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1744 Butler Avenue Los Angeles, California 90025 $9,675,000 16-Unit Apartment Building in Prime West Los Angeles | Built in 1997 Major Value-Add Opportunity - Current Rents Over 35% Below Market

1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

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Page 1: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

1744 Butler AvenueLos Angeles, California 90025

$9,675,000

16-Unit Apartment Building in Prime West

Los Angeles | Built in 1997

Major Value-Add Opportunity - Current Rents Over 35% Below

Market

Page 2: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

Table of Contents3 Investment Summary

▪ The Opportunity ▪ Property Description ▪ Exterior and Interior Photos ▪ Aerial Photos

12 Market Overview ▪ Apartment Market Overview ▪ Major Employers and Places of Interest ▪ Silicon Beach Tech and

Entertainment Landscape ▪ Nearby Developments ▪ Demographics

17 Financial Summary ▪ Pricing, Property and Operating

Statement Summary ▪ Rent Roll ▪ Sales Comparables ▪ Sales Comparables Map ▪ Rent Comparables ▪ Rent Comparables Map

Copyright © 2020 Transwestern. California Brokerage License #01263636. The information in this offering memorandum was gathered by Transwestern from sources believed reliable. Transwestern has not verified the information and makes no guarantee, warranty or representation about it. It is the potential buyer’s responsibility to independently confirm its accuracy and completeness. Any projections, opinions, assumptions or estimates used are for example only and do not represent the current or future performance of the property. Potential buyers and their advisors should conduct a careful, independent investigation of the property to determine to their satisfaction the suitability of the property for their needs.

John SwartzManaging [email protected] Lic 01873487

Josh KaplanManaging [email protected] Lic 01934177

Transwestern Real Estate Services601 S. Figueroa St, Suite 3650Los Angeles, CA 90017213.624.5700transwestern.com

Troy LuceroSenior [email protected] Lic 02015701

Page 3: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

3

Transwestern as the exclusive listing agent is pleased to present

the opportunity to acquire 1744 Butler Ave, a 16-unit apartment

building built in 1997. The property is located just south of Santa

Monica Blvd, between Federal Ave, and Sawtelle Blvd in the heart

of West Los Angeles.

Investment Summary

Offering Price: $9,675,000$604,688 Per Unit

18.4 Current Gross Rent Multiplier

3.45% Current Capitalization Rate

The Opportunity ▪ PRIME VALUE-ADD OPPORTUNITY - Current rents are over 35%

below market

▪ OPPORTUNITY TO IMPLEMENT a RUBS program as leases turn over.

▪ EXCELLENT UNIT MIX – thirteen (13) 2bed+2bath units, two (2) 3bed+3bath units, and one (1) guest room unit.

▪ DESIRABLE FLOOR PLANS – All of the 2-bedroom and 3-bedroom units are large units and have fireplaces and balconies. All of the bathrooms in these units are full bathrooms.

▪ EXEMPT From Los Angeles Rent Control (RSO).

▪ AMPLE PARKING – 31 total parking spaces | 11 single spaces and 10 tandem spaces.

▪ GUEST ROOM unit will be delivered vacant.

▪ OPPORTUNITY TO INCREASE REVENUE by turning a large room on the first floor into either a bachelor unit or a gym for the tenants resulting in higher rents/revenue.

▪ OPPORTUNITY TO CONVERT a large private patio into a barbecue or outdoor lounge area for the tenants.

Page 4: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

4

1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest room unit. The property is a three-story,18,484-square-foot building with wood frame and stucco construction over a semi-subterranean parking garage situated on a 11,655-square-foot lot.

Tenants are welcomed into the building by a large atrium courtyard that features a central landscape area with large palm trees that extend up past the roof line. The units are all accessed by open corridors that provide natural light into the units. All of the units have central air, gas fireplaces, high ceilings and very large open floor plans providing an investor the opportunity to complete their own renovation plan and significantly increase rents. All units facing Butler Ave feature French doors that lead to a large balcony. Some of the units have undergone an extensive renovation program in the past two years and feature new flooring throughout, new kitchen cabinets with black stainless-steel appliances including Samsung refrigerators, and updated bathrooms. The three-bedroom units are located on the third floor and feature higher ceilings and larger windows that let in more natural light. There is an opportunity to add additional amenities for tenants by converting a large room on the first floor into a recreational room. There is also an extra-large patio space on the third floor that is currently not being utilized. Adding soft seating and barbecue grills to the space would be a great amenity to tenants and would help the building demand premium rents.

Secured tuck-under parking is provided on-site with 31 spaces comprised of 10 tandem and 11 single spaces. Units are separately metered for electricity and gas, and the landlord pays for water and trash. The property also includes a laundry room on each floor with one washer and dryer that are owned by the landlord. A trash chute can be found inside the laundry rooms in each floor for tenants’ convenience.

.

