Redondo Beach, CA 90277 · 2018. 6. 18. · 504 North Elena Avenue, Redondo Beach, CA 90277. Advisors Commercial Real Estate is proud to present this 3,160-square foot four-unit building

A 4-UnitApartment Opportunity

504North Elena Avenue,

Redondo Beach, CA 90277

Jonathan NikfarjamMulti-Family Investment Sales

Managing PrincipalOffice: (310) 593-9868Mobile: (310) 880-6807

[email protected]: CA # 01856803

Luca JacoliMulti-Family Investment Sales

Senior AssociateOffice: (310) 593-9861Mobile: (510) 708-2662

[email protected] CA # 01938297

CONFIDENTIALITY AGREEMENT

The information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party intended to be receiving it from Advisors Commercial Real Estate and should not be made available to any other person or entity without the written consent of Advisors Commercial Real Estate. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation nor shall any information contained herein be relied upon in connection with such due diligence. Advisors Commercial Real Estate has not made any investigation, and makes no warranty or representation, with respect to any aspect of the subject property or business, including but not limited 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 substances, PCB’s or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant’s plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Advisors Commercial Real Estate has not verified, and will not verify, any of the information contained herein, nor has Advisors Commercial Real Estate 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 and nothing contained herein is intended to be relied upon in any manner in connection with the purchase of the subject property.

Advisors Commercial Real Estate is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation’s logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Advisors Commercial Real Estate, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Advisors Commercial Real Estate, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

NON-ENDORSEMENT NOTICE

SECTIONS

504 North Elena Avenue, Redondo Beach, CA 90277

504

I PROPERTY DESCRIPTION

II FINANCIAL ANALYSIS

North Elena Avenue,


I. PROPERTY DESCRIPTION



Advisors Commercial Real Estate is proud to present this 3,160-square foot four-unit building located at 504 North Elena Avenue in Redondo Beach, California. Redondo Beach has seen a recent revitalization of local landmarks and continued growth in its multifamily market. The subject property is located twenty miles south of Los Angeles in the secluded and idyllic South Redondo area nestled next to the beautiful coves of Palos Verdes Peninsula. Only a few city blocks separate this beautiful property from Riviera Village and the Pacific Ocean. In a six-block radius is a cluster of boutique clothing and gift shops, restaurants and cafes. Apart from the smog-free views of the Pacific Ocean and the lush and dramatic cliffs of the Palos Verdes Peninsula, the subject property is just a short walk from the Redondo Beach Pier, King Habor, and the sands of Hermosa Beach.

Set in a prime South Redondo Beach location within walking distance to all of the boutique retail, entertainment and restaurants of South Catalina Avenue - including Tapas Y Vino, Yellow Vase, Coffee Cartel, Redondo Beach Brewing, Zazou, and Hennessey’s Tavern - these residences allow for easy access to otherwise difficult secluded beach and recreational destinations such as Torrance Beach, Malaga Cove, Miramar Park and the Redondo Beach Pier. Situated on a lot totaling 5,968-square feet located just a short distance from the Pacific Ocean, the offering consists of four two-bedroom/one-bathroom units. The property is situated blocks from the Pacific Ocean which allows an investor to obtain yield growth through property enhancements. Additionally, all units are separately metered for gas and electricity. The 504 North Elena Avenue apartment provides long-term investors with the opportunity to own an A Class Asset on a valuable piece of land in a prime Redondo Beach location. 504 North Elena Avenue provides an investor with the once in a life-time opportunity to purchase a highly attractive property, with strong income, in an absolutely irreplaceable location.

