7650 Van Nuys Blvd Van Nuys, CA 91405
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7650 Van Nuys Blvd Van Nuys, CA 91405 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 1 7650 Van Nuys Blvd Van Nuys, CA 91405 CONFIDENTIALITY AGREEMENT All materials and information received or derived from Kelly Morgan Commercial Kelly Morgan Commercial Group makes no warranties and/or representations Group, its directors, officers, agents, advisors, affiliates and/or any third party sources regarding the veracity, completeness, or relevance of any financial data or assumptions. are provided without representation or warranty as to completeness , veracity, or Kelly Morgan Commercial Group does not serve as a financial advisor to any party accuracy, condition of the property, compliance or lack of compliance with applicable regarding any proposed transaction. All data and assumptions regarding financial governmental requirements, developability or suitability, financial performance of the performance, including that used for financial modeling purposes, may differ from property, projected financial performance of the property for any party’s intended use actual data or performance. or any and all other matters. Any estimates of market rents and/or projected rents that may be provided to a party Neither Kelly Morgan Commercial Group, its directors, officers, agents, advisors, or do not necessarily mean that rents can be established at or increased to that level. affiliates makes any representation or warranty, express or implied, as to accuracy or Parties must evaluate any applicable contractual and governmental limitations as well completeness of the any materials or information provided, derived, or received. as market conditions, vacancy factors and other issues in order to determine rents Materials and information from any source, whether written or verbal, that may be from or for the property. Legal questions should be discussed by the party with an furnished for review are not a substitute for a party’s active conduct of its own due attorney. Tax questions should be discussed by the party with a certified public diligence to determine these and other matters of significance to such party. Kelly accountant or tax attorney. Morgan Commercial Group will not investigate or verify any such matters or conduct due diligence for a party unless otherwise agreed in writing. Title questions should be discussed by the party with a title officer or attorney. Questions regarding the condition of the property and whether the property complies EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE with applicable governmental requirements should be discussed by the party with DILIGENCE. Any party contemplating or under contract or in escrow for a transaction is appropriate engineers, architects, contractors, other consultants and governmental urged to verify all information and to conduct their own inspections and investigations agencies. 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Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 2 7650 Van Nuys Blvd Van Nuys, CA 91405 TABLE OF CONTENTS 1 PROPERTY OVERVIEW 2 VAN NUYS TRANSIT CORRIDOR 3 MARKET OVERVIEW 4 RENT COMPS Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 3 1 Property Overview 7650 Van Nuys Blvd Van Nuys, CA 91405 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CA CalDRE #01898026 7650 Van Nuys Blvd Van Nuys, CA 91405 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CA CalDRE #01898026 7650 Van Nuys Blvd Van Nuys, CA 91405 EXECUTIVE SUMMARY Sale Price: $4,995,000 APN: 2215-028-018 Lot Size: 28,802 SqFt Current Building: 12,000 SqFt Zoning: C2-1VL Transit Priority Area State Enterprise Zone T.O.C. : Tier-3 w/ Density Bonus F.A.R. : 3.75:1 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CA DRE# 01898026 7 7650 Van Nuys Blvd Van Nuys, CA 91405 PROPERTY DESCRIPTION 7650 Van Nuys is Currently a Commercial Property Located Directly Beside the Van Nuys Metro Station. The Property Currently has Three Retail Tenants, Two Scheduled by Lease to Leave December 31, 2019 (with a possibility to extend), the Third to vacate on December 31, 2018. With the Approval of the 9.2-mile Light Rail Line Between the Orange Line’s Van Nuys Station and the Sylmar/San Fernando Metrolink Station the Property is in a Prime Location for Potential Multi-Family/Mixed Use Development. By Right You May Build 131 Units By Adding One Half The Alley In The Back, Which Is 1,900 Sq Ft, For a Total of 30,710 Sq Ft., Divide This Number by 400 Sq Ft Per Unit Equaling 77 Units. Transit Oriented Corridor (T.O.C.) Tier-3 Allows You To Increase Density With a Density Bonus By 70% or 54 Units and Increase The F.A.R. to 3.75:1. Thus The Allowable Units May Be 77+54 For a Total of 131 Units, With A Possibility To Build Additional Units Depending On The Plans. As Well The Property May Also Be Designed For Mixed-Use.