Virginia10-Unit Community in Los Angeles
Home to the entertainment industry, this is a densely populated and economically diverse area nearby several major employers.
This building was purchased at an exceptionally low cost, with strong metrics.
The unit mix on these two properties is ideal, with primarily one-bedroom units, perfect for the tenant demographic.
The tenant profile is young professionals working downtown in the tech and entertainment industries, and blue collar professions.
5841 Virginia Ave.
This 10-unit multifamily property was built in 1956, and features studio and one-bedroom units, on-site parking, and on-site laundry.
- Occupancy at takeover 100% 100%
- Value-Add Rent Growth 25% 25%
- Average Annual Sub Market Rent Growth 5% 5%
- Average Sub Market Occupancy 96.3% 96.3%
Virginia was purchased early in 2017. What really made this deal interesting was the exceptionally low-cost, and strong metrics, we were able to purchase at for the area.
Since our purchase, we’ve completed multiple projects, including an exterior and interior renovations.
We expect to exit this project in 5-7 years, with an equity multiple greater than 2.0x and an average annual return of +15%.