14815 Burbank Blvd. - LoopNet › d2 › SMjI8_2Uwrv8L0...14815 Burbank Blvd. Sherman Oaks, CA 91411...

14815 Burbank Blvd.14815 Burbank Blvd. • Sherman Oaks, CA 91411

Cindy Hill, CCIMSenior Vice [email protected]

4061 Laurel Canyon Blvd.Studio City, CA 91604www.valleyapartmentsales.com

PROPERTY HIGHLIGHTSExcellent Sherman Oaks rental pocket●

Large 10,066 square foot lot with courtyard pool●

Great unit mix of ones and two bedroom units●

Upside in rents. 11.29 g.r.m on market rents●

Some remodeled units with granite & new cabinets●

Prepared By

INVESTMENT DETAILS

14815 Burbank Blvd.Sherman Oaks, CA 91411

All information furnished regarding property for sale, rental or financing is from sources deemed reliable, but no warranty or representation is made tothe accuracy thereof and same is submitted subject to errors, omissions, change of price, rental or other conditions, prior sale, lease or financing orwithdrawal without notice. No liability of any kind is to be imposed on the broker herein.

Analysis

Analysis Date November 2017

Property

Property 14815 Burbank Blvd.

Property Address 14815 Burbank Blvd.Sherman Oaks, CA 91411

Year Built 1961

Financial Information

Down Payment $1,515,000

Purchase Information

Property Type MultiFamily

Purchase Price $3,000,000

Units 13

Total Rentable Sq. Ft. 10,066

Loans

Type Debt Term Amortization Rate Payment LO Costs

Fixed $1,485,000 30 years 30 years 4% $7,090

Income & Expenses

Gross Operating Income $189,182

Monthly GOI $15,765

Total Annual Expenses ($80,691)

Monthly Expenses ($6,724)

Contact Information

Cindy Hill, CCIM

818.846.1611

[email protected]

00885625

p. 2

EXECUTIVE SUMMARY



Acquisition Costs

Purchase Price, Points and Closing Costs $3,000,000

Investment - Cash $1,515,000

First Loan $1,485,000

Investment Information

Purchase Price $3,000,000

Price per Unit $230,769

Price per Sq. Ft. $298.03

Income per Unit $14,995

Expenses per Unit ($6,207)

Income, Expenses & Cash Flow

Gross Scheduled Income $194,940

Total Vacancy and Credits ($5,758)

Operating Expenses ($80,691)

Net Operating Income $108,491

Debt Service ($85,075)

Cash Flow Before Taxes $23,415

Financial Indicators

Cash on Cash Return Before Taxes 1.55%

Debt Coverage Ratio 1.28

Capitalization Rate 3.62%

Gross Rent Multiplier 15.39

Gross Income / Square Feet $19.37

Gross Expenses / Square Feet ($8.02)

Operating Expense Ratio 42.65%

p. 3

PRO FORMA SUMMARY



INCOME

Description Actual Per Unit Market Per Unit

Gross Potential Rent $191,940 $14,765 $262,800 $20,215

Less: Vacancy ($5,758) ($443) ($7,884) ($606)

Misc. Income $3,000 $231 $3,000 $231

Effective Gross Income $189,182 $14,552 $257,916 $19,840

OPERATING EXPENSES

Description Actual Per Unit Market Per Unit

Building Insurance $4,715 $363 $4,715 $363

General Supplies $1,200 $92 $1,200 $92

Grounds Maintenance $1,200 $92 $1,200 $92

Maintenance $3,500 $269 $3,500 $269

Management Fees $6,600 $508 $6,600 $508

Misc $1,500 $115 $1,500 $115

Repairs $4,500 $346 $4,500 $346

Pool Service $2,640 $203 $2,640 $203

Taxes - Real Estate $37,500 $2,885 $37,500 $2,885

Trash Removal $4,560 $351 $4,560 $351

Utility - Gas $1,921 $148 $1,921 $148

Utility - DWP $10,855 $835 $10,855 $835

Total Expenses ($80,691) ($6,207) ($80,691) ($6,207)

