DJM, a California-based private equity real estate developer, has successfully recapitalized Lido Marina Village, a 116,000 square-foot waterfront boutique retail and office property, with a $46.5 million loan from Prime Finance and an additional $24.5 million of new equity from Arc Capital Partners. This new capital for the Newport Beach hotspot will be used to pay off an existing loan and complete property renovations. Financing was arranged by Steven Bram, David Pascale, and Patrick O’Donnell of George Smith Partners.
Situated on the Balboa Peninsula, Lido Marina Village stretches inland from the channel waterfront to include a pedestrian walkway and Via Lido, a public street. The destination combines premier retail, restaurants, and office space inside 14 waterfront structures that boast spectacular harbor views. Lido Marina Village eateries include Orange County’s only Nobu and Malibu Farm locations; alongside such renowned restaurants, Lido visitors can find leading retailers by the likes of Elyse Walker, Faherty, Warby Parker, Le Labo, LoveShackFancy, Serena & Lily, and Jenni Kayne.
Since acquiring Lido Marina Village in 2013, DJM has performed extensive renovations that have transformed the property’s format and appearance. Additionally, they have rebranded the property as a luxurious attraction known by tourists and visitors alike for its high-profile tenants. Despite the COVID-19 pandemic, DJM has maintained tenant occupancy at Lido Marina Village and has even signed several new leases in late 2020 including luxury consignment retailer The RealReal, bespoke bakery Rye Goods, and fine jeweler Marrow Fine. Amidst local and nationwide restrictions and widespread uncertainty, Lido Marina Village has continued to thrive as shoppers gravitated to Lido’s open-air, pedestrian-friendly, waterfront environment.
“The DJM team has done an incredible job of redeveloping and remerchandising Lido Marina Village,” said Neville Rhone Jr, co-founder and managing partner of Arc Capital Partners. “The property is a best-in-class example of a dynamic mixed-use environment, and we look forward to its continued success as a magnet for the many people who live in and visit Southern California.”
“Successfully recapitalizing Lido Marina Village amidst the COVID-19 pandemic is a true feat and a testament to the property itself,” added Bob Brown, chief investment officer at DJM. “This moment speaks to Lido Marina Village’s undisputable strengths, and we are thrilled to position the project for continued success.”
Lindsay Parton, president of DJM, expressed similar sentiments to Brown, noting that Lido Marina Village’s attributes are something to behold. “Originally, what attracted us to this investment was the property’s incredible location on Newport Harbor,” Parton explained. “Back then, we had the exciting opportunity to create an iconic gathering place, which we successfully did. Now, and with this round of financing, we’re able to put the final additions on Lido’s renovations as the expiration of some legacy tenant spaces allows us to add new businesses to the Lido experience.”