8 units wilshire vista heights - loopnet › d2 › lymzxnjtq12yy7...executive summary 1358 s...

8 Units Wilshire Vista Heights1358 S Cochran Ave

Los Angeles, CA 90019

Price: $2,200,000

Keith MoretBroker [email protected]# 01802527

Jonathan RawsonSenior [email protected] #02010400

830 S Sepulveda Blvd. Ste. 200El Segundo, CA 90245

PROPERTY HIGHLIGHTS

All Copper Plumbing Throughout ●

7 Covered Parking Spaces in the Rear●

Great Location! North of Venice, West of Redondo, East of Hauser &South of Olympic

●

Walking Distance To Midtown Crossing ●

New Boiler & Most Units Have Been Upgraded ●

(1) Unit Is Currently Vacant & Will Be Delivered Vacant ●

Solid In Place Rents Plus 25%+ Rental Upside●

Keith MoretBroker Associate

310.939.9360

[email protected]

Jonathan RawsonSenior Associate

3108699137

[email protected]

The calculations and data presented are deemed to be accurate, but not guaranteed. They are intended for the purpose of illustrative projections and analysis. The informationprovided is not intended to replace or serve as substitute for any legal, accounting, investment, real estate, tax or other professional advice, consultation or service. The user of thissoftware should consult with a professional in the respective legal, accounting, tax or other professional area before making any decisions.

TABLE OF CONTENTS

SECTION I Location OverviewLocation Map 4

Property Photos 5

Aerial Map 6

Business Map 7

SECTION 2 Financial AnalysisExecutive Summary 9

Pro Forma Summary 10

Unit Mix Report 11

SECTION III Market RentsMarket Rent Survey 13

SECTION IV Financing OptionsLoan Quotes 15

SECTION 5 Pricing AnalysisRecent Sale Comparables 17

On Market Comparables 23

Location Overview

SECTION I

LOCATION MAP1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019

Page 04

PROPERTY PHOTOS1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019

Page 05

AERIAL MAP1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019

Page 06

BUSINESS MAP1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019

Page 07

1358 S COCHRAN AVE1358 S Cochran Ave | Los Angeles, CA 90019

Keith MoretBroker [email protected]

F i n a n c i a l A n a l y s i sS E C T I O N 2

EXECUTIVE SUMMARY1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019


ACQUISITION COSTS

Purchase Price, Points and Closing Costs $2,215,066

Investment Cash $839,066

First Loan $1,236,000

INVESTMENT INFORMATION

Purchase Price $2,200,000

Price per Unit $275,000

Price per Sq. Ft. $431.71

Income per Unit $16,910

Expenses per Unit ($5,142)

INCOME, EXPENSES & CASH FLOW

GROSS SCHEDULED INCOME $135,276

Total Vacancy and Credits ($5,411)

Operating Expenses ($41,132)

NET OPERATING INCOME $88,733

Debt Service ($75,152)

CASH FLOW BEFORE TAXES $13,581

AFTER TAX RESULTS *

Total Interest (Debt Service)* ($55,212)

Depreciation and Amortization* ($37,128)

Taxable Income (Loss)* ($3,607)

Tax Savings (Costs)* $1,226

CASH FLOW AFTER TAXES* $14,808

FINANCIAL INDICATORS

Cash on Cash Return Before Taxes 1.62%

Optimal Internal Rate of Return (yr 10) 6.57%

Debt Coverage Ratio 1.18

Capitalization Rate 4.03%

Gross Rent Multiplier 16.26

Gross Income / Square Feet $26.55

Gross Expenses / Square Feet ($8.07)

Operating Expense Ratio 31.67%

Page 09

PRO FORMA SUMMARY1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019


UNIT MIX & ANNUAL SCHEDULED INCOME

Type Units Actual Total Market Total

1BR/1BA 1 $15,024 $15,024 $20,700 $20,700

1BR/1BA 1 $19,344 $19,344 $20,700 $20,700

1BR/1BA 1 $15,420 $15,420 $20,700 $20,700

1BR/1BA (Vacant) 1 $20,700 $20,700 $20,700 $20,700

1BR/1BA 1 $17,844 $17,844 $20,700 $20,700

1BR/1BA 1 $15,744 $15,744 $20,700 $20,700

1BR/1BA 1 $15,420 $15,420 $20,700 $20,700

1BR/1BA 1 $15,780 $15,780 $20,700 $20,700

TOTALS 8 $135,276 $165,600

ANNUALIZED INCOME

Description Actual Market

Gross Potential Rent $135,276 $165,600

Less: Vacancy ($5,411) $0

Effective Gross Income $129,865 $165,600

Less: Expenses ($41,132) ($41,324)

Net Operating Income $88,733 $124,276

Debt Service ($75,152) ($75,152)

