A well-known retail center in Koreatown, Los Angeles, has recently been sold at auction for the second time in five years, following the previous owner’s loan defaults. The California Market, an 83,000-square-foot shopping plaza located at 450 South Western Avenue, changed hands for $29.2 million earlier this month.

Ownership History and Sale Details

The property was recently transferred to its lender, an affiliate of Columbia Pacific Advisors, after Jake Sharp Capital defaulted on its loans tied to the plaza. Previously, in late 2020, Columbia Pacific Advisors provided a $52.5 million acquisition loan to Sharp for the purchase of the market, which cost $57.5 million at that time.

Before Jake Sharp Capital acquired the California Market, it was owned by Hyun S. Rhee, the widow of Richard Rhee, the founder of a prominent supermarket chain. The property was sold during a live auction held in bankruptcy court.

Significance of California Market

Established in 1987, California Market was the first Korean supermarket in Southern California. It hosts diverse tenants, including well-known restaurants like Gaju Gimbop, Two Hands Seoul Fresh Corn Dogs, and Thanks Pizza, alongside small businesses such as Etude W Salon and Guardian Computer Repairs.

A Historic Landmark

The California Market is not only a grocery venue but has historical significance as well. During the 1992 Rodney King Riots, it became a focal point amid widespread unrest that devastated many businesses in Koreatown. Owners, including Rhee, took significant measures to protect their property by barricading the market and patrolling the rooftop, successfully preventing substantial damage.

Current Developments in Koreatown

Today, Koreatown is largely revitalized, with minimal signs of past destruction. The area has attracted considerable investment and new multifamily developments. A prime example is the Jamison firm, which manages over 18 million square feet of real estate in the region. Recently, a Jamison affiliate secured a $50 million refinancing deal from Affinius Capital for The Roya, a multifamily property situated less than a mile from California Market.

Additionally, Jamison is actively pursuing adaptive reuse projects, notably transforming a 13-story office building at 3325 Wilshire Boulevard into a mixed-use space that will feature 236 residential units along with 15,000 square feet of retail space.

Conclusion

The auction of California Market marks a significant event in the ongoing evolution of Koreatown. As the area continues to thrive, both its historical roots and modern investments play essential roles in shaping its future.

For inquiries, please reach out to Nick Trombola.