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Jeremy HagosVice President, Investments213 435 1233License CA: 01805070
2600-2612 SOUTHWEST DRIVELOS ANGELES, CA 90043
OFFERING MEMORANDUM
EXCLUSIVELY LISTED www.LightYearRealty.com
Wynton GrantSenior Investment Associate213 435 [email protected]
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE 2
2600-2612 Southwest Drive is a mixed-use property with
approximately 5,390 SF of building on a 7,941 SF lot. The
subject property was built in 1925 and has a total of 6 units,
consisting of 5 retail and 1 residential unit. The anchoring tenant
is a liquor store which has 10% increases every 5 years beginning
in January of 2022. The other tenants include: a new art gallery,
an appliance repair shop, a marijuana dispensary, and a
VACANCY in the residential unit. Some of the tenants are month
to month, allowing the new owner to increase rates immediately.
ASSET DESCRIPTION
Address 2600-2612 Southwest Drive
City State Zip Los Angeles, CA 90043
Parcel No 4007-028-011
Property Type Mixed Use: 5 Retail, 1 Residential
Year Built 1925
Building Size 5,390 SF
Lot Size 7,941 SF
Zoning LAR1
Stories 1
Cross Street Southwest & 4th Ave
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE 3
OPORTUNITY HIGHLIGHTS
Light Year Realty is proud to present
2600-2612 Southwest Drive, Los Angeles,
CA 90043. Park Mesa Heights is located
right next to the ever-gentrifying Inglewood
area and is one of the most densely
populated areas in Los Angeles. The
subject property consists of 5 retail
storefronts and 1 residential unit. This is
an ideal opportunity for an investor
looking to earn a stable cash-flow from
day one.
INVESTMENT HIGHLIGHTS:
▪ CAP: 8.8%
▪ CORNER LOT
▪ HEAVILY POPULATED
▪ CLOSE PROXIMITY TO THE NEW
RAMS/CHARGERS STADIUM
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE 4
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE 5
FINANCIAL ANALYSIS
LIST PRICE FINANCING THE ASSET
Price $1,100,000 Down 50% $550,000 Units 6
$204.08 Loan 50% $550,000 Year Built 1925
8.8% Ammort Years 25 Gross SF 5,390
Price/SF
Current Cap
Interest Rate 4.25% Lot SF 7,941
Payments ($2,980) APN 4007-028-011
MONTHLY RENT SCHEDULE
# of Units Type Estimated SF Avg.Current Rent/SF Current Total
5 Retail 888 $1,800 $2.02 $9 0001 2 +2 950 $1,400 $1.47 $1,4006 $10,400
ANNUALIZED INCOME Current
Gross Potential Rent $124,800Less Vacancy 0% $0
Scheduled Gross Income $124,800
ANNUALIZED EXPENSES Current
Real Estate Taxes 1.250000% $13,750
Insurance $2,695
Utilities $2,156
Management 5% of SGI $6,240Repairs & Maint. of SGI $2,745Total Expenses $27,586Expenses/SF $5.12% of SGI 22.10%
RETURN Current
NOI $97,214Less Debt ($35,755)
Cashflow $61,459
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE 6
RENT ROLL
Unit # Type Estimated SF Current Rent Current Rent/SF Market Rent Market Rent/SF Lease Starts Lease Ends Options
1 2+2 950 $900 $1.00 $1,800 $1.89 Yes M2M None
2 Washer Repair 240 $500 $2.08 $750 $3.13 Yes M2M None
3 MMJ Dispensary 900 $3,500 $3.89 $3,500 $3.89 Yes 10/19 None
4 Art Gallery 900 $900 $1.00 $1,500 $1.75 Yes 10/19 None
5 Tattoo Shop 900 $1,350 $1.50 $1,500 $1.67 Yes 12/18 SOON VACANT
6 Liquor Store 1,500 $3,200 $2.13 $3,200 $2.13 1/17
Three 5 year options
(10% Increases at
Renewal)
5,390 $10,350 $12,250Totals:
1/22
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE 7
SALES COMPARABLES
Address Price Sale Date Building SF Lot SF Price/Bldg. SF CAP Zoning
1 5350 2nd Avenue $1,100,000 7/29/16 6,394 3,576 $172.04 N/A LAC2
Los Angeles, CA 90043
Mixed use property; Built in 1922
2 1409 W 65th Street $900,000 3/22/16 6,614 10,585 $136.07 5.49% LAC2
Los Angeles, CA 90047
Mixed use property, Bult in 1948
3 2614 W Manchester Blvd $750,000 10/7/16 2,650 4,356 $283.02 4.70% INC2YY
Inglewood, CA 90305
Mixed use property consisting of 2 (1+1) units and 3 retail storefronts
4 3662 W Slauson Ave $812,000 1/17/18 1,628 2,614 $498.77 N/A LCC2YY
Los Angeles, CA 90043
Averages/Totals 4322 5,283 $272.48 5.10% Zoning
S 2600-2612 Southwest Dr. $1,100,000 5,390 7,941 $204.08 11.3% LAR1
Los Angeles, CA 90043
2
1
3
4S
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE
ECONOMIC DEVELOPMENT
8
INGLEWOOD NFL STADIUM/HOLLYWOOD PARK
When completed, the project will include a 70,000-seat NFL stadium that will house the LA
Rams and the LA Chargers. 6,000 seat performance venue, a retail village and fashion
showcase, Class A Office village, residential units, 300 room hotel, 2 lakes and 4 parks. First
phase slated to open in 2020.
PATH VILLAS EUCALYPTUS-40 UNITS, 240 W. LIME ST.
Affordable rental units under construction for seniors. Slated to open in 4th quarter of 2018.
Daniel Freeman Development Site, 333 N. Prairie, 228 townhomes The project includes
townhouse condominiums and a recreation center. The first phase of the project will be
completed for sale in 2019. Locust Street Garage, between Manchester Bl. and Queen Ave.
This level-parking lot servicing Downtown has been closed for maintenance and upgrades.
The garage will reopen in early Spring 2018 with 298 vehicle (6 Electric vehicle charging
stations provided free by TESLA) and 16 bike spaces.
DOWNTOWN INGLEWOOD AND FAIRVIEW HEIGHTS METRO STATIONS
Two new light rail stations that are part of the eight-station Crenshaw/LAX line. When
completed, the Crenshaw/LAX line will offer north-south service connecting Inglewood
commuters to LAX and the entire Los Angeles Metro light rail system. The new Inglewood
stations are scheduled to open in 2019.
IHOP, CENTURY BL. AND LA BREA AVE.
A new IHOP restaurant has been permitted and is under construction. A 4th quarter
2018 opening is projected.
UNDER CONSTRUCTION
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2
3
4
2
1
3
4
www.LightYearRealty.com 2600-2612 SOUTHWEST DRIVE 9
REGIONAL MAP
KOREATOWN
CONSULATES
HOLLYWOOD
DTLA
MIRALCE MI.
CENTURY CITY
BEVERLY CENTER
DEVELOPMENTS
INGLEWOOD SENIOR CENTER
333 N. PRAIRIE TOWNHOMES
2600-2612 SOUTHWEST DRIVELOS ANGELES, CA 90043
EXCLUSIVELY LISTED www.LightYearRealty.com
Jeremy HagosVice President, Investments 213 435 1233License CA: 01805070
Wynton GrantSenior Investment Associate 213 435 1233 [email protected]
