Mack Urban and AECOM Capital, the investment fund of AECOM Technology
Corporation (NYSE:ACM), announced today the acquisition of six acres of
land in downtown Los Angeles’ South Park district located in the central
business district (CBD).
Valued at more than $80 million, this transaction is the largest land
acquisition, by acreage, in the CBD since before the U.S. economic
recession began during 2008, noted Paul Keller, CEO of Mack Urban. The
seller was EVOQ Properties.
“Mack Urban is building a portfolio of class A, institutional quality,
highly amenitized multifamily residential developments in West Coast
gateway cities. This acquisition of land in L.A.’s South Park is a major
component of our plan,” said Richard Mack, CEO of Mack Real Estate
Group. “Just as importantly, Mack Urban and AECOM believe that these
buildings will provide a special investment offering for institutional
investors, who are looking for long-term class A multifamily ownership
opportunities in select West Coast urban markets. We are pleased that
AECOM shares our vision, and we hope that this will be the first of many
partnerships.”
John T. Livingston, chief executive of AECOM Capital, cited the ability
of AECOM’s team to co-develop, invest in, and provide construction and
design-related services for the development as one of the many ways that
AECOM connects to its partners and clients with an integrated delivery
approach. “We are excited to play such an innovative role in the
development of this area of South Park, and to create a unique downtown
community environment,” said Livingston.
“The project is expected to comprise multiple buildings and offer modern
high-rise living with phenomenal views,” commented Keller, explaining
that these apartments are expected to attract both young people as well
as established professionals looking for an urban lifestyle and breath
taking views in a desirable, walkable neighborhood. The studios are
ideal for the suburban commuter who desires a landing pad during the
workweek, he added.
The project is currently in the planning and design phase, and is being
prepared for the entitlement process, with the initial groundbreaking
expected in late 2014 and completion of final phases slated for 2024.
South Park ranks among the downtown area’s premier residential
neighborhoods commanding top rents for new apartments and the most
comprehensive set of lifestyle amenities, according to a recent RCLCO
report. The immediate neighborhood encompasses 32 square blocks of
residential properties and includes the most dynamic retail and
entertainment venues in downtown, including the Staples Center and L.A.
Live. The location of the new Mack Urban/AECOM Capital project is within
a short walk of these amenities and adjacent to the Metro Pico Station.
Designed by the Los Angeles architectural firm, AC Martin Partners, this
development’s ultra-sleek vertical towers will add a new dimension to
the downtown Los Angeles skyline. The project will reflect the
high-quality, best-in-class, multi-generation historical successes that
are part of both Mack Urban and AECOM Capital, said Matt Burton, Mack
Urban President/CIO.
Tishman Construction Corporation, a wholly owned subsidiary of AECOM,
will be the construction manager of the project. Dan McQuade, chief
executive of AECOM’s construction services business, noted, “We look
forward to contributing to the continued revitalization of Downtown Los
Angeles and building our first project for Mack Urban.”
About Mack Urban
Mack Urban is a premier West Coast real estate investment and
development firm that owns, builds and manages environmentally
sensitive, urban infill projects designed to preserve neighborhood
character and strengthen communities. The firm focuses on long-term
holdings, with investments in diverse asset classes including
transit-oriented development, high-rise residential, mixed-use
multifamily, adaptive reuse, and student and senior housing.
About Mack Real Estate Group
Mack Real Estate Group (MREG), founded by William, Richard, and
Stephen Mack, is an enterprise devoted to managing the Mack Family’s
capital, institutional capital, and high net worth capital through
direct and partnership investments in real property and related
securities. MREG brings together the expertise to recognize and
analyze new real estate opportunities with the necessary speed and
flexibility to maximize them, while retaining the ability to hold assets
long-term and maintain hands-on management. MREG currently
specializes in domestic and international real estate investment,
development and financing opportunities. Currently, the company
directly owns and manages approximately 6 million square feet of
commercial real estate and real estate developments, and holds
partnership interests in entities controlling in excess of 60 million
square feet. Additionally MREG is the majority owner of Winthrop
Property Management, which provides third-party property and
construction management services to approximately 11,000 multifamily
units and 10 million square feet of commercial buildings.
About AECOM Capital
With offices in New York City and Los Angeles, AECOM Capital was
established in early 2013 with a focus on direct investments in real
estate projects and public-private partnerships. AECOM Capital is a
semi-open-ended fund with an initial funding from AECOM Technology
Corporation of $150 million in AECOM Capital Global Fund I. In the first
nine months of operation, AECOM Capital has closed on/or is in contract
for approximately $1.0 billion, or 2.6 million gross square feet, of
ground-up real estate development projects.
About Tishman Construction Corporation
Tishman Construction Corporation, a wholly owned subsidiary of AECOM
founded in 1898, is a global provider of construction-related services,
headquartered in New York City, with offices throughout the United
States, the Middle East and Eastern Europe. Tishman is well known as the
construction manager of Towers 1, 3, 4 and 7 at the World Trade Center;
CityCenter in Las Vegas, the largest project ever built at one time in
the United States; Epcot Center in Orlando; the John Hancock Tower in
Chicago; and for building in excess of 450 million square feet of space
in its lifetime. Daniel R. Tishman, representing the fourth generation
of the family business, serves as the chairman and CEO of Tishman and
vice chairman of AECOM.
About AECOM
AECOM is a global provider of professional technical and management
support services to a broad range of markets, including transportation,
facilities, environmental, energy, water and government. With
approximately 45,000 employees around the world, AECOM is a leader in
all of the key markets that it serves. AECOM provides a blend of global
reach, local knowledge, innovation and technical excellence in
delivering solutions that create, enhance and sustain the world's built,
natural, and social environments. A Fortune 500 company, AECOM
serves clients in more than 140 countries and had revenue of
$8.2 billion during the 12 months ended June 30, 2013. More information
on AECOM and its services can be found at www.aecom.com.
Forward-Looking Statements: All statements in this press release other
than statements of historical fact are "forward-looking statements" for
purposes of federal and state securities laws, including any statements
of plans for future operations, anticipated operating results,
anticipated financial performance, consumer demand and confidence and
market and industry trends. Actual results could differ materially from
those projected or assumed in any of the forward-looking statements.
Important factors that could cause actual results to differ materially
from the forward-looking statements include, among others: local,
regional, national and international economic conditions; fluctuating
consumer demand and confidence; interest and unemployment rates; changes
in sales and rental conditions; the impact of construction defect,
product liability and home warranty claims; the ability of the
participants in various joint ventures to honor their commitments; the
availability and cost of labor and building and construction materials;
the cost of raw materials; construction delays; and weather conditions.
A more detailed discussion of these factors is set forth in AECOM’s most
recent annual reports on Form 10-K, quarterly reports on Form 10-Q and
other reports filed with the U.S. Securities and Exchange Commission.
Mack Urban and AECOM do not intend, and undertake no obligation, to
update any forward-looking statement.
Copyright Business Wire 2013