ERWINERWIN APARTMENTSAPARTMENTS
14837 Erwin Street, Van Nuys, CA 91411 8 Units Built in 1989 Confidentiality Agreement Special Covid-19 Notice The information contained in the following offering memorandum is proprietary and strictly confidential. It is All potential buyers are strongly advised to take advantage of their opportunities and obligations to conduct thorough due diligence and seek expert opinions as they may intended to be reviewed only by the party receiving it from deem necessary, especially given the unpredictable changes resulting from the Marcus & Millichap and it should not be made available to continuing COVID-19 pandemic. Marcus & Millichap has not been retained to perform, any other person or entity without the written consent of and cannot conduct, due diligence on behalf of any prospective purchaser. Marcus & Marcus & Millichap. By taking possession of and reviewing the Millichap’s principal expertise is in marketing investment properties and acting as information contained herein the recipient agrees to hold intermediaries between buyers and sellers. Marcus & Millichap and its investment and treat all such information in the strictest confidence. The professionals cannot and will not act as lawyers, accountants, contractors, or recipient further agrees that recipient will not photocopy or engineers. All potential buyers are admonished and advised to engage other duplicate any part of the offering memorandum. If you professionals on legal issues, tax, regulatory, financial, and accounting matters, and for have no interest in the subject property at this time, please questions involving the property’s physical condition or financial outlook. Projections and pro forma financial statements are not guarantees and, given the potential return this offering memorandum to Marcus & Millichap. volatility created by COVID-19, all potential buyers should be comfortable with and rely This offering memorandum has been prepared to provide solely on their own projections, analyses, and decision-making.) summary, unverified financial and physical information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information EXCLUSIVELEY LISTED contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating JANETTE MONFARED substances, PCBs or asbestos, the compliance with local, state and federal regulations, the physical condition of the SENIOR MANAGING DIRECTOR INVESTMENTS improvements thereon, or the financial condition or business SENIOR DIRECTOR, MULTI HOUSING DIVISION prospects of any tenant, or any tenant’s plans or intentions (818)212-2752 DIRECT to continue its occupancy of the subject property. The (310)245-5600 CELL information contained in this offering memorandum has WWW.JANETTEMONFAREDAPARTMENTS.COM been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Prospective buyers shall be responsible for their costs and expenses of investigating the subject property. ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONTACT THE MARCUS & MILLICHAP AGENT FOR MORE DETAILS. Table of Contents
INVESTMENT OVERVIEW Investment Summary
Income & Expenses
Location Maps
Aerial Map
Regional Map
COMPETITIVE PROPERTYSET Sale Comparables
Sale Comparables Map
CAP Rate Graph
AREAOVERVIEW Demographics The OFFERING
ADDRESS 14837 Erwin Street Van Nuys, CA 91411
PRICE $2,000,000
CAP RATE 5.17%
NOI
$103,427 | 6 | The OFFERING ADDRESS Financial Summary 14837 Erwin Street Price: $2,000,000 Van Nuys, CA 91411 Acessor's Parcel Number: 2241-009-018
Number of Units: 8
Cap Rate: 5.17%
Ownership: Fee Simple PRICE Year Built 1989 $2,000,000 Gross Annual Rents $155,400
CAP RATE 5.17%
NOI $103,427 INVESTMENT INVESTMENT Highlights Overview • Property is located a few doors away from Kester Avenue, across the street from Brand New Multi‐ Marcus & Millichap is pleased to present the opportunity to Million Dollar Condominiums acquire a much sought‐after 8‐unit apartment building consisting of all 1‐bedroom/1‐bath units, located in the Van Nuys submarket • Six (6) out of 8 units fully remodeled with the of San Fernando Valley on Erwin Street. highest quality appliances and craftsmanship The subject property was built in 1989 and features large units • New drain lines, new sewer lines, copper plumbing throughout, new gutters all around the with balconies, central heating and air‐conditioning, copper structure plumbing, gated and secured entry, and a gated garage with ample parking for each unit. The property is very well maintained and • Four brand new central heating and air‐ enjoys strong rent collection from tenants, with 100% rent conditioning units recently installed payments at the onset of each month.
