2239 S. MARVIN AVE

Los Angeles, CA 90016JAMES CAPITAL ADVISORS

MARKETING PACKAGE

TABLE OF

Contents

CONTENTS

MEET YOUR ADVISORS

SECTION

Property Overview

Financial Analysis

Location Overview

01

02

03

Haylie PetersonAssociate(424) 325-2620

Will JamesDirector(424) 325-2610

tom jonssonDirector(424) 325-2621

2239 S. Marvin Ave, Los Angeles, CA 90016

SECTION ONE

PROPERTY OVERVIEW2239 S. MARVIN AVE

Los Angeles, CA 90016

PROPERTY OVERVIEW

DETAILSPROPERTY OVERVIEW

HIGHLIGHTS

Street Address

City

State

Zip Code

APN

Rentable Square Feet

Lot Size

Year Built

2239 S. Marvin Ave

Los Angeles

CA

90016

5063-021-031

7,325 SF

8,667 SF

1957

Number of Units

Number of Buildings

Number of Stories

Water

Electric

Gas

Construction

Roof

9 Units

1

2

Master-Metered

Individually Metered

Master-Metered

Wood-Frame Stucco

Pitched

Parking

Zoning

Unit Mix

9 On-Site Parking Spaces

RD1.5

(8) 2 Bed / 1 Bath(1) 2 Bed / 1 Bath (Townhome)

Nearby Development BoomLocated directly north of West Adams and adjacent to Culver City, the area has seen a surge in the neighborhood due to new developments and companies, such as Sweetgreen, relocating their headquarters to the area. These projects are bringing an influx of population and job opportunities, significantly improving the area.

Ideal Location for TenantsThe property is conveniently located just north of the 10 Freeway and in close proximity to Downtown Culver City, and the new retail center occupied by Target, Sprouts and other retailers.

Proximity to Metro LinesThe property sits just north, in between both the La Cienega/Jefferson and La Brea Expo line that offers an alternative transportation option for the highly dense population in the area.

Immediate Upside in RentsProperty will be delivered with one vacancy allowing the investor to capture immediate upside in market rents.

Great Unit MixThis property consists of eight 2 Bed / 1 Bath units and one 2 Bed / 1 Bath townhouse.

Convenient AmenitiesThe property includes on-site laundry bringing in additional income as well as secured on-site parking.

Los Angeles’ Mid-City SubmarketCentrally located within Los Angeles, this neighborhood offers easy accessibility to LA hotspots such as Culver City, Downtown Los Angeles, Century City and Koreatown.

Soft-Story CompliantRetrofit work has been permitted, completed and approved and meets the minimum requirements of LAMC Division 93 (Soft-Story Retrofit Ordinance).

SECTION TWO

FINANCIAL ANALYSIS2239 S. MARVIN AVE

Los Angeles, CA 90016

This information has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless James Capital Advisors, Inc. from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.

FINANCIAL ANALYSIS

PRICING ANALYSIS

Price

Price per Unit

Price per Square Foot

CAP Rate

GRM

NOI

FINANCIAL ANALYSIS

FINANCING

$2,350,000$2,350,000

$261,111

$320.82

CURRENT

4.50%

12.15

$105,634

PRO FORMA

5.95%

10.04

$139,897

Down Payment

Loan Amount

Interest Rate

Amortization / Fixed-Period

Term

Debt Service

Pre-Tax Cash Flow

Principle Reduction

Total Return

CURRENT

-$87,916

$17,718

-$28,245

$45,963

PRO FORMA

-$87,916

$51,981

-$28,245

$80,226

$787,250 (33.5%)

$1,562,750

3.85%

30 Years / 5 Years

360 Months

(2.25%)

(5.84%)

(6.60%)

(10.19%)

FINANCIAL ANALYSIS

INCOME AND EXPENSEFINANCIAL ANALYSIS

RENT SCHEDULE

* Section 8** Vacant

ANNUAL

INCOME

Base Rental Income

Laundry Income

Gross Potential Income

Vacancy Allowance

Effective Gross Income

Operating Expenses

Net Operating Income

CURRENT

$193,476

$1,500

$194,976

-$9,674

$185,302

-$79,669

$105,634

(5%)

(43%)

(5%)

(37%)

PRO FO RMA

$234,000

$1,500

$235,500

-$11,700

$223,800

-$83,903

$139,897

ANNUAL

EXPENSE

Taxes (1.17%)

Insurance ($0.65/sq. ft.)