Property Description

NUMBER OF UNITS 16 units 13 2bed+2bath Two 3bed+3bath One guest room

YEAR BUILT 1997

BUILDING SIZE +18,484 SF (Per Title Pro - Buyer to verify)

LAND SIZE +11,665 SF (Per Title Pro - Buyer to verify)

ZONING [Q]R3-1 (Per Title Pro - Buyer to verify)

PARKING 31 total spaces 10 tandem 11 single

ASSESSOR PARCEL NUMBER 4261-016-027

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5

Property Location 1744 Butler Avenue is located just south of Santa Monica Boulevard, north of Olympic Boulevard and west of Interstate 405 in prime upscale West Los Angeles. The property is within walking distance of Sawtelle Japan Town and the retail corridor along Santa Monica Boulevard.

The proximity to both the Interstate 10 and 405 freeways allows tenants access to major employment centers including Santa Monica, Beverly Hills, the Olympic Corridor, Brentwood, Venice, Westwood, Century City, The South Bay, Downtown Los Angeles, and the San Fernando Valley. The Westside’s economy has expanded beyond entertainment in recent years as adjacent areas such as Playa Vista and Culver City have emerged as a major Southern California technology hub known as Silicon Beach. 1744 Butler Ave offers easy access to the world’s top tech and entertainment employers.

Property Description

Page 6: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

6

Exterior Photos

Page 7: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

7

Exterior Photos

Page 8: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

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Interior Photos

Page 9: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

9

Interior Photos

Page 10: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

10

Aerial View Facing Downtown Los Angeles

CENTURY CITY DOWNTOWN LA

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11

Aerial View Facing Santa Monica

SANTA MONICA

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12

Los Angeles Apartment Market OverviewAlthough vacancy levels were up significantly for brand-new construction apartment units in Los Angeles County during Second Quarter 2020, according to Costar, the vacancy rate for the majority of the apartment stock remained below 5%. Despite the current economic issues with the coronavirus pandemic, Costar also reported that overall market rent growth for the county is only down 1.2% for 2020 year to date. Los Angeles County currently has 25,440 units under construction, of which 8,000 are expected to be delivered this year.

West Los Angeles Submarket OverviewWest Los Angeles (often referred to as West L.A.) is a district in the Westside region of Los Angeles County. The district’s geographic boundaries are the Santa Monica Freeway (I-10) to the south, Santa Monica to the west, Brentwood and Westwood to the north, and Century City, Rancho Park and Cheviot Hills to the east. This district contains Sawtelle Japan Town, an area of Japanese- American culture along Sawtelle Boulevard.