NET OPERATING INCOME $108,491 $8,345 $177,225 $13,633

p. 4

PRO FORMA SUMMARY



UNIT MIX & MONTHLY SCHEDULED

Type Units Actual Total Market Total 1+1 5 $1,102 $5,511 $1,500 $7,5002+1 8 $1,311 $10,484 $1,800 $14,400TOTALS 13 $15,995 $21,900

ANNUALIZED INCOME Description Actual Market

Gross Potential Rent $191,940 $262,800Less: Vacancy ($5,758) ($7,884)Misc. Income $3,000 $3,000Effective Gross Income $189,182 $257,916Less: Expenses ($80,691) ($80,691)Net Operating Income $108,491 $177,225Debt Service ($85,075) ($85,075)Net Cash Flow after Debt Service $23,415 $92,150Principal Reduction $26,151 $26,151Total Return $49,567 $118,301

ANNUALIZED EXPENSES Description Actual Market

Building Insurance $4,715 $4,715General Supplies $1,200 $1,200Grounds Maintenance $1,200 $1,200Maintenance $3,500 $3,500Management Fees $6,600 $6,600Misc $1,500 $1,500Repairs $4,500 $4,500Pool Service $2,640 $2,640Taxes - Real Estate $37,500 $37,500Trash Removal $4,560 $4,560Utility - Gas $1,921 $1,921Utility - DWP $10,855 $10,855Total Expenses $80,691 $80,691Expenses Per RSF $8.02 $8.02Expenses Per Unit $6,207 $6,207

INVESTMENT SUMMARY

Price: $3,000,000

Year Built: 1961

Units: 13

Price/Unit: $230,769

RSF: 10,066

Price/RSF: $298.03

Lot Size: 10,664 sf

Floors: 2

APN: 2244-015-019

Cap Rate: 3.62%

Market Cap Rate: 5.91%

GRM: 15.39

Market GRM: 11.29

FINANCING SUMMARY

Loan Amount: $1,485,000

Down Payment: $1,515,000

Loan Type: Fixed

Interest Rate: 4%

Term: 30 years

Monthly Payment: $7,090

DCR: 1.28

p. 5

PROPERTY DESCRIPTION



13 Units in Sherman Oaks | Great Mix Upside in rents KW Commercial is proud to represent the 13 unit apartment building in the affluent neighborhood of Sherman Oaks.

The unit mix consists of (8) 2 bedroom 1 bath units and (5) one bedroom one bath units. The building is a total of10,066 square feet and is situated on a 10,664 square foot lot.

Some of the units have been upgraded with new cabinets and granite countertops.

The tenants enjoy close proximity to the Sherman Oaks Galleria, Sherman Oaks Fashion square, and numerousupscale restaurants on Ventura Blvd. The property is in close proximity to the 405 and 101 freeways and is surroundedby an established residential tree-lined neighborhood.

The property is separately metered for gas and electricity. An astute investor will enjoy low interest rates and theincrease in rents over time.

p. 6

UNIT RENT ROLL



Unit Description Current Rent Pro Forma Rent Comments

1 1+1 $977 $1,500

2 2+1 $1,695 $1,800

3 2+1 $1,600 $1,800

4 2+1 $1,390 $1,800

5 2+1 $1,044 $1,800

6 2+1 $1,401 $1,800

7 1+1 $975 $1,500

8 1+1 $1,068 $1,500

9 2+1 $989 $1,800

10 2+1 $1,106 $1,800

11 1+1 $1,041 $1,500

12 2+1 $1,259 $1,800

13 1+1 $1,450 $1,500

p. 7

UNIT MIX REPORT



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

5 1+1 0 $1,102 $5,511 $1,500 $7,5008 2+1 0 $1,311 $10,484 $1,800 $14,40013 0 $15,995 $21,900

