area residents.A significant feature of Mid-City is Santa Monica’s medical indus-try, which is anchored by Santa Monica-UCLA Medical Center and Saint John’s Health Center. These large complexes draw thousands of workers and patients to their locations every day.
ZONING OVERVIEWMid-City
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Mid- City Neighborhood VisionThe Mid-City neighborhood continues to offer a range of housing types for a wide range of income levels. New or rehabilitated development is sensitive to the scale and mass of existing adjacent structures and with the surrounding neighborhood context. Com-mercial development on the boulevards transitions in height and intensity so as not to disrupt the residential character of the neigh-borhood. Residential neighborhoods adjacent to proposed districts benefit from additional conservation measures designed to protect the neighborhood quality of life. Mature trees and other forms of landscaping are preserved, and improvements to street lighting, sidewalks, parkways and other features enhance livability. Parking demand management programs are initiated to provide residents and businesses alike with sufficient resources.
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Low- Density HousingVision The scale and character of existing low-density residential neighbor-hoods that contain a mix of single family and low-density multi-family housing will be preserved and enhanced by employing the tools of a neighborhood conservation program. The program would promote poli-cies for the conservation and maintenance of existing housing resources, the rehabilitation of existing structures, and only allow new development that is of a scale and character consistent with the existing neighbor-hood. Additionally, new development will transition in mass and scale to adjacent structures in a way that protects the aesthetics and livability of the neighborhood. The City shall strive to ensure that open space, retail and commercial amenities are located within walking distance of the low-density neighborhoods.
Description This designation is applied to lower-density residential areas that are primarily low-density, and multi-family housing. The designation is de-signed to preserve and protect the existing character of the residential neighborhood. Typical uses include single family housing, duplexes and triplexes, townhouse style units, low-scale courtyard housing, institutional residential uses like child care homes, transitional housing or hospice facilities, and neighborhood-serving uses such as child care, neighbor-hood grocery stores and community facilities.
Low-Density Housing neighborhoods should be enhanced with streets-cape and pedestrian improvements, trees and landscaping, and buffers from the noise of nearby uses. Neighborhood-serving retail should be located close to these neighborhoods.
Development ParametersHeight and maximum allowable density for the Low-Density Housing designation are as follows:
• Maximum allowable height not to exceed 30 feet; except that parcels located north of the Pier and in the R2B District may have a maximum allowable height not to exceed 40 feet within a sight envelope as specified in the Zoning Ordinance.
• Maximum allowable density up to 29 units per net residential acre, exclusive of City and State density bonuses, consistent with the scale of existing development.
• One hundred percent affordable housing projects have a max-imum allowable density up to 29 units per net residential acre, exclusive of City and State density bonuses, with no limitations on the number of stories within the 30-foot height limit. One hundred percent affordable housing projects of 50 or fewer units will be processed ministerially.
• A project which preserves a City-designated landmark or struc-ture of merit in a portion of the R2 District which had historically been zoned R3 shall receive a 6-foot height bonus, allowing for an additional floor of housing.
ZONING OVERVIEWOverview
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Vision Areas designated as Mixed-Use Boulevard transform from underutilized and auto-oriented sections of the boulevards into vibrant, diverse and attractive pedestrian-friendly boulevards that support local-serving retail, spaces and a diversity of housing types. Mixed-use boulevards provide an environment to encourage affordable and workforce housing, step down in height and mass to adjacent residential neighborhoods, and accommodate a variety of local-serving uses.
Land Use Parameters The Mixed-Use Boulevard designation is applied to areas of boulevards that envisioned to transition from general commercial into higher-intensity mixed-use areas. Development should maximize human-scale elements and community benefits while providing a sensitive transition between these uses and surrounding neighborhoods.
At the ground floor, uses include local-serving retail uses, ground floor green open spaces such as small parks and plazas, ser-vice-oriented commercial uses with some small-scale office uses to serve local tenants. Above the first floor, affordable, workforce and market-rate housing is the predominant use. Exceptions are the south side of Wilshire Boulevard between Centinela Avenue and Stanford Street and within the Healthcare Mixed-Use District, where local-serving office and medical-related office is allowed. Existing automobile dealers shall be allowed to expand using the urban auto dealership format described in the Strategic Approach for 20th Street to Lincoln Bou-levard on Santa Monica Boulevard (Chapter 2.4 Boulevards), and in a manner that is compatible with the surrounding neighborhood. Auto dealers that do not expand are encouraged to upgrade their
dealerships into the urban auto dealership format, which contrib-utes to Santa Monica’s urban form with multi-story buildings built to the street and parking in structures at the rear or underground. For purposes of calculating FAR, below grade auto dealer facilities shall be excluded and rooftop parking/automobile storage shall be discounted by 50%. Auto dealerships may be authorized on the east side of Lincoln Boulevard between I-10 and Santa Monica Boulevard, if approved pursuant to a discretionary process.
