$85,000,000 Construction Financing Secured for Multifamily Property in Beverly Hills, CA

Cathay Bank provided $85 million in construction financing for a 140-unit multifamily redevelopment at 55 N. La Cienega Blvd. in Beverly Hills, according to industry reporting. The four-year loan was sized to 65 percent of total project cost, which comes in at roughly $130.8 million. Westland Development Group is the sponsor.

The project replaces a vacant 13,500 square foot restaurant building dating to 1947 on a site Westland has controlled since 2014. Plans call for a six-story, 297,771 square foot community with 13,303 square feet of ground-floor retail, a rooftop deck with a swimming pool, a theater, conference facilities, and a bar and restaurant. The unit count grew from an original 105 to 140 through stacked density bonuses, with 22 units set aside as income restricted. Once complete, the property is positioned to be the largest residential building in the city of Beverly Hills.

The deal is a meaningful signal for Los Angeles construction lending. A bank providing 65 percent of cost on a large luxury infill project suggests balance sheet lenders remain open for business on well-located, entitled Westside multifamily, even as the metro pipeline holds above 26,000 units under construction. For sponsors with entitled sites, bank construction money at this leverage remains achievable when the location and basis support it.