UNIT MIX UNIT MIX SQUARE FEET

● 1+1

● 2+1

● 1+1

● 2+1

UNIT MIX INCOME UNIT MIX MARKET INCOME

● 1+1

● 2+1

● 1+1

● 2+1

p. 8

PROPERTY PHOTOS



Front of property Courtyard pool

Kitchen Front door & living room

Bathroom Laundry room

p. 9

MAPS AND AERIALS



p. 10

RECENT SALE COMPARABLES



Subject 1 2 3 4 5 6

1%

2%

3%

4%

5%

6%

7%

8%

Avg.

3.837

Cap Rate

Subject 1 2 3 4 5 6

3.0

6.0

9.0

12.0

15.0

18.0

21.0

24.0

Avg.

15.467

Gross Rent Multiplier

Subject 1 2 3 4 5 6

$37,000

$74,000

$111,000

$148,000

$185,000

$222,000

$259,000

$296,000

Avg.

$259,122

Price per Unit

Subject 1 2 3 4 5 6

$46

$92

$138

$184

$230

$276

$322

$368

Avg.

$293.72

Price per Sq. Ft.

p. 11




S 14815 Burbank Blvd.14815 Burbank Blvd.Sherman Oaks, CA 91411

Sale Price $3,000,000

Units 13

Price/Unit $230,769

Price/SqFt $298.03

Cap Rate 3.62%

Year Built 1961

GRM 15.39

# Units Unit Type

5 1+1

8 2+1

1 5625 Kester Ave5625 Kester AveSherman Oaks, CA 91411


Units 12

Price/Unit $215,417

Price/SqFt $227.15

Cap Rate 3.38%

Year Built 1961Sale Date 8/19/2016

GRM 15.3

# Units Unit Type

1 Studio/Efficiency

7 One Bedroom One Bath

3 Two Bedroom One Bath

1 Three Bedroom Two Bath

2 4565 Hazeltine Ave4565 Hazeltine AveSherman Oaks, CA 91423


Units 15

Price/Unit $223,333

Price/SqFt $360.72

Cap Rate 3.87%


GRM 15.1

# Units Unit Type



p. 12




3 5632 Kester Ave5632 Kester AveVan Nuys, CA 91411


Units 7

Price/Unit $270,000

Price/SqFt $328.98

Cap Rate 4.53%


GRM 15.4

# Units Unit Type



4 5017 Buffalo Ave5017 Buffalo AveSherman Oaks, CA 91423


Units 10

Price/Unit $280,000

Price/SqFt $305.34

Cap Rate 4.14%


GRM 15.3

# Units Unit Type


5 14936 Magnolia Blvd14936 Magnolia BlvdSherman Oaks, CA 91403


Units 14

Price/Unit $292,857

Price/SqFt $261.05

Cap Rate 4.08%


GRM 14.9

# Units Unit Type


p. 13




6 4336 Ventura Cyn4336 Ventura CynSherman Oaks, CA 91423


Units 16

Price/Unit $273,125

Price/SqFt $279.09

Cap Rate 3.02%


GRM 16.8

# Units Unit Type


12 Two Bedroom Two Bath

p. 14




S 14815 Burbank Blvd.Sherman Oaks, CA, 91411$3,000,000

1 5625 Kester AveSherman Oaks, CA, 91411$2,585,000

2 4565 Hazeltine AveSherman Oaks, CA, 91423$3,350,000

3 5632 Kester AveVan Nuys, CA, 91411$1,890,000

4 5017 Buffalo AveSherman Oaks, CA, 91423$2,800,000

5 14936 Magnolia BlvdSherman Oaks, CA, 91403$4,100,000

6 4336 Ventura CynSherman Oaks, CA, 91423$4,370,000

p. 15

14815 Burbank Blvd. - LoopNet › d2 › SMjI8_2Uwrv8L0...14815 Burbank Blvd. Sherman Oaks, CA 91411...

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