jj

j

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Palisades Park

Santa Monica Airport

Temescal Gateway Park

University of California-LA

Veterans Administration Med Ctr

Santa Monica State Beach

Will Rogers State Historic Park

Kenneth Hahn State Recreation Area

CULVER CITY

SANTA MONICA

BEVERLY HILLS

WEST HOLLYWOOD

PALMS

VENICE

VAN NESS

WESTWOOD

JEFFERSON

HYDE PARK

MAR VISTA

PARK LA BREA

WEST LOS ANGELES

BEL AIR

VIEW PARK

BRENTWOODHANCOCK PARK

LEIMERT PARK

CENTURY CITY

LADERA HEIGHTS

BRENTWOOD PARK

MARINA DEL REY

PACIFIC PALISADES

§̈¦405

§̈¦10

§̈¦405

§̈¦10

Venice Blvd

W Pico Blvd

Wilshire Blvd

W Olympic Blvd

W S

unse

t Blv

d

W 3rd St

Melrose Ave

Rodeo Rd

Sawtelle Blvd

14th St

Beverly Blvd

Culv

er B

lvd

W Slauson Ave

evA notgnilr

A

7th St

Palms Blvd

S Sepulveda Blvd

Cre

nsh

aw B

lvd

S Bundy Dr

Overland Ave

Monta

na Ave

W Adams Blvd

S Barrington Ave

W Jefferson Blvd

Hau

ser

Blv

d

San Vicente Blvd

Motor Ave

S Centinela Ave

evA xafri aF

S

lP notli

W N

Rose Ave

tS eni

V

Westw

ood Blvd

S Ro

bert

son

Blv

d

W W

ashi

ngto

n Bl

vd

S La

Cie

nega

Blv

d

Jeff

erso

n Bl

vd

N B

everly Dr

26th St

4th StNational Blvd

Olympic

Blvd

Sepulveda Blvd

23rd St

evA aer

B aL N

lP notli

W S

Stock

er St

W 54th St

S La Brea A

ve

Pacific Ave

Main St Washington Pl

Manning Ave

Veteran Ave

Hilg

ard

Ave

Burton Way

W 18th St

Walgrove Ave

20th St

McLaughlin Ave

W Vernon Ave

Colora

do Ave

tS rendra

G N

Airport

Ave

16th St

N Palm

Dr

S Beverly Dr

Cadillac Ave

rD li

wreveB

Roscomare Rd

Cattaraugus Ave

Cotner Ave

N W

hittier Dr

tS re

woG

N

N San Vicente Blvd

Ocean Park Blvd

Ove

rhill

Dr

dvlB tse

W

S Santa Monica Blvd

Cast

le H

eigh

ts A

ve

Hughes Ave

Tem

esca

l Can

yon

Rd

Avenue of the Stars

evA dnalhgi

H N

Duquesne Ave

evA ero

mssoR

N

Calif

orni

a Av

e

W Beverly Blvd

Hillsboro A

ve

Brad

dock

Dr

N D

ohen

y D

r

Fair

fax

Ave

Mesm

er Ave

W 48th St

Club Dr

Ocean Ave

dvlB agenei

C aL N

20th St

San Vicente Blvd

Manning Ave

W Sunset Blvd

26th St

W Washington Blvd

National Blvd

UV1

UV90

£¤101

Pacific Ocean

1744 Butler Ave

Market Overview

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13

j

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Santa Monica State Beach

Veterans Administration Med Ctr

Riviera Country Club

Bel-Air Country Club

Hillcrest Country Club

Brentwood Country Club

Rancho Park Golf Course

The Los Angeles Country Club

Los Angeles National Cemetery

Will Rogers State Historic Park

CULVER CITY

BEVERLY HILLS

PALMS

WESTWOOD

WEST LOS ANGELES

BEL AIR

BRENTWOOD

CENTURY CITY

CULVER JUNCTION

SAWTELLE CHEVIOT HILLS

LUCERNE-HIGUERA

SOUTH ROBERTSON

WASHINGTON CULVER

SANTA MONICA

DOWNTOWN CULVER CITY

§̈¦405

§̈¦10

§̈¦405

§̈¦10

W S

unse

t Blv

d

W Pico Blvd

W Olympic Blvd

14th St

S Sepulveda Blvd

Wils

hire B

lvd

S Bundy Dr

Monta

na Ave

7th St

20th St

S Barrington Ave

San Vicente Blvd

Motor Ave

Venice Blvd

Overland AveSaw

telle Blvd

Westw

ood Blvd

S Ro

bert

son

Blv

d

26th St

Pico Blvd

Sunset B

lvd

N Beverly Dr

Palms Blvd

National B

lvd

S Beverly Glen Blvd

Olympic

Blvd

Manning Ave

Veteran A

ve

Burton Way

Hilgard Ave

Ocean Ave

Colora

do Ave

Cotner Ave

N Sepulveda B

lvd

rD yneho

D N

Idaho Ave

N Palm

Dr

rD ylreve

B S

rD li

wreveB

rD yneho

D S

Cattaraugus Ave

Melrose Ave

Centinela Ave

W 18th St

S Santa Monica Blvd

Cast

le H

eigh

ts A

ve

Cadillac Ave

Hughes Ave

Bellagio Rd

Avenue of the Stars

Jefferson Blvd

23rd St

W Beverly Blvd

Ocean Park Blvd

Hillsboro A

ve

dvlB nostrebo

R N

Roscomare Rd

Holloway Dr

evA dleifna

C S

Entr

ada

Dr

W Channel Rd

Club Dr

Venice Blvd

26th St

National Blvd

W Sunset Blvd

20th St

Manning Ave

UV2

UV1

Pacific Ocean

1744 Butler Ave

BrentwoodCountry Mart

Hammer Museum

Geffen Playhouse

Theater

The GettyCenter

SawtelleJapantown

WestfieldCentury

City

Rodeo Drive

MGM MirageHoulihan Lokey Inc.

ICM Partners

Activision Blizzard

Universal Music Group

MGM Resorts InternationalHBO

Geffen Records Water Garden Management

Lionsgate Entertainment

Fox 11 Los Angeles

Manatt Phelps & Phillips LLP

Leonard Green & Partners LP

Professional Security Consultants

UCLA Health System

UCLA School of Medicine

University of California, Los Angeles

Major Employers ▪ UCLA Health System

▪ University Of California, Los Angeles

▪ Fox11 Los Angeles

▪ Leonard Green & Partners LP

▪ Professional Security Consultants

▪ Universal Music Group

▪ Water Garden Management

▪ Activision Blizzard

▪ Home Box Office

▪ Houlihan Lokey Inc.

