116 N. Lake St | Echo Park, Ca 90026 Memorandum

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OFFERING 116 N. LAKE ST | ECHO PARK, CA 90026 MEMORANDUM

12 BED SRO TOC - TIER 2 R4-1 NO HEIGHT LIMIT

136.95' 62.5' LAKE ST

SANITARIUM 3,811 SF ($459.20 PSF)

BEVERLY BLVD

BEVERLY BLVD DEVELOPMENT SUMMARY BY RIGHT SPECIFICATIONS

PURCHASE PRICE $1,750,000 TRANSIT ORIENTED Tier 2 - 60% Increase # Units COMMUNITIES (TOC) LAND PSF $200.11

PRICE PER UNIT $48,611/Unit NUMBER OF UNITS 36

PARCEL NUMBER 5157-020-012 NUMBER OF 4 Units AFFORDABLE REQ. TOTAL LOT SIZE 8,745 SF

ZONING R4-1 INCOME MTM Tenancy

COUNCIL DISTRICT Mitch O'Farrell HEIGHT LIMIT None SPECIFIC PLAN None

HIGHEST BEST USE Multi-Family Project FAR 4.25

STREET DEDICATION None

PARKING 1 per Unit REQUIREMENT

ALLEY None

DIMENSIONS 62.50' x 136.95'

HEIGHT LIMIT None

ENTITLEMENTS None

2 116 N LAKE ST | ECHO PARK, CA 90026 UNDERWRITING OVERVIEW

Hudson Partners has been exclusively selected to represent a rare 12 Bed SRO with senior boarding house permits in place.

Residential Care facilities operate under the supervision of Community Care Licensing, a sub agency of the California Dept. of Social Services. In California in the early 1970’s the residential care system was established to provide non institutional home based services to dependent care groups such as the elderly, developmentally disabled, mentally disordered and child care centers under the supervision of the Department of Public Social Services. At that time homes for the elderly were known as Board and Care Homes and the name still persists as a common term to describe a licensed residential care home. In the vernacular of the State, these homes are also known as RCFE’s (Residential Care Facilities for the Elderly).

HIGHLIGHTS • Potential Income Stream During Entitlements • Aggressive Zoning R4-1 • Transitional/Affordable Housing Opportunity • Up to 36 Units By Right • Tremendous Location Near All Transit Stops HUDSON COMMERCIAL PARTNERS, INC. 3 PROPERTY OVERVIEW

LOCATION USE BUILT 116 N Lake St The current C of O has a premium in 116 N Lake St was built in 1906. Echo Park, CA 90026 U today's market, sanitarium allowed use. Upside with market rents.

SITE Located on the east side of Lake St, between Beverly Blvd and Court St, in the city of Los Angeles, CA. TOC DEVELOPMENT ZONING Tier 2...... 36 Units Per the city of Los Angeles, the site is cur- rently zoned as R4-1. 36 units under TOC LAND AREA by right and 4 affordable units reuired. The property consists of 1 parcel (APN #5157-020-012) totaling 8,745 SF of land area.

BUILDING AREA PARCEL MAP The subject consists of a 3,811 SF building, which is equal to $459.20 PSF at $1,750,000.

FRONTAGE & ACCESS The site features 65.20 linear feet of frontage along Lake St.

Access points into the building include 1entrance off Lake St.

BEVERLY BLVD

4 116 N LAKE ST | ECHO PARK, CA 90026 136.95'

LAKE ST 62.50'

BEVERLY BLVD

HUDSON COMMERCIAL PARTNERS, INC. 5 36 UNITS ‒ TIER 2 T.O.C.

TOC Tier 2

6 116 N LAKE ST | ECHO PARK, CA 90026 SANITARIUM 3,811 SF ($459.20 PSF)

RENTAL UPSIDE POTENTIAL

HUDSON COMMERCIAL PARTNERS, INC. 7 8 116 N LAKE ST | ECHO PARK, CA 90026 HUDSON COMMERCIAL PARTNERS, INC. 9 10 116 N LAKE ST | ECHO PARK, CA 90026 CERTIFICATE OF OCCUPANCY

HUDSON COMMERCIAL PARTNERS, INC. 11 SNAPSHOT: ECHO PARK

Echo Park is a neighborhood in Los Angeles, California with a population of 35,802. Echo Park is in Los Angeles County and is one of the best places to live in California. Living in Echo Park offers residents an urban suburban mix feel and most residents rent their homes. In Echo Park there are a lot of bars, restaurants, coffee shops, and parks. Many young professionals live in Echo Park and residents tend to be liberal. The public schools in Echo Park are above average.

