ASHWOOD AVE LOS ANGELES, CA OFFERING MEMORANDUM Ashwood Ave Los Angeles, CA 90066

Transcription

1 OFFERING MEMORANDUM 3792 ASHWOOD AVE LOS ANGELES, CA UNITS IN MAR VISTA SHORT BIKE RIDE TO VENICE BEACH

2 MARKETING PACKAGE OVERVIEW PRESENTED BY Kenny Stevens BRE# LOCATION OVERVIEW Market Overview Property Location PROPERTY SUMMARY Property Highlights Property Details FINANCIALS Financial Overview Rent Roll PHOTOGRAPHY COMPARABLES Sales Comps Rent Comps South Beverly Drive, First Floor, Beverly Hills, CA 90212

3 LOCATION MAR VISTA, CA MAR VISTA - LOS ANGELES, CA 90066, is located in the booming, culturally rich neighborhood of Mar Vista Close to the Mar Vista Sunday Farmer's Market, Venice Beach, Marina Del Rey, Silicon Beach, Santa Monica, and Culver City. Located only a short bike ride from trendy Abbot Kinney Blvd where some of the best shopping and restaurants in LA are located. Easy commute to LAX, Downtown LA and Beverly Hills and all that West LA has to offer! Over the course of just a couple of years, Mar Vista has been among the most significant emerging submarkets in Los Angeles. Its central location on the Westside along with its proximity to Venice and Silicon Beach has made this area irresistible to residents. With Venice and Playa Vista filling up fast and Santa Monica virtually out of space, developers and brokers are eying Mar Vista as the next prevalent neighborhood. Venice has become one of the most expensive neighborhoods in Los Angeles. According to the real estate website Zillow, it is the seventh most expensive neighborhood in which to buy a house, its median home value $1,578,200 coming in just behind the Hollywood Hills and just ahead of Beverlywood. According to ApartmentList.com, the average rental price of a two-bedroom apartment in Venice is $4,900 a month well ahead of Westwood, Santa Monica, Brentwood, even Bel-Air and the Hollywood Hills. When you rank neighborhoods in the city of L.A. by price per square foot of real estate, Venice becomes even loftier: According to data provided to L.A. Weekly by Zillow, Venice is tied with Bel-Air for No. 2. Only the Pacific Palisades is more expensive per square foot. As for median rental price per square foot, Venice is the most expensive place in L.A. Silicon Beach is the Westside region of the Los Angeles metropolitan area that is home to over 500 tech startup companies. Major technology companies have opened Offices in the region including Google, Yahoo!, YouTube, BuzzFeed, Facebook, AOL, Electronic Arts, EdgeCast Networks, and MySpace. The region is considered the second- or third-largest tech hub in the world, according to various reports. This has had major impacts on the type and availability of office space and on home prices in Mar Vista, Playa Vista, Playa Del Rey, Westchester, Santa Monica, and Venice, as these areas have become more desirable due to this influx.

4 LOCATION OVERVIEW

5 PROPERTY SUMMARY PROPERTY DETAILS PROPERTY DESCRIPTION nue, located in the rapidly growing Westside neighborhood of Mar Vista. This 1949 bungalow-style property is located just 1.5 miles from the world-famous Venice Beach Boardwalk. Entertainment value and proximity to a variety of westside neighborhoods add to this property s long-term appreciation. The building has five (5) singles with full kitchen and bath as well as two (2) 1+1 unit, all of which have hardwood floors, private entrances, and individual parking spaces. Several units have been beautifully renovated with stainless steel appliances, new fixtures, quartz counter top, new cabinets, and updated bathrooms. Additional renovations to the property include; new contemporary landscaping, new front fence, as well as a newly paved parking lot. PROPERTY DETAILS Units Major Intersection Market (2) 1+1, (5) Singles Venice Blvd and Ashwood Ave Mar Vista APN Zoning Type Building SF Units LARD1.5 2,499 SF (2)1+1, (5) Single

6 PROPERTY SUMMARY PROPERTY HIGHLIGHTS 7 UNITS IN MAR VISTA Charming, quiet gated property Owner can raise rents by 5% annually Excellent location on the Venice-Mar Vista border Easy bike ride to the beach, Abbot Kinney Blvd, Santa Monica Excellent unit mix for AirBnB rentals Approximately 20% upside in rents Several units have been beautifully renovated 7 open parking spaces Simple to manage

