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n Orange County-based multifamily investor recently acquired a bargain property from a Chicago-based company looking to exit the inner-city Los Angeles market. The property in question is the Canvas LA apartment building located at 138 North Beaudry Avenue in the Temple-Beaudry district, just west of Downtown Los Angeles. The building consists of 210 units and was purchased by Advanced Real Estate in Irvine for $62 million, which translates to $295,000 per unit. This price represents a significant discount compared to the average price of new multifamily developments in the city.

    The seller, Magnolia Capital, a Chicago-based company, originally purchased the property for $88.3 million in 2018, which equates to $395,000 per unit. The firm has been facing challenges in its home market lately. Advanced Real Estate CEO Richard Julian believes that the property is a rare find, stating that it is difficult to find such a well-built, podium property for under $300,000 per unit. He did not provide specific details about the planned renovations for the property.

    Advanced Real Estate secured a $40 million loan from Freddie Mac to finance the deal. The company's portfolio consists of approximately 12,000 multifamily units spread throughout Southern California. Earlier this year, Advanced Real Estate also purchased a 714-unit apartment complex in Costa Mesa, Orange County, from Camden Property Trust for $234 million, which translates to $328,000 per unit.