NEIGHBORHOOD CITY REGION COUNTY METRO

Echo Los Los Los Los Park Angeles Angeles Angeles Angeles

DEMOGRAPHICS

LOS ANGELES COUNTY

The County of Los Angeles holds many disticntions. L.A. is the entertainment capital of the world, a cultural mecca boasting more than 100 museums, and a paradise of idyllic weather. From tourist attractions like the Walk of Fame's collection of stars (numbering more than 2,614 and growing by one or two a month) to career opportuni- ties like those presented in the expanding tech industry, Los Angeles County is the place to be. It is the only city ECHO PARK LOS ANGELES COUNTY in North America to have hosted the Summer Olympics twice. Downtown L.A. is the largest government center outside of Washington, D.C. Los Angeles County has the WEATHER 284Sunny 83◦Average 50◦Average 284Sunny 71◦Average 55◦Average Days High Low Days High Low only remaining wooden lighthouse in the state (located in San Pedro's Fermin Park) and the largest historical theater district on the National Register of Historic Places (located Downtown on Broadway).

12 116 N LAKE ST | ECHO PARK, CA 90026 HIGH DENSITY, LOS ANGELES DEMOGRAPHICS

• More than 3,918,800 people with a population density of 8,362 people per sq. mi.

• More than 2,060,000 employees with an Average Household Income exceeding $62,474

• More than 1,380,000 households with an Average Property Value exceeding $682,400

HUDSON COMMERCIAL PARTNERS, INC. 13 Los Angeles is California’s largest city, the country’s second largest (after New York) and is home to about 4 million people. ABOUT THE NEIGHBORHOOD Known for its sprawling layout, ethnic diversity, sunny weather and television and film industry, Los Angeles is home to many in the entertainment industry. If you want to join them, it is cheaper to live there than New York, but rental and home prices, along with the cost of living, are pricey. Save up before you move to the City of Angels.

Mountains, deserts and the Pacific Ocean surround Los Angeles. Low-rise buildings are commonplace, as are headquarters for major corporations. There is a lot of diversity in the city, and there are areas where many people from certain ethnic groups live and work, such as Koreatown, Little Tokyo and Little Ethiopia, making them a great place to try authentic cuisine.

Surrounded by Elysian Park, Elysian Valley, Silver Lake and Chinatown, Echo Park has become a very desirable neighborhood due to its cultural diversity, architectural charm, and classic Los Angeles living. Thoroughfares such as Sunset Boulevard—just 1.3 miles to the north of the property, Temple Street, and Beverly Boulevard are lined with new local businesses and popular nightlife spots that make Echo Park one of the trendiest areas in Los Angeles. Adding to the area’s vibrant culture, Echo Park is home to numerous art festivals which take place year-round, as well as popular music venues including The Echo, Bootleg Theater, and the Echoplex. Recreational neighborhood landmarks include the historic Baxter Steps, Laveta Terrace Stairway, and Elysian Park, all within close proximity to the property. The newly renovated Echo Park Lake, located just 0.8 miles away, features a walking path, picnic area, paddle boats, and beautiful lotus flower gardens, celebrated in a lotus festival each year.

Studio City 9 mi Hollywood 4 mi DTLA 3 mi West Hollywood 6 mi 81 68 56

Walk Score Transit Score Bike Score

Very Walkable Good Transit Bikeable Most errands can be Many nearby public Mostly flat, accomplished on foot. transportation options. minimal bike lanes.

14 116 N LAKE ST | ECHO PARK, CA 90026 DOWNTOWN LOS ANGELES

The renaissance of Downtown Los Angeles that began in the late 1990’s The diverse districts of Downtown Los Angeles each have distinct has attracted over $17.3 billion of investment. The transformation continues characteristics and amenities. Downtown's employers, including multi- today with many historic buildings having been converted into lofts, new national corporations AECOM, AEG and Ernst & Young, are located in the mid- and high-rise residential buildings being built, and numerous retail Financial District. South Park is the location of the LA Convention Center, businesses and restaurants choosing to locate in Downtown. the Staples Center and the L.A. Live entertainment complex. The city's major art institutions, among them the Walt Disney Concert Hall and the Broad Downtown Los Angeles is well-served by the freeway network and is bounded Museum, are located along Grand Avenue in the Civic Center neighbor- by the Los Angeles River to the east, 101 Hollywood Freeway to the north, hood which also includes City Hall. A former industrial area, today the Arts the 10 Santa Monica Freeway on the south and just west of the 110 Harbor District is home to the Southern California Institute of Architecture (SCI-ARC) Freeway on the west. It is the hub of the METRO, a network of six separate along with a multitude of art galleries, photography studios, and video and lines (the Blue, Red, Purple, Green, Gold and Expo Lines) serving 80 stations media companies including Warner Music Group which recently relocated through out LA County. At 87 miles, it is the second largest light rail system in its headquarters to the Arts District. the United States.