▪ ICM Partners

▪ UCLA School Of Medicine

▪ Geffen Records

▪ Lions Gate Entertainment

▪ Manatt Phelps & Phillips LLP

▪ MGM Mirage

▪ MGM Resorts International

Points of Interest ▪ Brentwood Country Mart

▪ Sawtelle Japantown

▪ Geffen Playhouse Theater

▪ Hammer Museum

▪ Westfield Century City

▪ Rodeo Drive

Major Employers andPoints of Interest

Page 14: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

14

W Pic o Blvd

Cul

ver

Blvd

Wils

hire B

lvd

Venice Blvd

Monta

na Ave

20th S t

S Sepulveda Blvd

S La

Cie

ne

ga

Blv

d

San V icente Blvd

Rose A ve

S Centinela A

ve

SF a

i rfa

xA

veO

cean A ve

S Bundy Dr

26th S t

WO lympic

Blvd

Rodeo Rd

SR

ob

ert

son

Blv

dWestw

ood Blvd

LincolnBlv d

O ly mpic Blvd

Pacific Ave

Nat ional Blvd

W

S uns e tBl

vd

Overland A

ve

Manning A ve

O cean Park Blvd

Motor

A ve

Washing ton Pl

W J efferson Blvd

Sepul veda Blvd

Pico Blvd

everly Glen B

lvd

Santa M

onica B

lvd

C entinela A veW

C e nt ine la A ve

St ocker St

s

La B

rea

Ave

Be

verw

il D

r

ge

Ave

Beethoven S t

W Washing ton Blvd

lvd

Playa St

Neilson W

ay

4th S t

Gat

eway

Blv

d

W ashing ton Blv d

W S lauson A ve

St

Venice Blvd

S S

ep

ulv

ed

a B

lvd

W i lshire Blvd

20th S t

Linco ln Blvd

Venice Blvd

26th S t

W J efferson Blvd

Linco ln Blvd

Overland A ve

anV icente Blvd

W O lympic Blvd

S C entinela A ve

Venice Blvd

Cul

ver

Blvd

J eff

ers

on

Blvd

Pico Blvd

W W ashing ton Blvd

Linco ln Blvd

N at i onal Blvd

S Bundy D

r

W S unse

Overland A

ve

Venice Blvd

Palms

Westwood

Crenshaw

Brentwood

Ocean Park

Rancho Park

Windsor Hills

Marina del Rey

Ladera Heights

West Los A ngeles

Venice

Culver City

Santa Monica

405

10

10

187

90

1

2

1

187

1

1

1

90

1

1744 Butler Ave

Silicon Beach Tech and Entertainment Landscape

Page 15: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

15

Linea | 2455 S Sepulveda BlvdDeveloped by Carmel Partners, Linea is a new 595-unit apartment building next to the Expo/Sepulveda Metro station.

Landmark Apartments | 11750 Wilshire BlvdCurrently under construction, Landmark Two is a new apartment development by Douglas Emmett. Landmark Two, scheduled for completion in 2022, has a total of 376 units.

West Edge | 12101 W Olympic BlvdWest Edge, a mixed-use building currently under construction from developer Hines will consist of 200,000 SF of creative office space, 90,000 SF of retail and 600 apartments.

LUMEN West LA | 11355-11377 W Olympic BlvdThe under-construction LUMEN West LA project from developers McCarthy Cook and Northwood Investors will add approximately 120,000 square feet of new office and retail space to the property at 11355 W. Olympic Boulevard.

Expo Station | 12414 Exposition Blvd.Now under construction, Expo Station is a 3-story creative office development from Luzzato Company. The building is comprised of 80,340 SF.

On Butler | 11419 W Olympic BlvdOn Butler is a 77-unit apartment building with 6,500 square feet of retail space. Currently under construction, On Butler is developed by Hypericum Companies

1650 Sawtelle | 1650 Sawtelle BlvdDeveloped by Nayssan Properties, 1650 Sawtelle will bring 48 apartment units to West LA.

