Los Angeles – DJM, a San Jose-based private equity real estate and development firm, and Gaw Capital USA, a Hong Kong and Los Angeles-based real estate private equity firm, announced ownership of Hollywood & Highland, one of the country’s busiest and most acclaimed shopping centers.
DJM and Gaw Capital have acquired the 463,000sf shopping destination for an undisclosed amount. Natixis financing team led by Jerry Tang and Greg Murphy provided the financing package which included acquisition loan along with the future funding component.
DJM and Gaw Capital formed a partnership playing to their respective strengths: Gaw Capital’s strength in capital markets and successful repositioning of assets around the world, and DJM’s deep understanding of the Los Angeles market, experiential retail and development. Advised by Eastdil Secured, Hollywood & Highland is the largest single-asset retail transaction to take place outside of Manhattan in nearly three years.
Together, the partners plan to reimagine the 7.6-acre site over the next 24 to 30 months. Built in 2001, the project sits at the crossroads of Hollywood Boulevard and Highland Avenue, and adjacent to the acclaimed TCL Chinese Theater.
Drawn to this covetable location and high-traffic volume, the team will upgrade the retail hub and focus on rebranding, upgrading common areas with an eye to creating more desirable gathering and programming spaces, ramping up entertainment events, optimizing the merchandise mix and incorporating new concepts and uses that bring excitement to retailers, visitors and other tenants at the property.
Renovations are slated to begin in 2020, with completion expected in 2021.