Sold - Investment Property, Residential Income
How would you like an opportunity to get a building in a good location that, after you are finished with it, you can get it up to very very close to a 6 cap?
For those of you who speak “cap rate,” you know that that is virtually impossible achieve these days in L.A. in a good location. For those of you who think in terms of cash flow, or ‘cash on cash return,’ you will be netting approx $6K/mo, or about a 7% cash on cash return on your money. And this in a rapidly gentrifying neighborhood.
Specifics on this are as follows: you can purchase the property as-is for $2.9 million and you will spend approximately $400,000 getting it in shape. There are approved plans to convert the 6 two bed units into small three bed units and you already have two conventional 3 bed units. The smaller ones will fetch $2800 each and the two larger ones will fetch $3250 each. That adds up to $23,330/mo gross income. Each unit has two parking spots and the plans call for mini-split AC. They will each have in-unit laundry. It is very close to downtown – like a mile and a half, and has great freeway access to everywhere. And, last but most definitely not least….. they will be delivered vacant, so you do not have to deal with any tenant relocation activity and you will be able to get current market rents on all units.
If you want it or want more information, contact me right away.