WEST LOS ANGELES

§̈¦405

§̈¦10

§̈¦405

§̈¦10

S Bundy Dr

W Pico Blvd

W Olympic Blvd

S Barrington Ave

Sawtelle Blvd

S Sepulveda Blvd

Cotner Ave

Westw

ood Blvd

Idaho Ave

Wils

hire B

lvd

Olympic Blvd

Colora

do Ave

Gat

eway

Blv

dCentinela Ave

26th

St

Overland Ave

National Blvd

Beloit AveUV2

Barry Ave

Federal Ave

Colby Ave

Butler Ave

Ohio Ave

Iowa Ave

Corinth Ave

Texas Ave

Stoner Ave

Veteran Ave

Armacost Ave

Kelton Ave

Selby Ave

Purdue Ave

Missouri Ave

S Westgate Ave

Mississippi Ave

Camden Ave

Midvale Ave

Centinela Ave

Nebraska Ave

La Grange Ave

Brockton Ave

Military Ave

Beloit Ave

Wellesley Ave

S Bentley Ave

Pontius Ave

Franklin St

Glendon Ave

Malcolm

Ave

Greenfield Ave

Exposition Blvd

Tennessee Ave

Goshen A

ve

Stewart St

Pelham Ave

Ayres Ave

Amherst Ave

Kiowa A

ve

Pearl St

Roch

este

r Ave

Broadway

Sawtelle Blvd

Mayfield

Ave

Granville Ave

Berkeley St

S Carmelina Ave

Overland Ave

Tilden Ave

S Saltair Ave

Manning Ave

Delaware AveRichland Ave

Yale St

Virginia Ave

Stanford St

Dowlen Dr W

Parnell Ave

Sardis Ave

Darlingto

n Ave

Brookhaven Ave

Cotner Ave

Massachusetts Ave

Graham Pl

Idaho Ave

W D

oroth

y St

Tennessee Pl

Pennsylvania A

ve

McC

lella

n D

r

Coolidge Ave

Wyoming Ave

Dowlen Dr E

Massachusetts Ave

Midvale Ave

Ohio A

ve

Colby Ave

Exposition Blvd

Amherst Ave

Stoner Ave

S Bentley Ave

Tennessee Ave

Federal Ave

Stoner Ave

Exposition Blvd

Nebrask

a Ave

Exposition Blvd

Rochester Ave

Tennessee A

ve

S Carmelina Ave

Ayres AveGranville Ave

Veteran Ave

Veteran Ave

Pennsylvania A

ve

Granville Ave

Richland Ave

Butler Ave

S Bentley Ave

Granville Ave

Missouri Ave

Kelton Ave

Stanford St

Kelton Ave

Tilden Ave

S Saltair Ave

Butler Ave

Barry AveColby Ave

Greenfield Ave

Iowa A

ve

S Bentley Ave

Pontius Ave

Berkeley St

Kelton AveMississippi Ave

La Grange Ave

Greenfield Ave

Granville Ave

Purdue Ave

Exposition Blvd

Camden Ave

Beloit Ave

Amherst Ave

Corinth Ave

Pearl St

3A

3B

2A

3A

2B

2C

54

55A

55A

1650 Sawtelle

LUMEN West LA

On Butler

Linea

West Edge

Expo Station

Landmark Apartments

1744 Butler Ave

▪ Linea 2455 S. Sepulveda Blvd 595 Units Delivered 2020

▪ Landmark Apartments 11750 Wilshire Blvd 376 Units Under Construction

▪ West Edge 12101 W. Olympic Blvd 600 Units, 200,000 SF office and 90,000 SF retail Under Construction

▪ LUMEN West LA 11355-11377 W Olympic Blvd 120,000 SF of office and retail Under construction

▪ Expo Station 12414 Exposition Blvd 80,340 SF creative office Under construction

▪ On Butler 11419 W Olympic Blvd 77 units and 6,500 SF of retail Under construction

▪ 1650 Sawtelle 1650 Sawtelle Blvd 48 units Under construction

Nearby Developments

Linea West Edge

Page 16: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

1 MILE 3 MILE 5 MILEPOPULATION # % CHANGE # % CHANGE # % CHANGE

2010 Census 44,070 282,887 565,529

2019 Estimate 47,033 0.71% 295,744 0.48% 594,882 0.55%

2024 Projection 49,684 1.10% 303,825 0.54% 611,132 0.54%

HOUSEHOLD # % # % # %

2010 Census 22,502 129,217 261,771

2019 Estimate 23,675 0.55% 133,554 0.36% 273,494 0.47%

2024 Projection 24,811 0.94% 136,635 0.46% 280,160 0.48%

ETHNICITY/RACE # % # % # %

White 26,902 57.2% 191,346 64.7% 393,218 66.1%

Black 1,270 2.7% 10,647 3.6% 30,934 5.2%

Asian 11,758 25.0% 56,783 19.2% 88,638 14.9%

Hispanic Origin (Any Race) 8,607 18.3% 46,727 15.8% 108,269 18.2%

Other 18,859 40.1% 94,046 31.8% 170,731 28.7%

EDUCATION # % # % # %

Less than 9th grade 1,331 3.6% 5,947 2.8% 14,984 3.4%

Some High School 1,146 3.1% 5,310 2.5% 11,458 2.6%

High School Graduate 2,588 7.0% 15,929 7.5% 37,900 8.6%

GED/Alternative Credential 185 0.5% 1,487 0.7% 3,085 0.7%

Some College, no degree 4,807 13.0% 29,309 13.8% 65,664 14.9%

Associate Degree 1,849 5.0% 10,407 4.9% 21,594 4.9%

Bachelor's Degree 14,642 39.6% 79,858 37.6% 160,854 36.5%

Graduate/Professional Degree 10,390 28.1% 64,353 30.3% 125,158 28.4%

WORKPLACE & INCOME # % # % # %

Median Household Income $83,814 $89,719 $91,627

Average Household Income $118,073 $136,387 $139,612

All Employees 29,949 166,547 338,239

White Collar 24,528 81.9% 137,734 82.7% 276,680 81.8%

Blue Collar 3,893 13.0% 20,319 12.2% 42,280 12.5%

Services 1,557 5.2% 8,494 5.1% 18,941 5.6%

Daytime Population 84,751 474,736 901,453

2019 POPULATION

47,033 (+0.7% since 2010)

2024 POPULATION

49,684 (+1.1% est. over 2019)

MEDIAN AGE

35.3 years old

EDUCATION

68% have bachelor’s or higher

AVERAGE INCOME

$118,073

Demographics

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17

PRICING SUMMARYPrice $9,675,000 Price Per Unit $604,688 Price Per SF $523 Current NOI $333,364 Pro Forma NOI $505,173 Cap Rate - Current 3.45%Cap Rate - Pro Forma 5.22%GRM - Current 18.4xGRM - Pro Forma 13.4x