HUDSON COMMERCIAL PARTNERS, INC. 15 ECHO PARK

Stories Book Store Cookbook Market Echo Park Lake

Nico and Bullet Ostrich Farm Pollen - Restaurant

16 116 N LAKE ST | ECHO PARK, CA 90026 Sage - Vegan Restaurant The Echoplex Wildflower Trail

Shout and About Valerie Confections YogaLA

HUDSON COMMERCIAL PARTNERS, INC. 17 NEARBY AMENITIES

STAPLES CENTER & LA LIVE 2.4 miles

Staples Center is home to the Los Angeles Lakers (basketball), Los Angeles Clippers (basketball), Los Angeles Kings (hockey), and the Los Angeles Sparks (women’s basketball). This world-class arena hosts over 270 events a year and over four million visitors annually. The adjacent LA Live campus boasts the JW Marriott and Ritz Carlton hotel, Microsoft Theater, 18 restaurants, 3 night clubs, the Grammy Museum and a 14-screen Regal Cinema.

THE MUSIC CENTER 1.6 miles

The Music Center is Los Angeles’ performing arts destination. The campus consists of the Dorothy Chandler Pavilion (LA Opera), Ahmanson Theatre, Mark Taper Forum (Center Theatre Group), and the Frank Gehry-designed Walt Disney Concert Hall (Los Angeles Philharmonic and Los Angeles Mater Chorale). The Music Center also programs and manages Grand Park, a 12-acre greenspace located adjacent to the campus. The Music Center brings the world’s greatest artistic programs and events to Los Angeles, in addition to free community events, festivals, outdoor concerts and arts education.

THE BROAD 1.7 miles

Located adjacent to the Walt Disney Concert hall, The Broad is Los Angeles’ newest art museum. The $140-million museum was financed by philanthropist Eli Broad, after who it is named, and houses the Broad art collection. Admission to the museum’s permanent collection is free. The Broad’s permanent exhibits include works by Cindy Sherman, Jeff Koons, Roy Lichtensteinn and Andy Warhol. The museum was opened in September 2015 and attracted over 700,000 visitors in its first year.

18 116 N LAKE ST | ECHO PARK, CA 90026 NEARBY AMENITIES

GRAND CENTRAL MARKET 2.0 miles

Grand Central Market has been in continuous operation since it first opened in 1917. Up to the early 2000’s, the market consisted primarily of grocers, butchers and delicatessens serving local residents. The renaissance of Downtown Los Angeles, and the recent food hall trend sweeping the U.S. has transformed the 30,000-square foot arcade in to a culinary destination. Grand Central Market gained national recognition when it was nominated for Best New Restaurant in 2014 by Bon Appetit Magazine. The market’s 35+ food stalls along with three produce markets reflect the vibrant and diverse culture of Los Angeles.

FIGAT7TH 2.4 miles

Reopened in late 2012 after a $40 million makeover, FIGat7th is an openair shopping mall located in the Financial District. Notable tenants include City Target, Nordstrom Rack, Zara, Sunglass Hut, H&M, MAC Cosmetics and L’Occitane. The center also features numerous restaurant and eatery options including California Pizza Kitchen, Loteria Grill, Morton’s Steakhouse, Mendocino Farms, Sprinkles Cupcakes, City Tavern, and Starbucks.

THE BLOC 2.0 miles

In 2013, The Ratkovich Company acquired the dated Macy’s Plaza for $241 million, which included the retail portion (Macy’s, Express, Bath and Body Works, LA Fitness) as well as the 23-story, 485- room Sheraton hotel and the 33-story, 700 South Flower office tower. Ratkovich spent $180 million in renovations to the entire complex, transforming it into a premium shopping, dining, business, and leisure destination in the heart of downtown's Financial District. The development is directly connected to the heavily-travelled 7th & Metro subway station.

HUDSON COMMERCIAL PARTNERS, INC. 19 HOLLYWOOD EMPLOYERS WITHIN 5 MILES 10 minute drive

Home of the motion picture, radio and television industry, Paramount, Viacom, Capitol Records, the Academy of Motion Picture Arts and Sciences, and Technicolor are all located in Hollywood. Netflix relocated to Hollywood in EMPLOYER EMPLOYEES 2017 and continues to expand its footprint, claiming 1.5 million SF of space in existing assets or developments underway. 1 LAC & USC Medical Center 8,000 DOWNTOWN LOS ANGELES Kasier Permanente Los Angeles 10 minute drive 2 6,060 Medical Center Downtown Los Angeles has over 30.0 million square feet of office space and nearly 500,000 employees. Downtown is home to some of the largest employers in the Greater Los Angeles region, including multinational 3 Paramount Pictures Corp 3,000 corporations such as AEG, AECOM, Ernst & Young and Warner Music Group and companies such as Wedbush Securities, City National Bank and Oaktree Capital Management. 4 Ernst & Young 2,000 GLENDALE 12 minute drive 5 Southern California Gas Company 2,000

