AMERICAN DREAM FUND
Los Angeles Regional Center
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W Hotel
HOLLYWOOD


EXECUTIVE SUMMARY
 
The American Dream Fund, in cooperation with the joint venture HEI/GC Hollywood & Vine LLC, is pleased to offer an EB-5 investment opportunity in the W Hollywood Hotel and Residences, a luxury mixed-use development located at the world-famous intersection of Hollywood Boulevard and Vine Street in the Hollywood, CA.  EB-5 capital will be used to complete the Delphine restaurant and Drai’s nightclub within the already completed and operating W Hotel. The Delphine is a 4,000 SF restaurant specializing in Mediterranean cuisine, and Drai’s Hollywood, a 25,000 SF restaurant, pool, and nightclub on the top floor of the hotel.
 
Project Highlights
 
·         The project is led by a world-class team of real estate, legal, business, and EB-5 professionals. Ownership is led by Gatehouse Capital, the most prolific developer of W Hotels in the country, and HEI Hotels and Resorts, a leading hospitality investment firm managing $1.2 billion of equity capital. The design team is composed of leaders in design innovation and functional efficiency. Finally, the Los Angeles Regional Center (American Dream Fund) is one of the most widely recognized and respected EB-5 operations.
 
·         An EB-5 Investment is structured through a Limited Partnership agreement. The EB-5 Investors own ninety-nine percent (99%) of the limited partnership. The American Dream Fund serves as the General Partner.
 
·         The project is located in a Targeted Employment Area (“TEA”), which reduces the minimum EB-5 investment amount to $500,000.
 
·         An economic analysis has determined that a total of 541 permanent indirect and induced jobs will be created by the operations of both projects.  The required job creation to satisfy USCIS EB-5 requirements is 400. Therefore, the projects offer a 25% buffer.
 
 
W HOLLYWOOD HOTEL & RESIDENCES
 
Offering stunning views of the Hollywood and Los Angeles, the W Hollywood Hotel & Residences is situated at the epicenter of the Entertainment Capital of the World along the Hollywood Walk of Fame.  The W Hollywood capitalizes on the hotel’s sophisticated appeal and Hollywood’s trendy community.  Managed by Starwood Hotels & Resorts Worldwide, it is one of Los Angeles’s premiere hotels.
 

Number of Floors:                                          12
Signage:                                               19,500 SF
Number of Guestrooms:                            305
Meeting Space:                                  10,000 SF
Condominiums:                                            143
Delphine Restaurant:                          5,150 SF
Retail:                                                   15,960 SF
Drai’s Club/Restaurant/Pool:          25,000 SF

 

HOLLYWOOD COMMUNITY

Entertainment Industry: Hollywood has a high concentration of studios and firms servicing the film and television industries, and one of the largest concentrations of live theaters in LA.  Thirteen of the top twenty two employers in Hollywood are in the entertainment industry, the largest being Paramount Pictures, Universal Studios, Sunset Gower Studios, CBS at Columbia Square at TV City, and TV Guide.
 
Tourism: Annually, twenty million people visit Hollywood.  The project is located on the famous Hollywood Walk of Fame, the third most popular tourist destination in Los Angeles.  Further, seven of the top twenty tourist attractions in LA are within a five mile radius of the project.
Nightlife: A strip of more than 50 nightclubs and bars stretch from Vine Street to La Brea Avenue. Some are the size of warehouses and pack in hundreds at a time; others are ultra-exclusive, with customers willing to pay $1,100 for a bottle of fine vodka and a reserved VIP booth.  Celebrities, movie executives, locals and tourists can be found in Hollywood any night of the week.
 
Demographics: More than a million residents live within a 5-mile radius of the famous intersection of Hollywood and Vine, making it one of the densest urban areas west of the Mississippi. It is estimated that in the west LA neighborhoods in 2009 approximately 11,900 young professionals and 9,500 empty nesters will earn in excess of $200,000.  Furthermore, the home ownership rate among these two demographic groups is 90% and 95% respectively.
 
Revitalization: The immediate area surrounding the W has seen over $1.5 billion of development in the past four years in such notable mixed-use projects as Hollywood & Highland and Sunset & Vine.  Several buildings have undergone recent renovations including the Capital Records Expansion, Cinerama Dome / Arc Light Theaters Entertainment Center, and The Egyptian Theater. More than 2,000 luxury apartments and condominiums have been built or are planned for the area immediately surrounding the Project. A Trader Joe’s recently opened and a Whole Foods is to be added along with a $200 million museum developed by the Academy of Motion Pictures Arts & Sciences which is expected to host 5-7 million visitors a year.
 