Net Cash Flow after Debt Service $13,581 $49,124

+ Principal Reduction $19,939 $19,939

TOTAL RETURN $33,521 $69,064

ANNUALIZED EXPENSES

Description Actual Market

Building Insurance $2,800 $2,800

Grounds Maintenance $135 $135

Pest Control $205 $205

Janitorial $150 $150

LAHD Permit $542 $542

Repairs $3,600 $3,600

Taxes Real Estate @ 1.28% $27,520 $27,712

Trash Removal $1,620 $1,620

Utility Water & Electricity $4,200 $4,200

Utility Gas $360 $360

TOTAL EXPENSES $41,132 $41,324

EXPENSES PER RSF $8.07 $8.11

EXPENSES PER UNIT $5,142 $5,166

INVESTMENT SUMMARY

PRICE $2,200,000

Year Built 1954

Units 8

Price/Unit $275,000

RSF 5,096

Price/RSF $431.71

Lot Size 6,904 sf

Floors 2

Parking Spaces .88 to 1

APN 5070011032

Cap Rate 4.03%

Market Cap Rate 5.65%

GRM 16.26

Market GRM: 13.29

FINANCING SUMMARY

LOAN AMOUNT $1,236,000

Down Payment $824,000

Loan Type Fixed

Interest Rate 4.5%

Term 30 years

Monthly Payment $6,263

DCR 1.18

UNIT MIX REPORT1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019


Units Type Approx. SqFt Avg. Rents Monthly Mkt Rents Monthly

1 1BR/1BA 637 $1,252 $1,252 $1,725 $1,725

1 1BR/1BA 637 $1,612 $1,612 $1,725 $1,725

1 1BR/1BA 637 $1,285 $1,285 $1,725 $1,725

1 1BR/1BA (Vacant) 637 $1,725 $1,725 $1,725 $1,725

1 1BR/1BA 637 $1,487 $1,487 $1,725 $1,725

1 1BR/1BA 637 $1,312 $1,312 $1,725 $1,725

1 1BR/1BA 637 $1,285 $1,285 $1,725 $1,725

1 1BR/1BA 637 $1,315 $1,315 $1,725 $1,725

8 5,096 $11,273 $13,800

UNIT MIX UNIT MIX SQUARE FEET

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA (Vacant)

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA


● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

UNIT MIX INCOME UNIT MIX MARKET INCOME

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA


● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA


● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

● 1BR/1BA

Market Rents

SECTION III

Market Rent Survey - 1358 S Cochran Avenue (90019)

1 Bed / 1 Bath Units

0.5 Mile Radius From Subject

Property Address Bed / Bath Mix Unit Size $/SF Distance From Subject Rented Date Price Per Month

1351 S Cochran Avenue 1 Bed / 1 Bath 430 SF $3.60 0.04 Miles Oct-19 $1,550

5221 Packard Street 1 Bed / 1 Bath N/A N/A 0.17 Miles Oct-19 $2,095

1263 S Dunsmuir Avenue 1 Bed / 1 Bath N/A N/A 0.18 Miles Jul-19 $1,895

1343 S Burnside Avenue 1 Bed / 1 Bath 700 SF $2.29 0.18 Miles Mar-19 $1,600

5404 Packard Street 1 Bed / 1 Bath 800 SF $2.49 0.2 Miles Jun-19 $1,995

1417 S Cloverdale Avenue 1 Bed / 1 Bath N/A N/A 0.3 Miles Jun-19 $1,795

5351 San Vicente Blvd 1 Bed / 1 Bath 585 SF $3.57 0.32 Miles Apr-19 $2,089

1434 S Orange Drive 1 Bed / 1 Bath 650 SF $2.45 0.39 Miles May-19 $1,595

5360 Saturn Street 1 Bed / 1 Bath 720 SF $2.71 0.4 Miles Sep-19 $1,950

5394 Edgewood Place 1 Bed / 1 Bath N/A N/A 0.49 Miles Sep-19 $2,095

5654 San Vincente Blvd 1 Bed / 1 Bath N/A N/A 0.5 Miles Jan-19 $1,695

Average: $2.85 $1,850

Keith Moret Jonathan Rawson

Vice President, CA DRE #01802527 Senior Associate, CA DRE #02010400

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. BUYER MUST VERIFY THE INFORMATION AND BEARS ALL RISK FOR INACCURACIES

Financing Options

SECTION IV

Tyler Bradford Travis Bradford(310) 664-6705 x104 (Direct) (310) 664-6705 x106 (Direct)

(310) 850-7197 (Mobile) (310) 869-7490 (Mobile)

[email protected] [email protected]