Water (Actual)

Gas (Actual)

Repairs & Maintenance (6% of EGI)

Management Fee (5% of EGI)

Gardener ($200/month)

Pest Control ($50/month)

Reserves ($200/Unit)

Direct Assessments

Trash (Actual)

Miscellaneous (Estimated)

Operating Expenses

CURRENT

$27,596

$4,761

$12,850

$2,179

$11,118

$9,265

$2,400

$600

$1,800

$1,305

$4,295

$1,500

$79,669

PRO FORMA

$27,596

$4,761

$12,850

$2,179

$13,428

$11,190

$2,400

$600

$1,800

$1,305

$4,295

$1,500

$83,903

UNIT #

1*

2*

3*

4

5

6*

7*

8**

9*

TOTAL

UNIT TYPE

2 Bed / 1 Bath

2 Bed / 1 Bath

2 Bed / 1 Bath

2 Bed / 1 Bath

2 Bed / 1 Bath

2 Bed / 1 Bath

2 Bed / 1 Bath

2 Bed / 1 Bath

2 Bed / 1 Bath (Townhouse)

RENT

$1,995

$1,411

$1,535

$1,675

$1,850

$1,995

$1,995

$2,150

$1,517

$16,123

PRO FORMA

RENT

$2,150

$2,150

$2,150

$2,150

$2,150

$2,150

$2,150

$2,150

$2,300

$19,500

SECTION THREE

LOCATION OVERVIEW2239 S. MARVIN AVE

Los Angeles, CA 90016

LOCATION OVERVIEW

AERIALLOCATION OVERVIEW

AERIAL

LOCATION OVERVIEW

SUBMARKETLOCATION OVERVIEW

SUBMARKET

West AdamsDeveloped in the late 1800s by railroad magnate Henry Huntington, West Adams was one of the first neighborhoods in Los Angeles — and also one of its wealthiest. By the early 1900s it was outshone by the star power of celebrity residents in Hollywood and Beverly Hills. But for the first time in about a century, the area is returning to prominence.

A convergence of factors has sparked a surge in the neighborhood over the past couple of years, with office conversions, rapid lease deals, new retailers, and mixed-use projects recently coming into the area.

The expansion of the Metro Expo Line — which opened three stops in West Adams in 2012, and completed its route between Downtown Los Angeles and Santa Monica in 2016 — has opened the door for more density bonuses, which are given to multifamily developers that include affordable housing through the city’s Transit Oriented Communities program.

Most of West Adams is also a federally designated Opportunity Zone (OZ). The OZ program was enacted as part of the federal Tax Cuts and Jobs Act in 2017 and offers tax incentives for development real estate in lower-income districts.

Culver CityFrom its inception and then incorporation by Harry Culver in the early 1900s to the renovation and revitalization of its downtown that began in the 90s, Culver City is a city rich with motion picture, television and aviation history.

Sony Pictures Studios, which houses Columbia Pictures, TriStar Pictures and Screen Gems, sits on one side of Culver Boulevard; Culver Studios, one of the first studios to open in Los Angeles, and where many of the classics of Hollywood’s Golden Age were made, sits on the other. Now, a century after the silent-film era, Culver City is reclaiming its status as entertainment’s most important campus, and its architecture is evolving in tandem.

The iconic 1918 Colonial mansion of Culver Studios is now home to Amazon Studios, and the streaming giant is in the midst of building a new $620 million campus next door.

A half-mile away, HBO is planning to move into the new 5.2-acre Ivy Station development, which is under construction next to the Metro Expo Line’s Culver City Station. And Apple is moving in right across the street, to a new four-story headquarters at the intersection of Washington and National Boulevards.

LOCATION OVERVIEW

DEVELOPMENTSLOCATION OVERVIEW

DEMOGRAPHICS

1. CumulusThe project will consist of a combined 1,210 apartments and 100,000 square feet of commercial space divided between two separate buildings.

2. Rise on AdamsThe project would consist of a low-rise structure featuring 72 apartments, 33,800 square feet of ground-level commercial floor area and two levels of underground parking.

3. 5760–5780 W. Adams BlvdRedcar Properties has applied for permits to build a four-story retail and creative office building in West Adams. If approved, the Los Angeles-based development firm would add 50,000-60,000 square feet of space

4. 5600 W. Adams BlvdCIM Group has started site preparation for a three-story mixed-use development featuring 29,000 square feet of office space and street-fronting retail.

5. 5109 West Adams BlvdThe property is slated for the construction of a six-story structure featuring 69 residential units above 5,689 square feet of ground-floor retail space and 63 basement parking spaces.