PROPERTY SUMMARYYear Built 1997 Total Units 16 Building Area 18,484 SFAPN# 4261-016-027 Land Area 11,655 SFZoning [Q]R3-1 Parking 31 Spaces

11 Single, 10 Tandem

RENT ROLL SUMMARY CURRENT PRO FORMA

NO. UNITS FLOOR PLAN

IN-PLACE AVERAGE

RENT

TOTAL MONTHLY INCOME

SCHEDULED GROSS

INCOMEAVG PRO

FORMA RENT

TOTAL MONTHLY INCOME

SCHEDULED GROSS

INCOMELOSS TO

LEASELOSS TO LEASE %

1 Guest Room $2,000 $2,000 $24,000 $2,000 $2,000 $24,000 $0 0%13 2B+2BA $2,686 $34,924 $419,088 $3,700 $48,100 $577,200 $158,112 38%2 3B+3BA $3,225 $6,450 $77,400 $4,150 $8,300 $99,600 $22,200 29%

Totals/WTD Avg. 16 $2,711 $43,374 $520,488 $3,650 $58,400 $700,800 $180,312 35%

OPERATING STATEMENT SUMMARYREVENUE IN-PLACE PRO FORMAGross Potential Rent $520,488 $700,800 Vacancy (3%) - (21,024)Net Rental Income $520,488 $679,776 Laundry Income 4,600 4,600 RUBS Income - 16,032 Effective Gross Income $525,088 $700,408 ESTIMATED EXPENSES Per Unit Per UnitAdministrative $2,000 $125 $2,000 $125 Repairs & Maintenance 8,000 500 8,000 500 Turnover Expense 2,400 150 2,400 150 Management Fee (3.5%) 21,004 1,313 24,514 1,532 Utilities 31,516 1,970 31,516 1,970 Contract Services 4,800 300 4,800 300 Property Taxes (1.17%) 113,611 7,101 113,611 7,101 Direct Property Tax Assessment 1,993 125 1,993 125 Insurance 6,000 375 6,000 375 Total Expenses $191,724 $11,983 $195,235 $12,202 Net Operating Income $333,364 $505,173 Expense Ratio (% of EGI) 37% ($10.37 PSF) 28% ($10.56 PSF)

Financial Summary

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18

CURRENT PRO FORMA

UNITOCCUPIED /

VACANT UNIT TYPE CURRENT RENTSCHEDULED

GROSS INCOME MARKET RENTSCHEDULED

GROSS INCOME LOSS TO LEASE101 Occupied 2B+2BA $2,999 $35,988 $3,700 $44,400 $701 102 Occupied 2B+2BA $2,525 $30,300 $3,700 $44,400 $1,175 103 Occupied 2B+2BA $2,750 $33,000 $3,700 $44,400 $950 104 Occupied 2B+2BA $2,525 $30,300 $3,700 $44,400 $1,175 105 Occupied 2B+2BA $2,525 $30,300 $3,700 $44,400 $1,175 201 Occupied 3B+3BA $3,200 $38,400 $4,150 $49,800 $950 202 Occupied 2B+2BA $2,425 $29,100 $3,700 $44,400 $1,275 203 Occupied 2B+2BA $2,700 $32,400 $3,700 $44,400 $1,000 204 Occupied 2B+2BA $2,525 $30,300 $3,700 $44,400 $1,175 205 Occupied 2B+2BA $2,700 $32,400 $3,700 $44,400 $1,000 206 Vacant Guest Room $2,000 $24,000 $2,000 $24,000 $0 301 Occupied 3B+3BA $3,250 $39,000 $4,150 $49,800 $900 302 Occupied 2B+2BA $3,500 $42,000 $3,700 $44,400 $200 303 Occupied 2B+2BA $2,525 $30,300 $3,700 $44,400 $1,175 304 Occupied 2B+2BA $2,525 $30,300 $3,700 $44,400 $1,175 305 Occupied 2B+2BA $2,700 $32,400 $3,700 $44,400 $1,000 Totals 16 18,484 SF $43,374 $520,488 $58,400 $700,800 $15,026

Loss To Lease % 35%

Rent Roll SummaryCURRENT PRO FORMA

NO.UNITS UNIT MIX % FLOOR PLANAVG. IN-PLACE

RENT TOTAL MONTHLY

INCOMEAVG. PRO

FORMA RENTTOTAL MONTHLY

INCOME LOSS TO LEASE1 6% Guest Room $2,000 $2,000 $2,000 $2,000 $0

13 81% 2B+2BA $2,686 $34,924 $3,700 $48,100 $13,176 2 13% 3B+3BA $3,225 $6,450 $4,150 $8,300 $1,850

Total/WTD Avg. 100% 16 $2,711 $43,374 $3,650 $58,400 $15,026 Gross Potential Income $520,488 $700,800 $180,312

