LOS ANGELES, CALIFORNIA 9-UNIT BUNGALOW APARTMENT COMPLEX OFFERING MEMORANDUM
LOS ANGELES, CALIFORNIA 90006 Presented by MORGAN McMULLIN 310.500.3905 morgan@pacunionla.com License 01716570 Pacific Union International does not guarantee the accuracy of estimates, square footages, lot size, government approvals, construction concepts, construction plans, construction progress, inspections, investigations, reports or other information concerning the condition or features of the property or project provided by the seller or obtained from public records or other sources and the buyer is advised to independently verify the accuracy of all information through personal inspection, with appropriately licensed professionals and city officials. All pro-formas, projections, assumptions, concepts, construction plans, studies, estimates, etc. are presented as a possible scenarios; buyer, their agents and everyone else associated with the purchase of this property to rely on their own pro-formas, projections, assumptions, investigations, consultations, estimates, etc. If images of construction projects are listed, they are just for illustrative purposes and not necessarily meant to be an actual depiction of what can be built. McMullin License 01716570.
TABLE OF CONTENTS 4 6 7 8 14 15 16 17 18... ABOUT MORGAN... THE OFFERING... PROPERTY OVEVIEW... AERIAL PHOTOS... PROPERTY MAP... RENT ROLL... SALES COMPARABLES... FINANCIALS... AREA/MARKET OVERVIEW PRESENTED BY MORGAN McMULLIN 3
Morgan McMullin Senior Vice President, Commercial Division License 01716570 Morgan McMullin, a commercial real estate veteran, has successfully brokered investment transactions in excess of $330 million over the past decade. Formerly a Vice President with Investment Real Estate Associates, Morgan joined Partners Trust Commercial in 2016. Specializing in the sale and acquisition of multifamily and commercial properties, he has helped his clients reach, and often exceed, their long-term and short-term investment objectives. Morgan values his client relationships, which leads him to successfully represent his clients interests and become their trusted investment advisor. Having brokered transactions through the boom and bust cycles, he has developed a deep working knowledge of the Los Angeles real estate marketplace. He has built his business and track record on superior market knowledge and an excellent work ethic while still holding himself to the highest standard of integrity. As an owner and manager of investment properties throughout Los Angeles, Morgan understands the nuances, concerns, and issues commonplace amongst investment property owners and investors. This hands-on approach keeps him current on market conditions, allowing him to achieve above market prices for his clients. Morgan lives in the Rancho Park neighborhood of West LA with his wife, Maryam and two kids, Nika and Kian. PRESENTED BY MORGAN McMULLIN 4
A COMMITMENT TO YOU WHAT WE ARE. First, and foremost, Pacific Union is a California-based real estate brokerage that leverages our global network, media savvy and command of the market to provide our clients with a discreet and peerless level of real estate services. We are a select group of the finest, principled and reputable agents in the market. We are distinguished in the marketplace by our emphatic sales volume, and reputed for our integrity, market intelligence and a genuine connection to our communities. We are proud of these accomplishments. We work diligently everyday to maintain them. This is what we are. WHO WE ARE. What a company is should be driven by who they are at the core and what they believe in that drives them to do what they do. In this regard, Pacific Union is a group of professionals that believe in the sanctity of real estate ownership and the inalienable right everyone has to own real estate. To support our beliefs, we create optimum conditions required to provide the deepest level of regard, respect, care, empathy, commitment and services possible to buyers, sellers, our associates and our competitors. We are people who care about the lives, the careers, the families, the financial securities and the peace of mind for everyone we touch. PRESENTED BY MORGAN McMULLIN 5