Population

2024 Projection

2019 Estimate

2010 Census

Growth ‘18 - ‘23

Growth ‘10 - ‘18

Households

2024 Projection

2019 Estimate

2010 Census

Growth ‘18 - ‘23

Growth ‘10 - ‘18

Average Income

Median Income

3-Mile

352,113

348,085

337,626

1.16%

3.10%

3-Mile

144,893

143,409

140,109

1.03%

2.36%

$94,146

$65,926

1-Mile

44,289

44,143

44,766

0.33%

-1.39%

1-Mile

14,569

14,551

14,939

0.12%

-2.60%

$67,906

$50,721

5-Mile

1,137,574

1,119,097

1,055,848

1.65%

5.99%

5-Mile

459,254

452,255

429,464

1.55%

5.31%

$84,988

$55,670

The information contained in this Marketing Brochure has been obtained from sources believed to be reliable, but the accuracy or completeness of the information contained therein cannot be guaranteed. James Capital Advisors, Inc. (“Broker”) has not, and will not, verify any of this information, nor has Broker conducted, nor will it conduct, any investigation regarding these matters. Broker makes no representations, guar-antees, or warranties of any nature about the accuracy or completeness of any information provided. The information provided in this brochure is in no way a substitute for a thorough due diligence investigation by Buyer. Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to income and expenses for this property nor the future financial performance of the property. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties as to the size and square footage of the property, the presence of any contaminating substances at the property, the physical condition of the property or compliance with any State, Local or Federal regulations. In addition, Broker has made no investigation of, and has made no representations, guarantees, or warranties of any nature, with regard to the financial condition or future financial condition of any tenants, nor any future plans or intentions of tenants with regard to the continued occupancy of the property. All parties are aware that Broker has no affirmative obligation to conduct a due diligence examination of the property for any Buyer. Any and all projections or estimates used in this Marketing Brochure are for example only and do not represent the current or future performance of this property. Therefore, Broker assumes no legal responsibility for accuracy or completeness of this information, and expressly disclaims all representations, guarantees, or warranties related thereto. The value of the property to any Buyer depends on numerous factors that must be evaluated by Buyer and Buyer’s legal, tax, construction, and financial advisors. Buyer and Buyer’s advisors should conduct a thorough, independent investigation of the property to determine its suitability for Buyer’s intended usage. This investment, as with all real estate investments, carries a substantial risk. As such, Buyer and Buyer’s legal and financial advisors are strongly advised to request and review all legal and financial documentations related to the property and tenants.

A tenant’s past performance is not a guarantee of future performance. The lease rate stated for some properties may be based on a tenant’s projected sales with little or no record of actual performance or com-parable rents for the area in question. Returns are in no way guaranteed. Tenants may fail to pay the rent or property taxes or any other tenant obligations under the terms of the lease or may default under the terms of such lease. Regardless of tenant’s history of performance, and/or any lease guarantors and/or guarantees, Buyer is responsible for conducting Buyer’s own investigation of all matters related to any and all tenants and lease agreements. Broker is not, in any way, responsible for the performance of any tenant or for any breach or default by any tenant of any terms of any lease agreement related to the property. Further, Buyer is responsible for conducting Buyer’s own independent investigation of all matters related to the value of the property, including, but not limited to, the value of any long-term leases. Buyer must carefully evaluate the possibility of tenants vacating the property or breaching their leases and the likelihood and financial impact of being required to find a replacement tenant if the current tenant should default and/or abandon the property. Buyer must also evaluate Buyer’s legal ability to make alternate use of the property in the event of a tenant abandonment of the property.

CONFIDENTIALITYThis Marketing Brochure and the information contained within, is propriety and strictly confidential. It is intended to be used only by the party receiving it from Broker. It should not be made available to any other person or entity without the express written consent of Broker.

RELEASEThis Marketing Brochure has been prepared to provide basic, unverified information for prospective purchasers. By accepting this Marketing Brochure, the recipient agrees to release and hold harmless Broker from any claim, demand, liability or loss arising out, or relating in any way, to the information contained in this Marketing Brochure and from Buyer’s investigation of the property. In no event shall James Capital Advisors, Inc. or Broker be liable to any party for any direct, indirect, special, incidental, or consequential damages of any kind whatsoever arising out of the use of this Marketing Brochure or any information contained herein.

NON-ENDORSEMENTBroker is not affiliated with, endorsed by or sponsored in any way by any tenant or lessee identified in this Marketing Brochure. The presence of any entity’s logo or name is not intended in any way to indicate affiliation, sponsorship or endorsement by said entity of Broker.

JAMES CAPITAL ADVISORS, INC.

DISCLAIMERFOR INQUIRIES

PLEASE CONTACT

tom jonssonDirector

(424) 325-2621tom@jamescapitaladvisors.comCA RE Lic. 01755842

HAYLIE PETERSONAssociate

(424) 325-2620haylie.peterson@jamescapitaladvisors.comCA RE Lic. 02082006

Will JamesDirector

(424) 325-2610will@jamescapitaladvisors.comCA RE Lic. 01734419