7 FINANCIALS FINANCIAL OVERVIEW - $2,050,000 INVESTMENT SUMMARY SCHEDULED INCOME Purchase Price: $2,050,000 UNIT MIX CURRENT PRO FORMA Down Payment: $2,050, % Units Beds Baths Range Monthly Rent Monthly Year Built: $1,430 - $2,395 $3,825 $2,395 $4,790 Units: 7 5 Studio 1 $1,070 - $1,895 $7,754 1,750-1,895 $9,185 Approx. Lot Size: 6,001 Sq. Ft. Cost per Unit: $292,857 Expense / Unit: $6,844 Scheduled Rent: $11,579 $13,975 CURRENT PRO FORMA GRM: Laundry Income: $50 $50 CAP: 4.27% 5.63% Monthly Gross Income: $11,629 $14,025 Annual Gross Income: $139,548 $168,300 ANNUAL INCOME ANNUAL EXPENSES CURRENT PRO FORMA ITEM AMOUNT Scheduled Gross Income: $139,548 $168,300 Taxes: (based on new purchase price) 1.25% $25,625 Less Vacancy Reserve Rate: ($4,186) 3.00% * ($5,049) 3.00% *Insurance: $3,987 Gross Operating Income: $135,362 $163,251 *Utilities: $7,739 Less Expenses: ($47,908) 34% * ($47,908) 28% *Repairs & Maintenance: $2,164 Net Operating Income: $87,453 $115,343 Professional Mgmt: $6,768 Less Debt Service: $0 $0 *Landscape $1,625 Pre-Tax Cash Flow: $87, % ** $115, % *Expenses are 2017 Actuals Plus Principal Reduction: $0 $0 Total Expenses: $47,908 Total Return Before Taxes: $87, % ** $115, % Expense / Unit: $6,844

8 FINANCIALS RENT ROLL Current Market Lease Unit # Unit Type Rent Rent Date Notes $2,395 $2,395 12/1/ Studio $1,779 $1,895 2/13/ $1,430 $2, Studio $1,750 $1,750 4/1/ /2 Studio $1,070 $1, Studio $1,895 $1,895 Vacated 4/10/ /2 Studio $1,260 $1,895 Laundry $50 $50 MONTHLY TOTAL: $11,629 $14,025 ANNUAL TOTAL: $139,548 $168,300

9 PROPERTY SUMMARY PROPERTY PHOTOS

10 PROPERTY SUMMARY PROPERTY PHOTOS

11 PROPERTY SUMMARY PROPERTY PHOTOS

12 COMPARABLES SALES COMPS Property Photo Address Sale Price COE # of Units Cost/ Unit Building SF GRM CAP Year Built Unit Mix Comments $2,050,000-7 $292,857 2, % 1949 / 1954 (2) 1+1 (5) Studio Subject Property Beethoven St $4,075,000 9/26/17 13 $313,462 7,841 n/a n/a 1969 (13) Los Angeles S Centinela Ave $2,200,000 3/31/17 6 $366,667 6, n/a 1944 (2) 3+2 (2) 2+2 (2) Beethoven St $1,980,000 9/5/17 4 $495,000 2, % 1964 (1) 2+1 (3) Inglewood Blvd $2,350,000 5/4/17 6 $391,667 5,316 n/a 2.57% 1953 (4) 2+1 (2) Washington Blvd Venice, CA $4,250,000 3/8/17 10 $425,000 6, % 1954 (2) 2+1 (8) Abbot Kinney Blvd Venice, CA $5,650,000 7/13/16 15 $376,667 11, % 1959 (1) (8) 2+1 (6) S Centinela Ave $1,763,000 8/15/17 5 $352,600 4, % 1959 (3) 2+1 (2) 1+1

13 COMPARABLES SALES COMPS 7 Sales Comps 3910 Beethoven St 3632 S Centinela Ave 3913 Beethoven St 4326 Inglewood Blvd 561 Washington Blvd Abbot Kinney Blvd S Centinela Ave 6

14 COMPARABLES RENTAL COMPS Property Photo Address Rent Unit Type Comments Los Angeles $1,430 - $2, $1,895 Large Studio $1,750 Small Studio Subject Property Several units have been fully renovated with hardwood floors, new kitchen and bathroom Venice Blvd #2 $2, Venice Blvd #110 $1,625 Studio Gated entry. Vinyl floors throughout. 1 parking space Westminster Ave #106 Venice, CA $1,900 Studio 358 sqft studio. No parking. Closer to the beach. Unit interior is outdated and not as nice as subject property Venice Blvd #4 $1,695 Studio Beethoven St $2, Abbot Kinney Blvd #6 Venice, CA $2, No parking. Closer to the beach. Not as updated as subject property Abbot Kinney Blvd Venice, CA $1,650 Studio No parking. 1 mile to the beach. Unit located on 1st floor of 2 story building. Unit is outdated with old appliances and carpet.

15 COMPARABLES RENTAL COMPS Rental Comps Venice Blvd Venice Blvd 21 Westminster Ave Venice Blvd 3629 Beethoven St 2700 Abbot Kinney Blvd 2610 Abbot Kinney Blvd 7 6

16 3792 ASHWOOD AVE LOS ANGELES, CA PRESENTED BY Kenny Stevens BRE# BRE# This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Buyer must verify the information and bears all risk for any inaccuracies.