Development ParametersHeight and Floor Area Ratio (FAR) with associated setback and step back standards for the Mixed-Use Boulevard designation are as follows:
100% Residential above the ground floorTIER 1 - BASE HEIGHT• The base height in the Mixed-Use Boulevard District is 32 feet
(2 stories) with a 1.5 FAR. A project will receive a 7-foot height bonus above the 32-foot base height, allowing for an additional floor of housing, by building the required affordable housing units in accordance with the percentage requirements specified in the City’s Affordable Housing Production Program for the proj-ect as a whole (see Figures 6 and 7). A Tier 1 project is minis-terial up to the discretionary review threshold established by the Zoning Ordinance.
TIER 2 - ABOVE BASE - WITH COMMUNITY BENEFITS• Subject to a discretionary review process, projects that provide
community benefits may request a height up to 50 feet and 2.25 FAR.
Mixed- Use Boulevard
ZONING OVERVIEW
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All Other ProjectsTIER 1 - BASE HEIGHT• The base height in the Mixed-Use Boulevard District is 32 feet
(2 stories) with a 1.5 FAR. A project will receive a 3-foot height bonus above the 32-foot base height, allowing for an additional floor of housing, by building the required affordable housing units in accordance with the percentage requirements specified in the City’s Affordable Housing Production Program for the proj-ect as a whole (see Figures 6 and 7). A Tier 1 project is minis-terial up to the discretionary review threshold established by the Zoning Ordinance.
TIER 2 - ABOVE BASE - WITH COMMUNITY BENEFITS• Subject to a discretionary review process, projects that provide
community benefits may request a height up to 45 feet and 2.25 FAR.
ZONING OVERVIEWMixed- Use Boulevard
Development ParametersHeight and Floor Area Ratio (FAR) with associated setback and step back standards for the Mixed-Use Boulevard designation are as follows:
100% Residential above the ground floorTIER 1 - BASE HEIGHT• The base height in the Mixed-Use Boulevard District is 32
feet (2 stories) with a 1.5 FAR. A project will receive a 7-foot height bonus above the 32-foot base height, allowing for an additional floor of housing, by building the required afford-able housing units in accordance with the percentage require-ments specified in the City’s Affordable Housing Production Program for the project as a whole (see Figures 6 and 7). A Tier 1 project is ministerial up to the discretionary review threshold established by the Zoning Ordinance.
TIER 2 - ABOVE BASE - WITH COMMUNITY BENEFITS• Subject to a discretionary review process, projects that pro-
vide community benefits may request a height up to 50 feet and 2.25 FAR.
*Source:www.smgov.net/departments/PCD
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ALL TIERS• One hundred percent affordable housing projects will continue
to be provided existing incentives, including: building height not to exceed the allowable maximum height limit at the highest tier, inclusive of any development bonus for affordable housing; reduced parking requirements; flexibility in providing a reduc-tion in required ground floor pedestrian-oriented uses, which may also include community services, arts, and similar uses, as applicable; and administrative review of affordable housing projects (up to a maximum of 80% of median income only) with 50 units or less.
• New or remodeled buildings on property adjacent to the bou-levard shall have a minimum façade height to ensure the visual definition of the boulevard’s open space, to be defined in the zoning ordinance. (see Figure 10)
• Maximum height of the building façade adjacent to the property line along the boulevard or the intersecting side street shall be defined in the zoning ordinance. (see Figures 8 and 9)
• One hundred percent affordable housing projects will continue to be provided existing incentives, including: building height not to exceed the allowable maximum height limit at the highest tier, inclusive of any development bonus for affordable housing; reduced parking requirements; flexibility in providing a reduction in required ground floor pedestrian-oriented uses, which may also include community services, arts, and similar uses, as applicable; and administrative review of affordable housing projects (up to a maximum of 80% of median income only) with 50 units or less.
ALL TIERS *CONTINUED• New or remodeled buildings on property adjacent to the boulevard shall
have a minimum façade height to ensure the visual definition of the bou-levard’s open space, to be defined in the zoning ordinance. (see Figure 10)
• Maximum height of the building façade adjacent to the property line along the boulevard or the intersecting side street shall be defined in the zoning ordinance. (see Figures 8 and 9)
• Above the maximum streetwall height, the building shall step back from the boulevard in a manner that will minimize the visual bulk of the overall building as viewed from the public sidewalks and roadway and ensure maximum light, air and sense of openness for the general public. Guide-lines or standards for the building mass above the streetwall shall be established in the zoning ordinance.(see Figures 8 and 9)
• Buildings that share a property line with a residentially-designated property are required to be setback at least 10 feet from the abutting residential property line. Further, to assure privacy and access to sunlight and air for the adjacent residential use, all new buildings and additions to existing buildings shall not project, except for permitted projections, beyond a building envelope commencing at 25 feet in height above the property line abutting the residential property or where there is an alley abutting the residentially-designated property, the centerline of the alley, and from that point, extending at a 45-degree angle from vertical towards the interior of the site.(see Figure 11)
• For any existing auto dealers that expand without using the urban auto dealership format, a discretionary process will be required.
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Affiliated Business DisclosureCBRE, Inc. operates within a global family of companies with many subsidiaries and/or related entities (each an “Affiliate”), engaging in a broad range of commercial real estate businesses including, but not limited to, brokerage services, property and facilities management, valuation, investment fund management, and development. At times different Affiliates may represent various clients with competing interests in the same transaction.
