In 2004, Venice was on the forefront of change -from seaside ghetto, to posh artist community. We formed
an investment thesis to capitalize on this rapid change - purchasing several industrially zoned properties in
the area. Los Angeles building code had a "watchman's" provision, a loop hole, allowing us to build highdensity
residential on industrial property. It was the perfect arbitrage at the perfect time. To keep units
affordable we pushed the design envelope on materials and structural elements. Venice Art Lofts, cattycorner
to the iconic Venice Gold's Gym, was our first foray and a huge success.