LOS ANGELES-A joint venture between Frank Stork, Channing Henry and the Kor Group has acquired the historic Case Hotel in Downtown Los Angeles. The partnership plans to renovate the property into four-star boutique hotel. Although the purchase price is undisclosed, but industry sources estimate it to be around $13.5 million.

“Having invested in and developed many projects downtown for more than a decade, including the Pegasus Apartments, Santa Fe Lofts, Eastern Columbia Lofts and Barker Block Lofts, our company has been a strong believer in the vitality and importance of Downtown Los Angeles,” says the Kor Group's Brad Korzen.

The partnership purchased the property with a combination of private capital and a loan from Karlin Real Estate's lending arm. Jones Lang LaSalle and CBRE represented the buyer and the seller in the transaction.

Located at 1106 South Broadway, the now vacant property was built in 1924 and features exterior red brick and stone masonry. The partnership of developers will lead the complete renovation project of the 107,000-square-foot hotel for an unnamed hotel operator.

The Case Hotel acquisition and renovation illustrates the growing investor interest in downtown's hospitality market. GlobeSt.com reported recently that SBE Entertainment was scouting a downtown location for a new SLS Hotel, the third in Los Angeles. With the newly opened Ace Hotel in the United Artists Theater Building, and the Wilshire Grand project soon to come online, the hotel market downtown is having a renaissance of its own.

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Kelsi Maree Borland

Kelsi Maree Borland is a freelance journalist and magazine writer based in Los Angeles, California. For more than 5 years, she has extensively reported on the commercial real estate industry, covering major deals across all commercial asset classes, investment strategy and capital markets trends, market commentary, economic trends and new technologies disrupting and revolutionizing the industry. Her work appears daily on GlobeSt.com and regularly in Real Estate Forum Magazine. As a magazine writer, she covers lifestyle and travel trends. Her work has appeared in Angeleno, Los Angeles Magazine, Travel and Leisure and more.

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