THE OFFERING 9-UNIT BUNGALOW APARTMENT COMPLEX The subject property is a 9 unit bungalow apartment complex built in 1918. The unit mix is nine 1+1 units. The improvements are built on an 8,455 square foot lot with total rentable square footage of 4,886. Recent property improvements include: Full Copper Re-pipe, New Roofs, New Landscaping, New Exterior Paint, One Unit has been Renovated. The property is located on the east side of Arapahoe Street in the Pico-Union area of Los Angeles, just south of Venice Blvd and west of Hoover St. The area is undergoing a major economic renaissance during the past decade plus with development as the driving force. The new apartment and mixed use developments and existing apartment renovations in the immediate area have provided an overwhelming increase in the demand for high end rental units. This property offers an affordable option to the high rents that the area now commands. The property sits conveniently between Koreatown, Downtown LA, West Adams, Weslake, Mid-City and in close proximity to Echo Park, Silver Lake, Hollywood, major freeways, and much more. Prime Pico-Union Location PRESENTED BY MORGAN McMULLIN 6 Pacific Union International does not guarantee the accuracy of estimates, square footages, lot size, government approvals, construction concepts, construction plans, construction progress, inspections, investigations, reports or other information concerning the condition or features of the property or project provided by the seller or obtained from public records or other sources and the buyer is advised to independently verify the accuracy of all information through personal inspection, with appropriately licensed professionals and city officials. All pro-formas, projections, assumptions, concepts, construction plans, studies, estimates, etc. are presented as a possible scenarios; buyer, their agents and everyone else associated with the purchase of this property to rely on their own pro-formas, projections, assumptions, investigations, consultations, estimates, etc. If images of construction projects are listed, they are just for illustrative purposes and not necessarily meant to be an actual depiction of what can be built. McMullin License 01716570.
PROPERTY OVERVIEW Arapahoe Street, Los Angeles, CA 90006 PRICE $1,450,000 UNITS 9 BULDING SIZE 4,886 Sq. Ft. LOT SIZE 8,455 Sq. Ft. PRICE/UNIT $161,111 PRICE/SQ. FT. $297 CAP RATE CURRENT / MARKET 3.77% / 7.02% GRM CURRENT / MARKET 16.23 / 9.95 PARKING 0 APN 5056-010-003 ZONING RD1.5 PROPERTY HIGHLIGHTS Desirable Bungalow Units Dense Pico-Union Rental Pocket Great Upside Potential Desirable Up and Coming Area PRESENTED BY MORGAN McMULLIN 7 Pacific Union International does not guarantee the accuracy of estimates, square footages, lot size, government approvals, construction concepts, construction plans, construction progress, inspections, investigations, reports or other information concerning the condition or features of the property or project provided by the seller or obtained from public records or other sources and the buyer is advised to independently verify the accuracy of all information through personal inspection, with appropriately licensed professionals and city officials. All pro-formas, projections, assumptions, concepts, construction plans, studies, estimates, etc. are presented as a possible scenarios; buyer, their agents and everyone else associated with the purchase of this property to rely on their own pro-formas, projections, assumptions, investigations, consultations, estimates, etc. If images of construction projects are listed, they are just for illustrative purposes and not necessarily meant to be an actual depiction of what can be built. McMullin License 01716570.
AERIAL PRESENTED BY MORGAN McMULLIN 8
AERIAL PRESENTED BY MORGAN McMULLIN 9
AERIAL PRESENTED BY MORGAN McMULLIN 10
AERIAL PRESENTED BY MORGAN McMULLIN 11
AERIAL PRESENTED BY MORGAN McMULLIN 12
AERIAL PRESENTED BY MORGAN McMULLIN 13
MAP PRESENTED BY MORGAN McMULLIN 14
RENT ROLL PRESENTED BY MORGAN McMULLIN 15 Pacific Union International does not guarantee the accuracy of estimates, square footages, lot size, government approvals, construction concepts, construction plans, construction progress, inspections, investigations, reports or other information concerning the condition or features of the property or project provided by the seller or obtained from public records or other sources and the buyer is advised to independently verify the accuracy of all information through personal inspection, with appropriately licensed professionals and city officials. All pro-formas, projections, assumptions, concepts, construction plans, studies, estimates, etc. are presented as a possible scenarios; buyer, their agents and everyone else associated with the purchase of this property to rely on their own pro-formas, projections, assumptions, investigations, consultations, estimates, etc. If images of construction projects are listed, they are just for illustrative purposes and not necessarily meant to be an actual depiction of what can be built. McMullin License 01716570.