 
DELPHINE RESTAURANT
 
Delphine is a venture of Innovative Dining Group (IDG), a visionary hospitality company that is continually shaping the restaurant scene in Los Angeles and beyond.  
 
Nationwide, IDG is well-known for its signature steakhouses and its Sushi Roku concept, which was instrumental in transforming Japanese cuisine into a modern, stylish cuisine in Los Angeles. IDG’s Katana and Robata Bar take guests beyond sushi, introducing L.A. and the nation to Japan’s healthy robatayaki style of cooking.  Every IDG venue—ten in Los Angeles, two in Las Vegas and one in Scottsdale, Arizona—features extraordinary talent in the kitchen, unrivaled hospitality in the dining room and lounge, and cutting-edge design that inspires new trends.
 
With Delphine, IDG breaks into Mediterranean cuisine, creating an inviting, unpretentious brasserie with a menu that reflects not only France’s renowned Côte d’Azur, but also Spain’s Costa Brava and the idyllic Italian Riviera. The restaurant, whose open-air feel and vibrant colors celebrate a laid-back Southern Europe lifestyle, is a prized venue and culinary attraction at a world-class hotel, situated in a landmark hotel that recaptures the timeless glamour of Hollywood.  Two additional IDG venues at the W Hollywood—The Living Room (a hip lobby lounge) and the Station (a seductive terrace)—are combined with the Delphine to provide 5,150 square feet of indoor-outdoor versatility, poised to accommodate Hollywood’s hottest events.
 
The basic layout of the restaurant will include the following:
 

Delphine Restaurant                           5,150 SF
W Living Room & Bar                           3,500 SF
Delphine Terrace                                  1,150 SF
Banquets/Catering                            12,000 SF
Station Outdoor Lounge                     3,500 SF
Nightclub Catering                             15,000 SF

 
DRAI’S HOLLYWOOD

Drai's Hollywood is a luxury, multi-level nightclub, restaurant, pool,  and entertainment operation on the rooftop of the W Hollywood Hotel.   The venue offers stunning views of the Hollywood Hills and Los Angeles skyline, an outdoor terrace overlooking Hollywood Blvd, an outdoor rooftop pool/restaurant/bar containing a deck area, and private cabanas and day beds.
 
VIP Lounge                            2,000 SF               
Nightclub                               7,798 SF               
Restaurant                             3,000 SF               
Pool/Bar                              11,261 SF               
 
The Nightclub is operated by restaurant/nightclub impresario Victor Drai, as well as identical twins Jessy and Cy Waits. Victor Drai has crafted a potent business model from his gold-standard eateries and nightclubs.  
 
 
Starting from the seeds of his first restaurant in Hollywood almost 20 years ago, Drai grew a nightlife and hospitality empire with groundbreaking hotspots in Las Vegas. He created Tryst nightclub for Wynn Las Vegas, and then followed it up with XS nightclub and Botero Steak restaurant at Wynn’s Encore.
 
 
Identical twins Jesse and Cy Waits, the managing partners at Drai's and Tryst, are two of the biggest names in the nightlife industry.  The brothers and Victor Drai received the ultimate honor when they were named Operators of the Year at the Nightclub & Bar magazine's 2009 convention. Currently, XS and Tryst are up for a combined eight awards in the Nightclub & Bar and Club World competitions and XS is recognized as the top grossing nightclub in North America in 2009.
 
 

OTHER HOTEL ATTRIBUTES

Meeting Space: There are five breakout meeting rooms, two hospitality suites plus a banquet room all located on the second floor of the hotel. The hotel has a total of 10,000 SF of meeting space plus 9,000 SF of indoor and outdoor prefunction space located on the second floor, significantly more than any of its direct competitors. The approximate 5,000 SF Great Room, divisible into three sections, is able to accommodate several hundred persons depending upon the configuration. The meeting space is utilized for press junkets, premiereparties and other business and social functions. In addition, the 3,500 SF W Living Room, 3,500 SF Station Hollywood outdoor lounge, 2,000 SF VIP lounge, 7,800 SF rooftop Nightclub, 3,000 SF rooftop restaurant, and 11,500 SF rooftop pool deck can all be used for various social and banquet events and receptions.