For example, this Memorandum may be received by our Affiliates, including CBRE Investors, Inc. or Trammel Crow Company. Those, or other, Affiliates may express an interest in the property described in this Memorandum (the “Property”) may submit an offer to purchase the Property and may be the successful bidder for the Property. You hereby acknowledge that possibility and agree that neither CBRE, Inc. nor any involved Affiliate will have any obligation to disclose to you the involvement of any Affiliate in the sale or purchase of the Property.
In all instances, however, CBRE, Inc. will act in the best interest of the client(s) it represents in the transaction described in this Memorandum and will not act in concert with or otherwise conduct its business in a way that benefits any Affiliate to the detriment of any other offeror or prospective offeror, but rather will conduct its business in a manner consistent with the law and any fiduciary duties owed to the client(s) it represents in the transaction described in this Memorandum.
Confidentiality AgreementThis is a confidential Memorandum intended solely for your limited use and benefit in determining whether you desire to express further interest in the acquisition of the Property. This Memorandum contains selected information pertaining to the Property and does not purport to be a representation of the state of affairs of the Property or the owner of the Property (the “Owner”), to be all-inclusive or to contain all or part of the information which prospective investors may require to evaluate a purchase of real property. All financial projections and information are provided for general reference purposes only and are based on assumptions relating to the general economy, market conditions, competition and other factors beyond the control of the Owner and CBRE, Inc. Therefore, all projections, assumptions and other information provided and made herein are subject to material variation. All references to acreages, square footages, and other measurements are approximations. Additional information and an opportunity to inspect the Property will be made available to interested and qualified prospective purchasers. In this Memorandum, certain documents, including leases and other materials, are described in summary form. These summaries do not purport to be complete nor necessarily accurate descriptions of the full agreements referenced. Interested parties are expected to review all such summaries and other documents of whatever nature independently and not rely on the contents of this Memorandum in any manner. Neither the Owner or CBRE, Inc., nor any of their respective directors, officers, Affiliates, or representatives make any representation or warranty, expressed or implied, as to the accuracy or completeness of this Memorandum or any of its contents, and no legal commitment or obligation shall arise by reason of your receipt of this Memorandum or use of its contents; and you are to rely solely on your investigations and inspections of the Property in evaluating a possible purchase of the real property.The Owner expressly reserved the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property, and/or to terminate discussions with any entity at any time with or without notice which may arise as a result of review of this Memorandum or making an offer to purchase the Property unless and until written agreement(s) for the purchase of the Property have been fully executed, delivered, and approved by the Owner and any conditions to the Owner’s obligations therein have been satisfied or waived.By receipt of this Memorandum, you agree that this Memorandum and its contents are of a confidential nature, that you will hold and treat it in the strictest confidence, and that you will not disclose this Memorandum or any of its contents to any other entity without the prior written authorization of the Owner or CBRE, Inc. You also agree that you will not use this Memorandum or any of its contents in any manner detrimental to the interest of the Owner or CBRE, Inc. If, after reviewing this Memorandum, you have no further interest in purchasing the Property, kindly return this Memorandum to CBRE, Inc.DISCLAIMER©2015 CBRE, Inc. The information contained in this document has been obtained from sources believed reliable. While CBRE, Inc. does not doubt its accuracy, CBRE, Inc. has not verified it and makes no guarantee, warranty, or representation about it. It is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this transaction to you depends on tax and other factors which should be evaluated by your tax, financial, and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs. CBRE and the CBRE logo are service marks of CBRE Inc. and/or its affiliated or related companies in the United States and other countries. All other marks displayed on this document are the property of their respective owners. 2/13 PMC0004481
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CBRE © 2015 All Rights Reserved. All information included in this proposal pertaining to CBRE including but not limited to its operations, employees, technology and clients are proprietary and confidential, and are supplied with the understanding that they will be held in confidence and not disclosed to third parties without the prior written consent of CBRE. This letter/proposal is intended solely as a preliminary expression of general intentions and is to be used for discussion purposes only. The parties intend that neither shall have any contractual obligations to the other with respect to the matters referred herein unless and until a definitive agreement has been fully executed and delivered by the parties. The parties agree that this letter/proposal is not intended to create any agreement or obligation by either party to negotiate a definitive lease/purchase and sale agreement and imposes no duty whatsoever on either party to continue negotiations, including without limitation any obligation to negotiate in good faith or in any way other than at arm’s length. Prior to delivery of a definitive executed agreement, and without any liability to the other party, either party may (1) propose different terms from those summarized herein, (2) enter into negotiations with other parties and/or (3) unilaterally terminate all negotiations with the other party hereto.
This information has been obtained from sources believed reliable. We have not verified it and make no guarantee, warranty or representation about it. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs.
EXCLUSIVELY LISTED BYALEX KOZAKOV First Vice President+1 213 613 3031Lic. [email protected]
PATRICK WADE First Vice President+1 213 613 3071Lic. [email protected]