2027 N Highland Ave - 2025/2027 N. Highland Ave

Property Overview: * The two parcels at 2025 and 2027 N. Highland Avenue represent a unique opportunity to redevelop within the heart of Los Angeles. Located just south of the Hollywood Bowl, the property is strategically positioned near public transit, offering significant upside for developers through density bonuses and incentive programs. The property spans 125,660 square feet combined (approximately 2.9 acres) and holds two zoning designations ([Q]R4-1VL and R2-1XL), which allow for different residential and commercial developments. Development Potential: * The site offers substantial potential through Los Angeles' incentive programs, including TOC Tier 3, Affordable Housing Density Bonus Program (50% Density Bonus), and the latest state law AB 1287, which allows for an 88.75%-100% "stackable" density bonus project in the City of Los Angeles.  * 2025 Highland can accommodate up to 72 units, while 2027 Highland offers the potential for the construction of a sizable second single-family residence and two detached ADUs, making it ideal for a luxury personal estate. This makes the property attractive for both high-density multifamily projects and premium residential developments. Creative Development Opportunities: * This property is well-suited for a visionary developer looking to create a one-of-a-kind project. The Hollywood area has seen rising demand for multifamily housing, hospitality, senior living, and even production/music schools. The estate-like amenities, such as an amphitheater, trails, and gardens, could easily be integrated into a luxury multifamily, hotel, or senior living project, adding significant value. Historic Buildings & Creative Uses: * The existing historic buildings on-site are designated Historic-Cultural Monuments and must be preserved, but they present an opportunity to be repurposed as amenity spaces or potentially a private club. A discretionary request would be needed for hotel or private club use, and given the site’s proximity to iconic Los Angeles landmarks like the Hollywood Bowl, Greek Theatre, and Magic Castle, it is an ideal candidate for high-end, creative redevelopment. Key Zoning and Development Details: * 2025 N. Highland: Zoned [Q]R4-1VL, with the potential for up to 72 units under TOC and AB 1287 incentives. * 2027 N. Highland: Zoned R2-1XL, allowing for two units by right, with additional opportunities for a second residence, in addition to the existing single-family residence, and two detached ADUs. * Development Incentives: TOC Tier 3, LA's Density Bonus Program, and AB 1287 bonuses enable significant flexibility with height and setbacks, allowing for a high-density, premium development.  Strategic Considerations: * Developers can explore multiple options, from luxury multifamily projects to boutique hotels or senior living facilities.  * 2027 Highland could be developed as a luxury personal estate or integrated with 2025 Highland to maximize overall density. The existing historic buildings add value as potential amenity spaces, offering premium appeal for prospective residents or visitors. Hollywood Real Estate Market & Hospitality Sector: * Hollywood has experienced a surge in major real estate projects, with high demand for luxury developments: * Onni Group’s high-rise at 1360 N. Vine Street was recently approved and will feature 429 units, significantly reshaping the Hollywood skyline. Source: The Registry Southern California Real Estate (August 2024) * 6007 Sunset Boulevard: CIM Group's new seven-story mixed-use apartment with 190 apartment units offering retail and residential spaces is under construction. Source: LA YIMBY (Sept 2024)  * 5420 Sunset Boulevard: A mixed-use development featuring 735 apartments and 95,000 square feet of retail space is set to enhance the Hollywood corridor. Source: LA YIMBY (Sept 2024) * Whitley Hotel: A 10-story hotel is under development at 1719 North Whitley Avenue, offering 156 hotel rooms and a rooftop pool deck. Source: The Real Deal (July 2024) * Los Angeles’ hospitality sector has shown strong recovery post-pandemic, with RevPAR (Revenue per Available Room) expected to grow by 3.7% in 2024. The upper-priced hotel segment in particular is benefiting from increased demand and limited new supply, projected to see RevPAR growth of 4.4%. Hotels in Hollywood and surrounding areas are performing well, with 76.2% occupancy expected for 2024, one of the highest in the country. SOURCE: Marcus & Millichap LA Hospitality Market Report Midyear 2024 Next Steps: * Developers have a wide range of options with this property, providing ample room for creativity. Whether developing a senior living facility, a luxury apartment complex, or a boutique hotel, this site offers endless potential for a truly unique project. The existing historic buildings can be utilized as amenity spaces, and the expansive land opens opportunities for incorporating high-end features such as gardens, amphitheaters, and private trails. * Crest Real Estate will assist in analyzing the land’s full development potential, conducting a detailed land-use analysis, and helping developers navigate through the city’s entitlement process. From determining the highest and best use of the site to securing the necessary approvals for density bonuses and zoning adjustments, Crest Real Estate will be your partner in nailing down a solid development plan that optimizes both profitability and community impact.