INVESTMENT OVERVIEW


PROPERTY INFORMATIONPROPERTY INFORMATION

Property Address 504 North Elena Avenue, Redondo Beach, CA 90277

Assessor’s Parcel Number 7503-011-028

Land Use Apartments

Buildings 1

Stories 2

Zoning RBR-3A

Year Built 1962

SITE DESCRIPTION

Units 4

Rentable Square Feet 3,160

Lot Size (SF) 5,968

Parking 4 Private Garages

UTILITIES

Water Master Metered

Sewer Master Metered

Electric Separately Metered

Gas Separately Metered

PROPERTY PHOTOS



PROPERTY PHOTOS

REGIONAL MAP

LOCATION MAP



AERIAL VIEW

II. FINANCIAL ANALYSIS


CURRENT MARKET

Unit No. Status Unit Type Monthly Rent Annual Rent Monthly Rent Annual Rent

504-A Occupied 2 Bed 1 Bath $2,200 $26,400 $2,600 $31,200

504-B Occupied 2 Bed 1 Bath $2,200 $26,400 $2,600 $31,200

504-C Occupied 2 Bed 1 Bath $2,200 $26,400 $2,600 $31,200

504-D Occupied 2 Bed 1 Bath $1,950 $23,400 $2,600 $31,200

TOTAL $8,550 $102,600 $10,400 $124,800

RENT ROLL

This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. © 2018 Advisors Commercial Real Estate


Income Current Per Unit Pro Forma Per Unit

Scheduled Rent Income $102,600 $25,650 $124,800 $31,200

Other Income $0 $0 $0 $0

GROSS POTENTIAL INCOME $102,600 $25,650 $124,800 $31,200

Vacancy/Collection Allowance (GPR) 3.0%/$3,078 $770 3.0%/$3,744 $936

EFFECTIVE GROSS INCOME $99,522 $24,880 $121,056 $30,264

Expenses

Taxes (1.25%) $27,438 $6,860 $27,438 $6,860

Insurance $1,422 $356 $1,422 $356

Utilities $3,280 $820 $3,280 $820

Gardener $720 $60 $720 $60

Repairs & Maintenance $1,600 $400 $1,600 $400

Reserves & Replacements $800 $200 $800 $200

TOTAL EXPENSES $35,260 $35,260

Expenses per SF $11.16 $11.16

Expenses per Unit $8,815 $8,815

% of EGI 35.4% 29.1%

NET OPERATING INCOME $64,263 $85,797

INCOME & EXPENSE

NOTES: Some Expenses Are Estimated

Total Number of Units: 4Total Rentable area: 3,160 SF


Annualized Income & Expense

Current Pro Forma

INCOME

Scheduled Rent Income $102,600 $124,800

Other Income $0 $0

Scheduled Gross Income $102,600 $124,800

Less: Vacancy/Other Deductions 3.0% $3,078 3.0% $3,744

Effective Gross Income $99,522 $121,056

Less: Operating Expenses 35.4% $35,260 29.1% $35,260

Net Operating Income $64,263 $85,797

CURRENT MARKET

Unit Mix # of Units Average RentMonthlyIncome

Average RentMonthlyIncome

2 Bed 1 Bath 4 $2,138 $8,550 $2,600 $10,400

Current Occupancy: 100% Annual Current: $102,600 Annual Market: $124,800

Annualized Expenses

Operating Expenses Current Pro Forma

Taxes (1.25%) $27,438 $27,438

Insurance $1,422 $1,422

Utilities $3,280 $3,280

Gardener $720 $720

Repairs & Maintenace $1,600 $1,600

Reserves & Replacements $800 $800

Total Expenses: $35,260 $35,260

Total Expenses per Unit: $8,815 $8,815

Total Expenses per Sq. Ft.: $11.16 $11.16

Property Information

Address 504 North Elena Avenue


No. of Units 4

Year Built 1962

Lot Size (SF) 5,968

Lot Size (AC) 0.13

Net Rentable SF: 3,160

APN 7503-011-028

Price $2,195,000Down 100% $2,195,000

Current Cap 2.93%

Pro Forma Cap 3.91%

Price/Unit $548,750

Price/SF $694.62

Current GRM 21.39

Pro Forma GRM 17.59

Ownership Fee Simple

FINANCIAL SUMMARY


Luca JacoliMulti-Family Investment Sales

Senior AssociateOffice: (310) 593-9861Mobile: (510) 708-2662

300 North Continental Boulevard, Suite 100

El Segundo, CA 90245

[email protected] CA # 01938297

Jonathan NikfarjamMulti-Family Investment Sales

Managing PrincipalOffice: (310) 593-9868Mobile: (310) 880-6807

300 North Continental Boulevard, Suite 100

El Segundo, CA 90245

[email protected]: CA # 01856803

Documents

Redondo Beach, CA 90277 · 2018. 6. 18. · 504 North Elena Avenue, Redondo Beach, CA 90277. Advisors Commercial Real Estate is proud to present this 3,160-square foot four-unit building