Description

The Whitnall apartments is a well maintained fourplex with all 2br/1ba units. It is located on the west side of Whitnall Highway, has excellent rental exposure within a medium density apartment and single-family home community with historically good occupancy. The lot runs from street to alley and there are four parking spaces. Whitnall Hwy has a walk score of 83 and has easy access to transit. It is close to the NoHo West Shopping Center, NoHo Arts District, Hollywood Burbank Airport, and the numerous restaurants, theaters, art galleries and other shops and services. The structure was built in 1954 and features a pitched composite roof and slab foundation with separately metered gas and electric. Master metered water, house lights and laundry. It is gated front and back, not locking, and features a large patio area along three sides of the property. Landscaping is minimal and low maintenance. Unit interior fit and finish varies with unit number three being the only one with granite counters and updated flooring. Condition and type of plumbing is unknown at the time of publication. Age of roof is also unknown. The rent survey conducted for this property indicates significant upside to the current rent levels. Comparables for rent are limited as occupancy remains high in the immediate location. The average rent for the properties in our survey is $2,264. We have estimated the market rent to be $2,100. The current average rent for the property is $1,321 with appx. upside of 59%. Gross Rent Multiplier at market rents is 8.68. The property is under Los Angeles Rent Stabilization Ordinance and State of California rent increase restrictions. The former laundry room is currently being used as storage and the gas meter has been removed. We would recommend the investor work with a laundry lease company to install new machines and convert the storage room back into a laundry room for additional income. Expenses: Property tax is estimated per Titlepro at the sales price of $875,000, 1.24%. Maintenance and repairs are estimated at 7.7% of the scheduled gross income. The seller’s current insurance is lower than our estimate of $3,250. Water, sewer and power is listed under water and sewer as we do not have a breakdown of costs. Pest control is estimated at $50 monthly and gardener is $100. License and fees include SCEP and RSO. Actual operating will be provided in the due diligence material. Seller will not consider any carry back.