* (*Buyer to Confirm All Plans And Calculations With The City) Please see the following link for details: http://planning.lacity.org/ordinances/docs/toc/TOCGuidelines.pdf Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 8 7650 Van Nuys Blvd Van Nuys, CA 91405 PROPERTY HIGHLIGHTS • T.O.C. Tier-3 • Next To The Van Nuys Metro-Rail Station • Located In A Transit Priority Area With Density Bonus • Located In A Los Angeles State Enterprise Zone • C2-1VL Zoning • One Lease On The Current Building Expires At Year End 2018, Two Leases Expire At The End Of 2019 With Possibilities To Extend • 1.9% Vacancy Rates In Van Nuys Compared To 3.7% In Los Angeles Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 9 7650 Van Nuys Blvd Van Nuys, CA 91405 RENT ROLL BUILDING UNIT LEASE CURRENT MONTHLY CURRENT MONTHLY ADDRESS SIZE (SF) END RENT RENT (PER SF) 7662 Van Nuys 8,000 12/31/2019 $14,994 $1.87 7646 Van Nuys 2,000 12/31/2019 $3,250 $1.63 7648 Van Nuys 2,000 12/31/2018 $8,000 $4.00 Totals/Averages 12,000 $26,244 $2.19 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 10 2 Van Nuys Transit Corridor 7650 Van Nuys Blvd Van Nuys, CA 91405 9.2 MILE LIGHT-RAIL APPROVED BY METRO BOARD FOR VAN NUYS BLVD. VAN NUYS TRANSIT CORRIDOR A 9.2-mile Light-Rail Line between the Orange Line’s Van Nuys Station and the Sylmar/San Fernando Metrolink Station was approved by the Metro Board of Directors today as the “preferred alternative” for the East San Fernando Valley Transit Corridor project...The new rail line would run mostly down the center of Van Nuys Boulevard and along the railroad right-of-way that is adjacent to San Fernando Road. The line would have 14 stations with an end-to-end travel time of 31 minutes. Metro staff determined that light rail was faster, offered more capacity and would better serve the community in the future than bus rapid transit (BRT), the other type of transit under study for the project. Transit corridors are game changers for communities. Property values as well as rents are rising rapidly along these corridors re-energizing communities from the rail lines outward. This expansion is spurring major developments along these Transit Corridors. Rents and Property Values along these lines are in general out-pacing the increases in almost all other areas of the city. (TheSource.metro.net, June 28 2018) Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 12 7650 Van Nuys Blvd Van Nuys, CA 91405 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CA CalDRE #01898026 7650 Van Nuys Blvd Van Nuys, CA 91405 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CA CalDRE #01898026 7650 Van Nuys Blvd Van Nuys, CA 91405 Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CA CalDRE #01898026 7650 Van Nuys Blvd Van Nuys, CA 91405 T.O.C. TIER-3 TRANSIT PRIORITY AREA/NEXT TO THE VAN NUYS METROLINK-LIGHT RAIL STATION Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 16 7650 Van Nuys Blvd Van Nuys, CA 91405 VAN NUYS TRANSIT CORRIDOR DEVELOPMENTS "HYPERLINKED" Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 17 7650 Van Nuys Blvd Van Nuys, CA 91405 NEW DEVELOPMENTS CHANGE NEIGHBORHOODS THE GROVE THE AMERICANA AT BRAND • When The Grove was built in 2002, the neighborhood was more a • The Americana at Brand, a $400-Million Dollar development on 15.5 through-way than a place to stop and shop. Now the $100-million acres modeled after The Grove has also brought astounding success dollar project on 25 acres is one of the highest grossing shopping • What was originally a blighted area in the center of Glendale is not only centers in the country a Major Shopping Destination for people through-out Los Angeles, but • It successfully offers a place where people can spend a whole day a catalyst for the accelerating revitalization of the entire Glendale shopping, eating and connecting with friends both new and old community • The Grove has substantially increased rents and home values in the • Apartments in the area of the Americana at Brand achieve rents which local community and grown to become an attraction for tourists are 30% above market and are 98% leased around the world Exclusively Listed by: Kelly Morgan | 310.836.3638 [email protected] CalDRE 01898026 18 7650 Van Nuys Blvd Van Nuys, CA 91405 COMMISSION BACKS MAJOR REDEVELOPMENT OF PANORAMA CITY'S OLD MONTGOMERY WARD BUILDING THE ICON-623 APARTMENTS PLUS NEW SHOPS AND RESTAURANTS TAURANTSCurbed LA-May 1, 2018 The proposed redevelopment of Panorama City’s long-dormant Montgomery Ward is charging forward with the backing of the Los Angeles city planning commission.