Complex to tempt LA homebuyers

A showpiece Chinese-backed building project is taking shape in central Los Angeles, with construction having continued during the height of the pandemic even as surrounding offices and art galleries shut down.

The project, called the Grand, comprises apartment towers, highend shops, restaurants, movie theaters and a luxury hotel on a full city block.

It is being developed by New York-based Related Cos with its partner Core USA, a joint venture of China Harbour Engineering Co and CCCG Overseas Real Estate.

CCCG Overseas is a subsidiary of China Communications Construction Group, one of China's largest State-owned companies.

With a $290 million investment from Core USA, Related Cos obtained enough financing to start construction of the project in late 2018 after years of delays.

Although the coronavirus pandemic has caused uncertainties in the housing market, industry experts said the complex will appeal to homeseekers, especially the young, keen to embrace the urban lifestyle.

"Mixed-use projects like the Grand are designed in a way that affords individuals the kind of outdoor space and amenities people are looking for during this pandemic," said Kevin Dees, director of the estates division at The Agency, a California-based luxury real estate brokerage.

Open terraces

"Combine this with the active lifestyle Los Angeles is all about, it is clear why people are fleeing other locations around the country and coming to this city."

The shops and restaurants will be spread throughout a series of landscaped open terraces, along with the cinema complex boasting about 430 seats. The Equinox hotel will have 309 rooms and a 39-story residential tower with more than 400 luxury apartments, of which 20 percent will be affordable-rate residences, according to Related California.

The 20-story Equinox hotel is on pace to top out by the end of the year, and the apartment tower is expected to reach its peak height in early 2021.

The project has reached the halfway mark after construction carried on unobtrusively during the pandemic. The entire complex will be completed by early 2022, Rick Vogel, Related Cos' senior vice-president who is overseeing the project, told the Los Angeles Times.

According to the developer, the Grand will feature technologies to help reduce the spread of the coronavirus. The goal is to make public spaces at the Grand "touchless, frictionless and cashless", Vogel said, and the indoor air at the hotel should be "surgical suite quality".

The technologies would help limit visitors' need to touch surfaces they would rather not handle, such as door pulls, elevator buttons and credit card readers.

Chinese investment still plays a role in the future of the residential housing market, Dees said.

"While not at the same level as 2018 or 2019, investment in Los Angeles residential real estate by affluent Chinese buyers remains robust," he said.