 
Bliss Spa: Located on the first and fourth floor, the 5,500 SF Bliss Spa provides a high-end destination spa experience for the hotel's leisure traveler as well as day-use by the affluent homeowners of the nearby Silverlake and Hollywood Hills communities. The Spa features ten treatment rooms, an 815 SF street level retail and reception beauty boutique and a high-tech manicure pedicure lounge. Each nail station is equipped with its own flat screen TV, DVD player and earphone, and a conveyor belt to transport sterilized nail tools.
 
Guest Amenities: Amenities include a distinctive W Hotel services and style, "Whatever/ Whenever" 24-hour valet, infinity pool located on 12th floor with stunning views of Downtown LA, a business center, W Shop, heliport and a fitness and yoga center. Parking is provided via valet to guests in the subterranean parking garage or, for those traveling without a car, there is direct access to LA's Metro Rail System.
 

HEI BACKGROUND
 
HEI Hotels & Resorts is the fastest growing owner/operator in the hotel industry with 36 full-service, upper upscale and luxury properties throughout the United States.  Known for its stable environment and built for long-term success, HEI is a high-performance culture that recognizes success and develops leaders.  HEI is committed to acquire and/or develop $500 million in hotels annually, ensuring exceptional growth through any economic cycle.  HEI owns and operates hotels under suchwell-known brand names as Marriott, Hilton, Westin, Le Meridien, Embassy Suites and the boutique-sector leading W.
 
HEI’s corporate executive team is one of the strongest in the industry, with industry veterans and fast track leaders strategically placed throughout the organization.  Led by Gary Mendell, CEO, Ted Darnall, COO, and Steve Mendell President-Acquisitions, HEI’s team has a track record of success at both the hotel and corporate levels.  With experience leading large public organizations the team is able to take a hands-on approach in ensuring the success of HEI’s investments, with proprietary systems and tools developed specifically to give HEI a competitive advantage.
 

American Dream Fund
 
The founders and staff at American Dream Fund are comprised of attorneys, real estate professionals, economists and experienced investors that have extensive government and investment experience. ADF works closely with municipal governments and redevelopment agencies, who support the business, and help build job-creating enterprises. Los Angeles Regional Center founders own, operate, and manage a significant real estate portfolio of commercial buildings throughout Los Angeles. The Los Angeles Regional Center matches EB-5 investment dollars with government financial assistance directed toward economic recovery and new commercial enterprises. Our EB-5 approved projects are collateralized by real estate or maintain substantial collateral by high-net worth companies and meet all the requirements by USCIS to expedite Green Cards.
 
Gatehouse Capital
 
Founded in 1995, Gatehouse Capital Corporation is a national real estate investment and development firm based in Dallas, Texas. Currently engaged in the development and redevelopment of mixed-use properties involving upscale hotels in high barrier, urban, and technology markets. Gatehouse has a reputation for both elevating brands and being elevated by brands. By partnering with industry leaders and visionaries throughout its collective team, Gatehouse revalidates its core mission: to deliver extraordinary developments in every sense, beginning with economic return.
NO OFFER TO SELL ANY SECURITY IS MADE BY THIS DOCUMENT
No offer to sell any security is made by this document. The information on this document is not an offer to sell or solicitation of an offer to buy an interest in any investment or for the provision of any investment management or advisory services. Any such offer or solicitation will be pursuant to exemptions from registration requirements set out in applicable securities laws and made only by means of delivery of a confidential private offering memorandum relating to a particular investment to qualified investors in those jurisdictions where permitted by law. This document is a summary only of certain important matters relating to the American Dream Fund (ADF) and the Los Angeles Regional Center (LARC) and is qualified in its entirety by the detailed information in the offering materials for particular investments.  Prospective investors should take note of the risk factors described therein.
THE LOS ANGELES REGIONAL CENTER or THE AMERICAN DREAM FUND, LLC DOES NOT OFFER LEGAL ADVICE OR SERVICES
The Los Angeles Regional Center or the American Dream Fund, LLC (ADF), its employees and members, do not function as your attorneys or legal counsel and do not attempt to interpret immigration law for you and do not provide or offer legal advice or legal services to you.  A potential investor should seek legal counsel from a private immigration attorney of their choice. ADF is a business enterprise providing certain introductions and services to prospective foreign investors, and is not authorized to provide investment advice. ADF shall not be responsible for the success or failure of any investment offered by the Los Angeles Regional Center or any consequential profit or loss or expense that may arise directly or indirectly from such investment, whether or not such investment is used for immigration purposes, or for compliance with United States Citizenship and Immigration Service requirements.







 

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