Truist Funds $152 Million Long Beach Multifamily Project
The 390-unit development in Long Beach will add retail space, changing local customer demand as construction progresses.
Updated on Oct. 27, 2026 in Construction
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Truist has issued a $152 million construction loan for a 390-unit multifamily development at 6615 East Pacific Coast Highway in Long Beach. The six-story project, which includes ground-floor retail space, replaces an existing office complex and parking lot.
Why it matters
This financing highlights the ongoing trend of replacing aging commercial office footprints with higher-density, mixed-use residential developments in urban coastal markets. Operators should monitor this shift as a potential signal for changing local inventory and neighborhood demand.
The project secured a $152 million construction loan to support the development of 390 residential units and 5,400 square feet of retail space. The site footprint replaces an existing office complex, with total project height reaching six stories.
The players
Truist
A major American financial services company providing banking and lending solutions to commercial real estate developers.
Carmel Partners
A national real estate investment firm focused on the acquisition, development, and renovation of multifamily housing properties.
The details
Truist acted as the administrative agent and sole bookrunner for the financing package. The development repurposes a previously utilized commercial parcel, transitioning the site from office and surface parking to a denser, mixed-use structure that maximizes buildable square footage through vertical integration.
Timeline
Construction on the project began in October 2026.
Completion of the construction project is expected by May 2029.
Market Landscape
The redevelopment of this Long Beach site reflects the broader industry move toward converting underperforming suburban-style office assets into multifamily housing. This trend follows the pattern of California statewide zoning and density incentives designed to address long-term housing supply deficits.
Local operators and retailers should prepare for a shift in neighborhood foot traffic and residential demographics once the site opens in 2029. Keep an eye on local permit filings for retail tenant announcements to gauge the project's impact on nearby commercial competition.
The takeaway
Large-scale urban density projects remain a primary capital deployment strategy for financial institutions despite current interest rate environments. Operators should monitor similar office-to-multifamily conversions as proxies for long-term neighborhood commercial health.
Further reading
For more on industry shifts in the region, visit the Construction section.
Source note: This article includes information reported by Commercial Observer.
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