Downtown Glendale has 6.7 million square feet of office space, with some of the largest employers in the region such as Nestle USA headquarters, Whole Foods Western headquarters, DreamWorks Animation SKG, The Walt 6 PWC 1,700 Disney Company, Citibank, Avery Dennison, LegalZoom.com, Unum Group, HealthNet, Allstate, and United Healthcare. 7 Good Samaritan Hospital 1,300 BEVERLY HILLS/CENTURY CITY 20 minute drive 8 KPMG 1,300 Beverly Hills is one of the most celebrated and in-demand destinations in the world. With an economy near $20 billion annually, Beverly Hills ranks first among mid-to-large sized cities in the United States for retail sales per capita. Some of Los Angeles’ largest private equity and venture capital firms are 9 Blue Shield of California 1,000 located in Beverly Hills. Neighboring Century City is home to 20th Century Fox and the Creative Artists Agency. 10 Gibson Dunn & Crutcher LLP 1,000

20 116 N LAKE ST | ECHO PARK, CA 90026 HUDSON COMMERCIAL PARTNERS, INC. 21 JAY MARTINEZ Managing Principal

818.212.3057 cell 818.688.8140 fax [email protected]

4605 Lankershim Blvd. Suite 214 Universal City, CA 91602

ELIZABETH CLARK Senior VicePresident

310.740.7283 cell 310.421.4184 fax [email protected]

150 S Rodeo Dr. Suite1100 Beverly Hills, CA 90210

22 116 N LAKE ST | ECHO PARK, CA 90026 HUDSON COMMERCIAL PARTNERS, INC. 23 www.hudsonpartnersinc.com JAY MARTINEZ MICHAEL CRISWELL ELIZABETH CLARK Managing Principal Senior Associate Senior Vice President c: 310.658.3375 c: 323.559.1936 c: 310.740.7283 p: 818.212.3057 p: 818.699.1604 p: 310.525.3702 f: 818.688.8140 f: 818.332.4977 f: 310.421.4184 e: [email protected] e: [email protected] e: [email protected] CalBRE: 01367663 CalBRE: 02081650 CalBRE: 018112 4 6

This Memorandum (“Offering Memorandum”) has been prepared by Hudson Commercial Partners, Inc. based on information that was furnished to us by sources we deem to be reliable. No warranty or representation is made to the accuracy thereof; subject to correction of errors, omissions, change of price, prior sale, or withdrawal from market without notice.

This Memorandum is being delivered to a limited number of parties who may be interested in and capable of purchasing the Property. By its acceptance hereof, each recipient agrees that it will not copy, reproduce or distribute to others this Memorandum in whole or in part, at any time, without the prior written consent of Hudson Commercial Partners, Inc., and it will keep permanently confidential all information contained herein not already public and will use this Confidential Memorandum only for the purpose of evaluating the possible acquisition of the Property.

This Memorandum does not purport to provide a complete or fully accurate summary of the Property or any of the documents related thereto, nor does it purport to be all-inclusive or to contain all of the information, which prospective buyers may need, or desire. All financial projections are based on assumptions relating to the general economy, competition and other factors beyond the control of the Owner and, therefore, are subject to material variation. This Memorandum does not constitute an indication that there has been no change in the business or affairs of the Property or the Owner since the date of preparation of this Memorandum.

This Memorandum is being delivered by Hudson Commercial Partners Inc. to prospective purchasers with the understanding that all prospective purchasers will conduct their own independent investigation of those matters, which they deem appropriate in order to evaluate this offering. Additional information and an opportunity to inspect the site will be made available to interested and qualified © 2020 Hudson Commercial Partners, Inc. The information contained in this prospective purchasers. Hudson Commercial Partners, Inc. reserves the right to request the return of any or all of the information document has been obtained from sources believed reliable. While Hudson enclosed. Commercial Partners, Inc. does not doubt its accuracy, Hudson Commercial Partners, Inc. has not verified it and makes no guarantee, warranty or representation about it. It is your responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. The value of this transaction to you depends on tax and other factors, which should be evaluated by your tax, financial and legal advisors. You and your advisors should conduct a careful, independent investigation of the property to determine to your satisfaction the suitability of the property for your needs. Hudson Commercial Partners, Inc. logo are service marks of Hudson Commercial Partners, Inc. and/or its affiliated or related companies in the United States and other countries. All other marks displayed on this document are the property of their respective owners.

4605 Lankershim Blvd, Suite 214 | Universal City, CA 91602 818.212.3057 • www.hudsonpartnersinc.com