Two new Los Angeles apartment towers in the city's Historic Core are the latest signs that the multifamily boom in the downtown of the nation's second-largest city is spreading farther from the South Park concert district, where that type of construction has been concentrated for years.
The 24-story towers known as the Grace on Spring and the Griffin on Spring, which house a total of 575 units, opened on Spring Street near Seventh Street last week. They join a neighborhood that was considered the center of the city just before World War II and that has buildings that date back to before World War I.
Developed by Holland Partner Group, the new buildings have studios, one-, two- and three-bedroom apartments. The Griffin on Spring, at 755 Spring St. has 275 units with 9,000 square feet of retail on the ground floor while The Grace on Spring, at 732 South Spring St., has 300 units above 7,500 square feet of retail on the ground floor.
Steve Basham, a market analyst covering the Southern California region with CoStar Market Analytics, said that both towers are part of a “huge wave of new projects that have opened up in downtown over the past six months or so.”
Even so, he adds, most of the new developments that have been completed in recent years have been in South Park. That area experienced rapid growth following the development of the Staples Center arena and adjoining L.A. Live entertainment and retail district, which has drawn thousands of visitors, workers and residents over the years.
But the larger renaissance of downtown Los Angeles over the past decade has brought interest and investment into the broader neighborhood, reaching as far as the Arts District and the Grand Avenue area. With more shops and restaurants moving in, the residential population has been growing as well. Developers like Holland are taking bigger bets on building apartments in other parts of downtown now.
“I think they show an incredible commitment and investment to downtown living,” Hal Bastian, president at downtown revitalization consulting firm Hal Bastian Inc. and one of the architects of the downtown renaissance, said of the developer.
Matthew McLarand, president and director of design at architectural firm MVE + Partners, which designed both properties on Spring Street, said in a statement that “MVE + Partners’ vision for the Spring Street towers was driven by the rich history and vibrancy of Spring Street’s Fashion District and Historic Core neighborhoods.”
He said the project fits with the stores and restaurants emerging in the immediate area.
The buildings also have rooftop lounges, a fitness center, conference rooms and a business center and swimming pool with an entertainment lounge.
Bastian also pointed out how the pedestrian level of the Griffin on Spring gives a nod to the street's historic style. He can recall when Spring Street was empty 20 years ago.
“I still have to pinch myself when I walk down Spring Street at nine o’clock at night,” Bastian said. “There are hundreds of people.”
Average monthly rents downtown reached $2,500 a month last year for the very first time, according to CoStar Market Analytics. The rents at the Grace on Spring range from $2,245 to $9,630. Rents at the Griffin on Spring range from $2,310 to $9,995.
More than 12,000 new multifamily units have been completed in downtown since the beginning of 2014, according to CoStar Market Analytics. An additional 2,100 units are now under construction, and more than 1,000 are proposed.