BRE #01860008 BRE #02046147

Prepared for: 11/13/2019Property Address: Quote #1

Option 1 Option 2 Option 3 Option 4 Option 5 Option 63-Year Fixed 5-Year Fixed 7-Year Fixed 7-Year Fixed 10-Year Fixed 3-Yr Fixed Bridge

Purchase Price $2,200,000 $2,200,000 $2,200,000 $2,200,000 $2,200,000 $2,200,000

Loan Amount $1,185,000 $1,150,000 $1,110,000 $1,060,000 $1,060,000 $1,375,000

Down Payment $1,015,000 $1,050,000 $1,090,000 $1,140,000 $1,140,000 $825,000

Loan-to-Value 54% 52% 50% 48% 48% 63%

Debt Coverage Ratio (DCR) 1.15 1.15 1.15 1.20 1.20 1.25

Current Interest Rate 3.375% 3.625% 3.875% 3.850% 3.950% 4.75%

Index 3 Year CMT 5 Year CMT 7 Year CMT 6 Mo. LIBOR 6 Mo. LIBOR 6 Mo. LIBOR

Margin 2.75% 2.75% 2.75% 2.25% 2.25% 3.75%

Floor / Ceiling 3.375% / 8.375% 3.625% / 8.625% 3.875% / 8.875% 3.85% / 7.50% 3.95% / 8.75% 4.75% / 10.75%

Loan Term 10 10 10 10 15 30

Amortization in Years 30 30 30 30 30 30

N/A N/A N/A $3,401 $3,489 $5,443

Monthly Payment $5,239 $5,245 $5,220 $4,969 $5,030 $7,173

Recourse Yes Yes Yes Yes Yes Yes

Impounds No No No No No NoYears 1-2 Years 1-4 Years 1-6 Years 1-5 Years 1-7 Years 1-3

2-1% 3-3-2-1% 4-3-3-2-2-1% 3-2-2-1-1% 3-3-2-2-1-1-1% 3-2-1%

Loan Fee 1% 1% 1% 1% 1% 1%

Estimated Costs:

Appraisal/Due Diligence $4,500 $4,500 $4,500 $4,500 $4,500 $5,500

Closing/Processing/Underwriting Included Above Included Above Included Above Included Above Included Above Included Above

*Options 4-6: Interest-Only for first 3 years of loan period; 30 year amortization thereafter

licensed Real Estate Broker - CA Dept. of Real Estate - License Number: BRE# 00925920

Loan Options

Pre-Payment Penalty

Alternative fixed and adjustable rate options may be available upon requestQuote subject to satisfactory lender review of rent roll, I & E, property condition, and borrower's financials

Rates and programs are subject to change without notice© 2019 First Pacific Financial is headquartered at 3420 Ocean Park Blvd., Suite 3020, Santa Monica, CA 90405 and is a

1358 S. Cochran AveLos Angeles, CA 90019

C/O Jon Rawson & Keith Moret

1358 S COCHRAN AVE1358 S Cochran Ave | Los Angeles, CA 90019


P r i c i n g A n a l y s i sS E C T I O N 5

RECENT SALE COMPARABLES1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019


Subject 1 2 3 4 5 7

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

Avg.

4.158

Cap Rate

Subject 1 2 3 4 5 7

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

20.0

Avg.

15.583

Gross Rent Multiplier



Subject 1 2 3 4 5 6 7

$38,000

$76,000

$114,000

$152,000

$190,000

$228,000

$266,000

$304,000

$342,000

$380,000

Avg.

$289,024

Price per Unit

Subject 1 2 3 4 5 6 7

$45

$90

$135

$180

$225

$270

$315

$360

$405

$450

Avg.

$389.34

Price per Sq. Ft.



S

1358 S Cochran Ave1358 S Cochran Ave, Los Angeles, CA 90019

Sale Price $2,200,000

Units 8

Price / Unit $275,000

Price/SqFt $431.71

Lot Size 6,904

Cap Rate 4.03%

GRM 16.26

Year Built 1954

# Units Unit Type

1 1BR/1BA

1 1BR/1BA

1 1BR/1BA

1 1BR/1BA (Vacant)

1 1BR/1BA

1 1BR/1BA

1

1505 S Cochran1505 S Cochran, Los Angeles, CA 90019


Units 6


Price/SqFt $360.88

Lot Size 6,098

Cap Rate 2.17%

GRM 19.5

Year Built 1954

Sale Date 1/3/2019

DaysOnMarket 20

# Units Unit Type

2 Studio/Efficiency

1 1 Bedroom / 1 Bath


NotesThis property is .25 miles from Subject. The sale is 2 month old and was sold offmarket. There was no income & expenseinfo available