SALES COMPS Address Yr. Built Sales Price # of Units Price / Unit Gross Sq. Ft. Avg. Gross Sq. Ft. / Unit Price / Sq. Ft. CAP GRM COE Sales Averages Subject PRESENTED BY MORGAN McMULLIN 16 Pacific Union International does not guarantee the accuracy of estimates, square footages, lot size, government approvals, construction concepts, construction plans, construction progress, inspections, investigations, reports or other information concerning the condition or features of the property or project provided by the seller or obtained from public records or other sources and the buyer is advised to independently verify the accuracy of all information through personal inspection, with appropriately licensed professionals and city officials. All pro-formas, projections, assumptions, concepts, construction plans, studies, estimates, etc. are presented as a possible scenarios; buyer, their agents and everyone else associated with the purchase of this property to rely on their own pro-formas, projections, assumptions, investigations, consultations, estimates, etc. If images of construction projects are listed, they are just for illustrative purposes and not necessarily meant to be an actual depiction of what can be built. McMullin License 01716570.
FINANCIALS LOAN QUOTE AVAILABLE UPON REQUEST PRESENTED BY MORGAN McMULLIN 17 Pacific Union International does not guarantee the accuracy of estimates, square footages, lot size, government approvals, construction concepts, construction plans, construction progress, inspections, investigations, reports or other information concerning the condition or features of the property or project provided by the seller or obtained from public records or other sources and the buyer is advised to independently verify the accuracy of all information through personal inspection, with appropriately licensed professionals and city officials. All pro-formas, projections, assumptions, concepts, construction plans, studies, estimates, etc. are presented as a possible scenarios; buyer, their agents and everyone else associated with the purchase of this property to rely on their own pro-formas, projections, assumptions, investigations, consultations, estimates, etc. If images of construction projects are listed, they are just for illustrative purposes and not necessarily meant to be an actual depiction of what can be built. McMullin License 01716570.
AREA/MARKET OVERVIEW PICO-UNION Pico-Union, is a neighborhood in Central Los Angeles, California. The name Pico-Union refers to the neighborhood that surrounds the intersection of Pico Boulevard and Union Avenue. Located immediately west of Downtown Los Angeles, it is home to over 40,000 residents. The neighborhood contains two historic districts, both listed in the National Register of Historic Places. It has five public schools as well as a public library. Pico-Union is the fourth-most-crowded neighborhood in Los Angeles, surpassed only by East Hollywood, Westlake and Koreatown. The 2000 U.S. census counted 42,324 residents in the 1.67-square-miles neighborhood an average of 25,352 people per square mile. In 2008, the city estimated that the population had increased to 44,664. The median age for residents was 27, considered young for the city and the county. PRESENTED BY MORGAN McMULLIN 18
For further information contact: MORGAN McMULLIN 310.500.3905 morgan@pacunionla.com License 01716570 PACIFIC UNION INTERNATIONAL 9378 Wilshire Boulevard, Suite 200 Beverly Hills, CA 90212 Pacific Union International does not guarantee the accuracy of estimates, square footages, lot size, government approvals, construction concepts, construction plans, construction progress, inspections, investigations, reports or other information concerning the condition or features of the property or project provided by the seller or obtained from public records or other sources and the buyer is advised to independently verify the accuracy of all information through personal inspection, with appropriately licensed professionals and city officials. All pro-formas, projections, assumptions, concepts, construction plans, studies, estimates, etc. are presented as a possible scenarios; buyer, their agents and everyone else associated with the purchase of this property to rely on their own pro-formas, projections, assumptions, investigations, consultations, estimates, etc. If images of construction projects are listed, they are just for illustrative purposes and not necessarily meant to be an actual depiction of what can be built. McMullin License 01716570.