• Built in 1989 and subject to State Rent Control of Van Nuys is a much‐desired location of San Fernando Valley with 5% increase plus CPI annual increase ample public transit access to major employment centers of Hollywood, Burbank, Downtown Los Angeles and Westside • No Earthquake Retrofit Required –property built in 1989 employment centers. Business, dining, and shopping establishments in the proximity of the property further enhance • All units feature balconies, central heating and air‐ demand for rental units in this neighborhood. conditioning, high ceilings and parking spaces This asset offers an investor the unique opportunity of acquiring a • Ample enclosed and gated parking spaces well‐located investment with strong in‐place rents and significant upside in coming years. • One of the best values in today’s investment market with significant upside potential
• Strong rent collection PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos PROPERTY Photos RENT ROLL Summary FINANCIAL ANALYSIS
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** 6 of the units have been fully remodeled recently RENT ROLL Detail FINANCIAL ANALYSIS
** 6 of the units have been fully remodeled recently OPERATING Data FINANCIAL Summary
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** 6 of the units have been fully remodeled recently AERIAL Map
| 15 | SALES PROPERTY NAME
Comparables MARKETING TEAM
SALES COMPARABLES
5718 CAMELLIA AVENUE 5253 CARTWRIGHT AVENUE 14837 ERWIN ST 5718 Camellia Avenue, North Hollywood, CA, 91601 5253 Cartwright Avenue, West Hollywood, CA, 91601 14837 Erwin St, Van Nuys, CA, 91411 1 2
rentpropertyname1 rentpropertyname1 rentpropertyname1
Units Unit Type Units Unit Type Units Unit Type Offering Price: $2,000,000 8 One-Bdr One-Bath Close Of Escrow: 4/5/2019 4 1 Bdr 1 Bath Close Of Escrow: 3/1/2020 12 2 Bdr 2 Bath Price/Unit: $250,000 Sales Price: $4,575,000 10 2 Bdr 2 Bath Sales Price: $5,750,000 3 3 Bdr 2 Bath Price/SF: $370.30 Price/Unit: $326,786 Price/Unit: $383,333 CAP Rate: 5.17% Price/SF: $304.03 Price/SF: $410.36 GRM: 12.53 CAP Rate: 3.35% CAP Rate: 3.95% Total No. of Units: 8 GRM: 15.85 Total No. of Units: 15 Year Built: 1989 Total No. of Units: 14 Year Built: 1987 Year Built: 1988
rentpropertyaddress1 rentpropertyaddress1 rentpropertyaddress1 Underwriting Criteria Income $154,938 Expenses $51,511 NOI $103,427 Vacancy ($4,662) SALES PROPERTY NAME
Comparables MARKETING TEAM
SALES COMPARABLES
6645 COLDWATER CANYON AVENUE 14161 DELANO STREET ERWIN TOWNHOMES 6645 Coldwater Canyon Avenue, North Hollywood, CA, 91606 14161 Delano Street, Van Nuys, CA, 91401 14740 Erwin Street, Van Nuys, CA, 91411
3 4 5
rentpropertyname1 rentpropertyname1 rentpropertyname1
Units Unit Type Units Unit Type Units Unit Type Close Of Escrow: 11/17/2020 19 2 Bdr 2 Bath Close Of Escrow: 8/13/2020 10 2 Bdr 2 Bath Close Of Escrow: 11/25/2019 18 2 Bdr 2 Bath Sales Price: $5,400,000 Sales Price: $2,833,333 Sales Price: $5,590,000 Price/Unit: $284,211 Price/Unit: $283,333 Price/Unit: $310,556 Price/SF: $300.17 Price/SF: $337.95 Price/SF: $333.79 Total No. of Units: 19 CAP Rate: 4.92% CAP Rate: 4.45% Year Built: 1986 Total No. of Units: 10 GRM: 13.52 Year Built: 2013 Total No. of Units: 18 Year Built: 2007
rentpropertyaddress1 rentpropertyaddress1 rentpropertyaddress1 SALES PROPERTY NAME
Comparables MARKETING TEAM
SALES COMPARABLES
VILLA DE FANO APARTMENTS 9413 Van Nuys Boulevard, Panorama City, CA, 91402
6
Units Unit Type Close Of Escrow: 7/2/2019 4 1 Bdr 1 Bath Sales Price: $4,450,000 9 2 Bdr 2 Bath Price/Unit: $278,125 3 3 Bdr 3 Bath Price/SF: $334.64 CAP Rate: 5.53% GRM: 12.08 Total No. of Units: 16 Year Built: 1987 EXCLUSIVELEY LISTED
JANETTE MONFARED SENIOR MANAGING DIRECTOR INVESTMENTS SENIOR DIRECTOR, MULTI HOUSING DIVISION (818)212-2752 DIRECT (310)245-5600 CELL WWW.JANETTEMONFAREDAPARTMENTS.COM
Updated Rent Disclaimer
Any rent or income information in this offering memorandum, with the exception of actual, historical rent collections, represent good faith projections of potential future rent only, and Marcus & Millichap makes no representations as to whether such rent may actually be attainable. Local, state, and federal laws regarding restrictions on rent increases may make these projections impossible, and Buyer and its advisors should conduct their own investigation to determine whether such rent increases are legally permitted and reasonably attainable.