Rent Roll

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19

PROPERTY ADDRESSYEAR BUILT

SALE DATE SALE PRICE

CAP RATE GRM $PSF

$ PER UNIT BLDG SF

AVG UNIT SF

# OF UNITS

1818 Camden Ave Los Angeles, CA 90025

1987 May-2019 $9,792,000 N/A N/A $511 $612,000 19,166 1,198 16

1600 Camden Ave Los Angeles, CA 90025

1985 Feb-2019 $4,808,000 4.12% 15.7 $485 $601,000 9,918 1,240 8

1751 S Bentley Ave Los Angeles, CA 90025

1986 Apr-2018 $4,385,000 3.08% 19.9 $571 $626,429 7,674 1,096 7

1665 Manning Ave Los Angeles, CA 90024

2000 Feb-2018 $3,900,000 3.16% 19.6 $613 $650,000 6,358 1,060 6

TOTAL / AVERAGE $22,885,000 3.48% 18.0 $531 $618,514 43,116 1,165 37

1744 BUTLER AVE 1997 $9,675,000 3.45% 18.4 $523 $604,688 18,484 1,155 16

Sales Comparables

Page 20: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

j

WEST LOS ANGELES

§̈¦405

§̈¦405

S Barrington Ave

S Sepulveda Blvd

Westw

ood Blvd

W Olympic Blvd

Cotner Ave

S Bundy Dr

Idaho Ave

Sawtelle Blvd

W Pico Blvd

Wils

hire B

lvd

San Vicente Blvd

Manning Ave

Colora

do Ave

Beloit Ave

UV2

Ohio Ave

Barry Ave

Veteran Ave

Butler Ave

Colby Ave

Federal Ave

Iowa Ave

Corinth Ave

Missouri Ave

Kelton Ave

Texas Ave

Stoner Ave

Armacost Ave

Purdue Ave

Camden Ave

Midvale Ave

La Grange AveS Westgate Ave

Nebraska Ave

Brockton Ave

Beloit Ave

S Bentley Ave

Pontius Ave

Glendon Ave

Mississippi Ave Selby Ave

Greenfield Ave

Kiowa A

ve

Malcolm

Ave

Goshen A

ve

Wellesley Ave

Tennessee Ave

Mayfield

Ave

Massachusetts Ave

Roch

este

r Ave

Sawtelle Blvd

Pelham Ave

Exposition Blvd

Overland Ave

Darlingto

n Ave

Granville Ave

Amherst Ave

Ayres Ave

Centinela Ave

S Saltair Ave

Manning Ave

Gorham

Ave

S Carmelina Ave

Military Ave

Dowlen Dr E

Franklin St

Parnell Ave

Dowlen Dr W

Wilkins Ave

Doroth

y St

Eastborn

e AveHolman Ave

Cotner Ave

Bonsall Ave

E Temple W

ay

Prosser Ave

Idaho Ave

Hadley Ln N Temple W

ay

Wyoming Ave

Bringham Ave

Fairburn Ave

Amherst Ave

Ohio A

ve

Camden Ave

S Bentley Ave

Stoner Ave

Holman Ave

Rochester Ave

Selby Ave

S Saltair Ave

La Grange Ave

Iowa A

ve

Glendon Ave

Midvale Ave

Greenfield Ave

Malcolm

Ave

Tennessee Ave

Granville Ave Midvale Ave

Malcolm Ave

Granville Ave

Kelton Ave

Missouri Ave

Mississippi Ave

Veteran Ave

Exposition Blvd

S Westgate Ave

Nebrask

a Ave

Malcolm

Ave

Beloit Ave

Pontius Ave

Veteran AveKelton Ave

Massachusetts Ave

Granville Ave

54

55A

55A

55B

55B-C

1600 Camden Ave

1751 S Bentley Ave 1818 Camden Ave

1665 Manning Ave

1744 Butler Ave

Sales Comparables

Page 21: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

21

PROPERTY ADDRESS UNIT TYPE RENT COMMENTS

11950 Idaho Ave Single1 $2,558 Hardwood floors, stainless-steel appliances, controlled access, in unit laundry, garage parking, storage units.

1845 Butler Ave Single1 $2,194 Walk in closets, stainless-steel appliances, smart home technology, balcony, tile bathrooms, carpet living area, fireplace, communal laundry.

1929 Beloit Ave 2B+2BA $3,574 Sleek cabinetry, quartz countertops, stainless-steel appliances, custom lighting and hardwood-style vinyl flooring. Lavish in conveniences like air conditioning, an in-home washer and dryer, and your own private patio or balcony.

1432 S Saltair Ave 2B+2BA $3,895 Fully remodeled, large master bedroom, walk-in closets, custom kitchen recessed lighting, custom tile floors, quartz countertops, stainless-steel appliances, in-unit laundry.

2121 Beloit Ave 2B+2BA $3,900 Bountiful natural light in each room, no window obstructions, large walk-in closets or large sliding-door closets, granite kitchen counters.

