Faulkner Capital Purchases Hollywood Hills-Adjacent Luxury Multifamily Asset

Faulkner Capital Partners has successfully acquired The Baxter, a newly constructed, mid-rise luxury apartment community totaling 85,775 square feet in the highly desirable Hollywood Hills submarket. The asset, located at 1818 N. Cherokee Ave., traded hands in an off-market transaction brokered by global real estate services firm Colliers.

According to Connect CRE, the complex deal involved three separate undisclosed sellers. Kitty Wallace, a Vice Chair at Colliers, navigated the transaction by representing all involved parties. While the final capitalization rate and exact purchase price remain strictly confidential, the successful closing of a newly built, Class-A multifamily asset highlights the ongoing institutional appetite for premium Hollywood housing.

Key Details

• Property: The Baxter
• Address: 1818 N. Cherokee Ave., Hollywood, CA
• Asset Class: Mid-rise luxury apartments
• Building Size: 85,775 square feet
• Buyer: Faulkner Capital Partners
• Sellers: Three undisclosed parties
• Broker: Kitty Wallace, Vice Chair, Colliers
• Financial Terms: Undisclosed

Market Context

The acquisition of The Baxter provides a compelling look into the current dynamics of the Los Angeles multifamily market, where institutional investors are demonstrating a renewed willingness to transact on high-quality assets despite broader macroeconomic headwinds. Newly constructed properties in infill, barrier-to-entry submarkets like the Hollywood Hills remain highly sought after due to their modern amenities, regulatory compliance, and resistance to functional obsolescence.

Hollywood has consistently ranked as a top-tier submarket for rent growth and occupancy over the past decade, fueled by its proximity to major employment hubs in entertainment, technology, and media. Assets at the base of the Hollywood Hills benefit directly from constrained supply; developers face strict zoning and geographical limitations that prevent mass overbuilding, thereby protecting long-term asset valuations.

For commercial real estate professionals, Faulkner Capital's latest purchase serves as an indicator that well-located, institutional-grade multifamily properties are still successfully closing. In a climate where capital markets remain highly disciplined and debt costs continue to fluctuate, assets requiring zero deferred maintenance and offering immediate scale—such as an 85,775-square-foot footprint—are uniquely positioned to command premium bids. Furthermore, the dual-representation nature of the deal underscores the value of deep relationships and specialized brokerage expertise in bridging the valuation gap between multiple sellers and a single institutional buyer.