The Ratkovich Company Acquires Downtown Los Angeles' Macy's Plaza; Announces Plans For $160 Million Renovation Transformation of 1.8 million square foot landmark to create the largest single asset mixed-use property in the city of Los Angeles
LOS ANGELES, June 6, 2013 /PRNewswire/ -- Los Angeles-based developer The Ratkovich Company, in partnership with National Real Estate Advisors and Blue Vista Capital Management, announced today the purchase of Macy's Plaza in Downtown Los Angeles. Comprised of 1.8 million square feet of retail, office and hospitality space, Macy's Plaza inhabits the full city block bounded by 7th, 8th, Hope and Flower Streets. After undergoing a $160 million renovation, the existing structures and plaza will be renamed The Bloc. Construction is expected to begin in the first quarter of 2014 and is anticipated to be completed by the third quarter of 2015.
Central to the revitalization of the historic 7th Street retail corridor, The Bloc will be the largest single asset mixed-use property in the city of Los Angeles. Anchored by Macy's, more than 400,000 square feet of outdoor retail space will provide a curated experience of local boutiques, artisans, premier retailers and restaurants. The 700,000-square-foot luxury office tower and 485-room Sheraton Hotel will be completely renovated to become a premium shopping, dining, business and leisure destination.
The Bloc will be LEED (Leadership in Energy and Environmental Design) certified and will be the first Delos WELL Building Project in Los Angeles. The WELL Building Standard outlines an aggressive and achievable guideline for limiting pollutants, toxins and other environmental conditions that pose immediate and long-term threats to public health.
"Our vision for The Bloc is for it to become the destination in the heart of Downtown Los Angeles; a truly unique urban experience for residents, visitors and workers," said Wayne Ratkovich, founder and president of The Ratkovich Company. "As a cornerstone of the ongoing revitalization of our city's center, The Bloc is continuing our commitment to profitably produce developments that improve the quality of urban life for years to come."
The Bloc is the latest project in the evolution of Downtown Los Angeles, which will create a positive economic impact for the public.
"It's great to see that The Ratkovich Company will be spearheading significant improvements for the Macy's in Downtown. They are a champion for great development and understand what we're trying to do to continue the revitalization of Downtown," said Councilman José Huizar, District 14, Los Angeles. "Seventh & Flower is one of the most active intersections in the city – a key passageway for residents, workers and tourists. In a few more years, this will also be a hub for the Downtown L.A. Streetcar that will help connect this area to the many other destinations in Downtown. We're happy to have Wayne and his company on board for all these efforts and look forward to making great things happen together."
The design team working on The Bloc has been led by Johnson Fain, known worldwide for its award-winning work in commercial, residential, institutional and hospitality properties. The retail is being designed by Studio 111 and McCartan is spearheading the interior design of the Sheraton Hotel. EPT Design is responsible for all landscape and streetscape design and Selbert Perkins Design is the signage designer.
CB Richard Ellis (CBRE) brokers Jeff Pion, Deron White and John Zanetos are representing The Ratkovich Company on the office tenant side; Scott Kaplan, Richard Rizika, Erik Westedt, Mitchell Hernandez and Katherine Wilson are representing the retail tenant side. Dick Schnell of Colliers International represented the buyer in the acquisition.
About The Bloc
Originally built in 1973, Macy's Plaza was designed by architect Charles Luckman whose vision for the property was to be a "wonderfully human environment, where people can work, sleep, shop and eat, all in one exciting urban center." That vision remains as The Ratkovich Company works to revitalize the property into a thriving, vibrant, pedestrian-friendly cityscape where Angelenos and visitors alike can work, sleep, shop, eat and dream – a modern day Agora. For more information, please visit: www.theblocdowntown.com.
About The Ratkovich Company
The Ratkovich Company is a Los Angeles development company that engages in both new development and the imaginative reuse of existing buildings. The company has completed, or has under development, more than 16 million square feet of office, retail and industrial properties in Los Angeles County. The company is completing the repositioning and development of The Alhambra, a 45-acre mixed-use urban community in the city of Alhambra. The Ratkovich Company is currently redeveloping The Hercules Campus at Playa Vista, a landmark property comprised of 11 historic buildings, including the hangar where Howard Hughes' legendary Spruce Goose was built. The Hercules Campus includes 537,130 square feet of building space on over 1.2 million square feet of land. The company has won numerous awards for its restoration of historic landmarks, including the art deco Wiltern Theatre and adjacent Pellissier building, the iconic 31-story 5900 Wilshire in Miracle Mile, Chapman Market, and the city of Glendale's Alex Theatre. The James Oviatt and Fine Arts buildings were also both awarded national landmark status after successful renovations by The Ratkovich Company. For more information, visit http://www.ratkovich.net.
About National Real Estate Advisors
National Real Estate Advisors LLC (NREA) manages its comingled investment fund to serve as the primary real estate investment vehicle for institutional investors related to the unionized electrical industry, as well as other institutional investors. NREA is wholly-owned by the National Electrical Benefit Fund (NEBF) which is one of the largest Taft-Hartley pension funds in the country with more than $10 billion in assets. NREA currently manages more than $1.7 billion in real estate assets, invested nationwide in property with a current value exceeding $5.0 billion. For more information, please visit: www.natadvisors.com.
About Sheraton Hotels & Resorts
Sheraton helps guests make connections at more than 400 hotels in nearly 70 countries around the world and recently completed a $6 billion global revitalization and is now in the midst of an $8 billion global expansion over the next three years. Sheraton is owned by and is the largest and most global brand of Starwood Hotels & Resorts Worldwide, Inc., one of the leading hotel and leisure companies in the world with 1,146 properties in nearly 100 countries and 171,000 employees at its owned and managed properties. Starwood is a fully integrated owner, operator and franchisor of hotels, resorts and residences with the following internationally renowned brands: St. Regis®, The Luxury Collection®, W®, Westin®, Le Méridien®, Sheraton®, Four Points® by Sheraton, Aloft®, and Element®. The Company boasts one of the industry's leading loyalty programs, Starwood Preferred Guest (SPG), allowing members to earn and redeem points for room stays, room upgrades and flights, with no blackout dates. Starwood also owns Starwood Vacation Ownership, Inc., a premier provider of world-class vacation experiences through villa-style resorts and privileged access to Starwood brands. For more information, please visit www.starwoodhotels.com.
Spring Harris| Edelman for The Ratkovich Company| P: 323-761-6599| E: email@example.com
SOURCE The Ratkovich Company