2114 Colby Ave 3B+2BA2 $3,995 In-unit laundry, gated garage parking, hardwood floors, granite countertops, refrigerator, dishwasher, oven, spacious bedrooms.

Rent Comparables

Page 22: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

22

PROPERTY ADDRESS UNIT TYPE RENT COMMENTS

1658 Colby Ave 3B+2.5BA2 $4,300 Laundry on-site, walk-in closet, master bath two-sink vanity, gas stovetop/oven, large fridge, dishwasher, large walk-in pantry, Venetian blinds, white stone fireplace.

1518 Federal Ave 3B+3BA $4,195 Kitchen with stainless-steel appliances, in-unit laundry, laminate hardwood floors, gated single-spaced parking (2 spaces) plenty of closet space, central AC and heating.

1Market rents for single units were utilized to estimate subject’s guest room unit market rent

2Market rents for 3b+2ba and 3b+2.5ba units were utilized to estimate subject’s 3b+3ba market rent

SUMMARY UNIT TYPE # OF UNITS AVG RENT

SUBJECT PROPERTY

Single 2 $2,376 $2,000

2B+2BA 3 $3,790 $3,700

3B+3BA 3 $4,163 $4,150

Rent Comparables

Page 23: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

j

WEST LOS ANGELES

§̈¦405

§̈¦405

S Barrington Ave

S Sepulveda Blvd

Westw

ood Blvd

W Olympic Blvd

Cotner Ave

S Bundy Dr

Idaho Ave

Sawtelle Blvd

W Pico Blvd

Wils

hire B

lvd

San Vicente Blvd

Manning Ave

Colora

do Ave

Beloit Ave

UV2

Ohio Ave

Barry Ave

Veteran Ave

Butler Ave

Colby Ave

Federal Ave

Iowa Ave

Corinth Ave

Missouri Ave

Kelton Ave

Texas Ave

Stoner Ave

Armacost Ave

Purdue Ave

Camden Ave

Midvale Ave

La Grange AveS Westgate Ave

Nebraska Ave

Brockton Ave

Beloit Ave

S Bentley Ave

Pontius Ave

Glendon Ave

Mississippi Ave Selby Ave

Greenfield Ave

Kiowa A

ve

Malcolm

Ave

Goshen A

ve

Wellesley Ave

Tennessee Ave

Mayfield

Ave

Massachusetts Ave

Roch

este

r Ave

Sawtelle Blvd

Pelham Ave

Exposition Blvd

Overland Ave

Darlingto

n Ave

Granville Ave

Amherst Ave

Ayres Ave

Centinela Ave

S Saltair Ave

Manning Ave

Gorham

Ave

S Carmelina Ave

Military Ave

Dowlen Dr E

Franklin St

Parnell Ave

Dowlen Dr W

Wilkins Ave

Doroth

y St

Eastborn

e AveHolman Ave

Cotner Ave

Bonsall Ave

E Temple W

ay

Prosser Ave

Idaho Ave

Hadley Ln N Temple W

ay

Wyoming Ave

Bringham Ave

Fairburn Ave

Amherst Ave

Ohio A

ve

Camden Ave

S Bentley Ave

Stoner Ave

Holman Ave

Rochester Ave

Selby Ave

S Saltair Ave

La Grange Ave

Iowa A

ve

Glendon Ave

Midvale Ave

Greenfield Ave

Malcolm

Ave

Tennessee Ave

Granville Ave Midvale Ave

Malcolm Ave

Granville Ave

Kelton Ave

Missouri Ave

Mississippi Ave

Veteran Ave

Exposition Blvd

S Westgate Ave

Nebrask

a Ave

Malcolm

Ave

Beloit Ave

Pontius Ave

Veteran AveKelton Ave

Massachusetts Ave

Granville Ave

54

55A

55A

55B

55B-C

2121 Beloit Ave

1518 Federal Ave

1432 S Saltair Ave

11950 Idaho Ave

1929 Beloit Ave

2114 Colby Ave

1817 Corinth Ave

1658 Colby Ave

1845 Butler Ave

1744 Butler Ave

Rent Comparables

Page 24: 1744 Butler Avenue€¦ · 1744 Butler Ave is a 16-unit apartment building constructed in 1997. The unit mix consists of 13 2bed+2bath units, two 3bed+3bathroom units, and one guest

John SwartzManaging [email protected] Lic 01873487

Josh KaplanManaging [email protected] Lic 01934177

Transwestern601 S. Figueroa St, Suite 3650Los Angeles, CA 90017213.624.5700transwestern.com

The information provided herein was obtained from sources believed reliable; however, Transwestern makes no guarantees, warranties or representations as to the completeness of accuracy thereof. The presentation of this property is submitted subject to errors, omissions, change of price or conditions, prior to sale or lease, or withdrawl without notice. Copyright © 2020 Transwestern. CA Lic 01263636.

Troy LuceroSenior [email protected] Lic 02015701

Los Angeles

Multifamily

Investment

Group