2

1242 S Ogden1242 S Ogden Ave, Los Angeles, CA 90019


Units 8


Price/SqFt $357.09

Lot Size 6,609

Cap Rate 4.44%

GRM 14.7

Year Built 1957

Sale Date 2/14/2019

DaysOnMarket 134

# Units Unit Type

1 Studio/Efficiency



NotesThis property is 1 mile from Subject in a slightly more desirable area. The property was on market for 134 days and the saleis 1 month old. It is similar in vintage and condition but has 25% more net RSF



3

5761 San Vicente5761 San Vicente Blvd, Los Angeles, CA 90019


Units 6


Price/SqFt $323.80

Lot Size 6,098

Cap Rate 3.67%

GRM 17.1

Year Built 1959

Sale Date 1/31/2019

# Units Unit Type



NotesThis property is 1 mile from Subject. It is similar in vintage and condition but has 6 units. The sale is 1 month old

4

1212 S Orange grove1212 S Orange Grove Ave, Los Angeles, CA 90019


Units 5


Price/SqFt $445.25

Lot Size 6,936

Cap Rate 4.1%

GRM 17.3

Year Built 1927

Sale Date 8/8/2019

DaysOnMarket 302

# Units Unit Type

1 Studio/Efficiency



NotesThis property is .75 miles from Subject. It is 30 years older in vintage and was on market for 320 days

5

1507 3rd1507 3rd Ave, Los Angeles, CA 90019


Units 6


Price/SqFt $418.51

Lot Size 7,004

Cap Rate 5.57%

GRM 11.5

Year Built 1960

Sale Date 9/5/2019

DaysOnMarket 57

# Units Unit Type



NotesThis property is 1 mile from Subject. It was onmarket for 56 days



6

4832 W 17th St4832 West 17th Street, Los Angeles, CA 90019


Units 6


Price/SqFt $435.34

Lot Size 7,000

Year Built 1964

Sale Date 7/29/2019

# Units Unit Type


NotesThis property is 1.2 miles form Subject. The sale is 3 months old . There was no income/expense info available

7

5701 San Vicente5701 San Vicente Boulevard, Los Angeles, CA 90019


Units 6


Price/SqFt $384.51

Lot Size 5,271

Cap Rate 5.0%

GRM 13.4

Year Built 1949

Sale Date 6/11/2019

DaysOnMarket 183

# Units Unit Type

4 Studio/Efficiency


NotesThis property is .25 miles from Subject. It was on market for 183 days and the sale is 4 months old



S 1358 S Cochran AveLos Angeles, CA, 90019$2,200,000

1 1505 S CochranLos Angeles, CA, 90019$1,559,000

2 1242 S Ogden AveLos Angeles, CA, 90019$2,360,000

3 5761 San Vicente BlvdLos Angeles, CA, 90019$1,665,000

4 1212 S Orange Grove AveLos Angeles, CA, 90019$1,850,000

5 1507 3rd AveLos Angeles, CA, 90019$1,800,000

6 4832 West 17th StreetLos Angeles, CA, 90019$1,710,000

7 5701 San Vicente BoulevardLos Angeles, CA, 90019$1,415,000

ON MARKET COMPARABLES1358 S Cochran Ave1358 S Cochran Ave | Los Angeles, CA 90019


Subject 1

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%

Avg.

3.4

Cap Rate

Subject 1

2.0

4.0

6.0

8.0

10.0

12.0

14.0

16.0

18.0

20.0

Avg.

18.4

Gross Rent Multiplier



Subject 1

$38,000

$76,000

$114,000

$152,000

$190,000

$228,000

$266,000

$304,000

$342,000

$380,000 Avg.

$373,167

Price per Unit

Subject 1

$44

$88

$132

$176

$220

$264

$308

$352

$396

$440

Avg.

$389.66

Price per Sq. Ft.



S

1358 S Cochran Ave1358 S Cochran Ave, Los Angeles, CA 90019


Units 8


Price/SqFt $431.71

Lot Size 6,904

Cap Rate 4.03%

GRM 16.26

Year Built 1954

# Units Unit Type

1 1BR/1BA

1 1BR/1BA

1 1BR/1BA

1 1BR/1BA (Vacant)

1 1BR/1BA

1 1BR/1BA

1

1074 S Cloverdale1074 S Cloverdale, Los Angeles, CA 90019

Asking Price $2,239,000

Units 6


Price/SqFt $389.66

Lot Size 7,792

Cap Rate 3.4%

GRM 18.4

Year Built 1947

Sale Date On Market

DaysOnMarket 80

# Units Unit Type



NotesThis property has been on market for 120 days. # of the 6 units were completely renovated. It has 6 units and is North ofSan Vicente slightly more desirable location.



S 1358 S Cochran AveLos Angeles, CA, 90019$2,200,000

1 1074 S CloverdaleLos Angeles, CA, 90019$2,239,000

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