• Wed. Apr 24th, 2024

Here’s How LA’s Newest Apartment Skyscraper Helps Shift Focus of City’s Downtown

Bynewsmagzines

Jun 20, 2023
The Beaudry multifamily project in downtown Los Angeles stands a little taller than 600 feet. (Brookfield)

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The changing face of downtown Los Angeles real estate isn’t focused on offices, desks and conference rooms. The latest luxury building has apartments and features a bocce court, indoor driving range, smartphone-controlled elevators and a Botox room.

The tower in the financial district sandwiched between two office skyscrapers, including one in receivership, is the Beaudry at 960 W. 7th St. At more than 600 feet high, it’s the tallest multifamily building to rise this year in America’s second-biggest city and its opening this spring marks the latest part of a push to transform the downtown from office mecca to luxury residential neighborhood.

The Beaudry joins more than 20,000 apartment units that have kicked off construction downtown since 2013, and the area now hosts more multifamily construction than anywhere else in greater L.A., according to CoStar data. After the Beaudry’s construction, there are now 446 existing apartment properties in downtown Los Angeles, compared with 463 office properties.

What’s coming next shows an even bigger bet on multifamily compared to office: there are 70 apartment properties under construction or proposed in downtown L.A. compared to 15 office properties, the data shows.

The bet on residential appears to have had some success for Beaudry as evidenced by the moving trucks parked around the building and the new residents milling about.

“We’ve seen strong interest since launching with continued steady leasing,” Ricardo Green, adviser of public relations for Brookfield, said in an email. Green didn’t say how many leases have been signed so far at Beaudry.

The bet on apartments carries risks that residents won’t want to live in an area that has been home to some underused office buildings. The perception of downtown by some as a neighborhood with crime and a lack of foot traffic can also provide some headwinds to marketing a luxury rental.

Even so, the Beaudry’s first residents will notice the building is a stark departure from the office high-rises nearby. Gone are the granite and rose marble interiors of the neighboring workspaces with Beaudry’s lobby featuring stone flooring, walnut walls and a sculptural travertine reception desk. Gone, too, are the elevator buttons at the nearby office towers with the new apartment building offering a touchless lift using a smartphone app.

The luxury living comes at a cost for renters: the average apartment is marketed for $4,237 per month, according to CoStar data. That’s well above the downtown Los Angeles multifamily market average of $2,770.

The lobby inside Beaudry has a resort-like feel with a large concierge desk. (Brookfield)

Beaudry’s price, though, comes with upscale perks. The gym for tenants, along with the weights and stair climber, features floor-to-ceiling windows overlooking the downtown. There’s also the space the building staff calls the Botox room, a private area with a table inside where residents can get injections and have other wellness work done. And the apartment management is working with a mobile masseur.

For residents working from home, the building has a coworking space with small conference rooms and HDMI ports. Nearby, Beaudry has an outdoor pet play area and a lounge with an indoor and outdoor deck featuring a kitchen with an oven, refrigerator and freezer.

There’s also a game room that has a pool table, Pac-Man and a golf simulator. The latter lets users play a simulated round, swinging a golf club at a real ball toward a screen. A computer then tracks the shot as it travels across a golf course. The game offers sounds like birds chirping to give a feel of what it’s like on the course.

Beaudry’s rooftop lounge features a piano along with indoor and outdoor space. (Brookfield)

Beyond simulated golf, Beaudry has an actual putting green along with a bocce ball court, poker game room, a pool and cabanas. On the 57th floor, the apartment features a rooftop lounge with a grand piano, catering kitchen and outdoor terrace. The lounge has views of the Hollywood sign and the ocean.

Beaudry marks a new bet for Brookfield DTLA, the building’s owner, after its investment in the two office buildings on the same block backfired in recent months. Brookfield DTLA defaulted on the loan related to its 777 Tower earlier this year, and its 41-story EY Plaza 725 S Figueroa St. fell into receivership in May.

Real estate analysts have been debating whether demand for office buildings will rebound and complement the growing demand for residential downtown.

Hal Bastian, a longtime real estate executive who has advocated for more apartment construction downtown, said office properties will stick around downtown but there will be less of it. Downtown office space has been through tough periods before and come back.

However, Bastian said apartments will continue to be in vogue for years to come in downtown L.A.

“Notwithstanding our challenges, we continue to hit high rental numbers,” Bastian said.

While the future of office workers around the block remains unclear, more apartment dwellers are expected to arrive in the neighborhood in the months ahead beyond those already living at Beaudry.

Across the street, 438-unit multifamily property Figueroa Eight is wrapping up construction. The building’s owner plans to start preleasing units this summer.

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