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KW COMMERCIAL
27290 Madison Ave., Suite 200
Temecula, CA 92590
Hershberg Residences
OFFERING MEMORANDUM
ROBYN L WONNELLMultifamily Sales Specialist0 951.304.1200 X3351C [email protected] #01353690
PRESENTED BY:
1323 N. HARPER @ DE LONGPRE IN THE BEST PART OF WEST HOLLYWOOD, CA 90046
OFFERING MEMORANDUM
www.kwcommercial.com 2
ROBYN L WONNELLMultifamily Sales Specialist0 951.304.1200 X3351C [email protected] #01353690
KW COMMERCIAL
27290 Madison Ave., Suite 200
Temecula, CA 92590
Confidentiality & Disclaimer
OFFERING MEMORANDUM
All materials and information received or derived from KW Commercial its directors, officers, agents, advisors, affiliates and/or any third party sources are provided without representation orwarranty as to completeness , veracity, or accuracy, condition of the property, compliance or lack of compliance with applicable governmental requirements, developability or suitability, financialperformance of the property, projected financial performance of the property for any party’s intended use or any and all other matters.
Neither KW Commercial its directors, officers, agents, advisors, or affiliates makes any representation or warranty, express or implied, as to accuracy or completeness of the any materials orinformation provided, derived, or received. Materials and information from any source, whether written or verbal, that may be furnished for review are not a substitute for a party’s active conduct ofits own due diligence to determine these and other matters of significance to such party. KW Commercial will not investigate or verify any such matters or conduct due diligence for a party unlessotherwise agreed in writing.
EACH PARTY SHALL CONDUCT ITS OWN INDEPENDENT INVESTIGATION AND DUE DILIGENCE.
Any party contemplating or under contract or in escrow for a transaction is urged to verify all information and to conduct their own inspections and investigations including through appropriate thirdparty independent professionals selected by such party. All financial data should be verified by the party including by obtaining and reading applicable documents and reports and consultingappropriate independent professionals. KW Commercial makes no warranties and/or representations regarding the veracity, completeness, or relevance of any financial data or assumptions. KWCommercial does not serve as a financial advisor to any party regarding any proposed transaction.
All data and assumptions regarding financial performance, including that used for financial modeling purposes, may differ from actual data or performance. Any estimates of market rents and/orprojected rents that may be provided to a party do not necessarily mean that rents can be established at or increased to that level. Parties must evaluate any applicable contractual andgovernmental limitations as well as market conditions,vacancy factors and other issues in order to determine rents from or for the property. Legal questions should be discussed by the party withan attorney. Tax questions should be discussed by the party with a certified public accountant or tax attorney. Title questions should be discussed by the party with a title officer or attorney.Questions regarding the condition of the property and whether the property complies with applicable governmental requirements should be discussed by the party with appropriate engineers,architects, contractors, other consultants and governmental agencies. All properties and services are marketed by Temecula Valley in compliance with all applicable fair housing and equalopportunity laws.
We obtained the information above from sources we believe to be reliable. However, we have not verified its accuracy and make no guarantee, warranty or representation about it. It is submitted subject to the possibility of errors,omissions, change of price, rental or other conditions, prior sale, lease or financing, or withdrawal without notice. We include projections, opinions, assumptions or estimates for example only, and they may not represent current or futureperformance of the property. You and your tax and legal advisors should conduct your own investigation of the property and transaction.
PRESENTED BY:
WEST HOLLYWOOD, CA
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PROPERTY HIGHLIGHTS
PROPERTY OVERVIEWFirst time For Sale in 50 years. The HERSHBERG RESIDENCES have been passed down fromgeneration to generation. Well situated just above Fountain Avenue and just below Sunset Blvdadjacent to a prestigious Historical area. Wonderful floor plans that shows the elegance of the pastwith some modern updates and serene views to match. Surrounded by new upscale residentialapartments and condos along with original quaint, well maintained apartment houses. Update to yourtaste or use your imagination to create a new standard. EXCELLENT EXCELLENT LOCATION. Thebest location in West Hollywood.
Far Below Market Rents, Other Income far below what it could be
Upgrade or Tear Down and build new, and add more units
Adjacent Renovated Apartments rent for $4,995 - $8,800 mo.
City may allow up to 17 units. Currently 100% Occupied
Market Rent NOI Value at 3% Cap Rate is $7,100,000 + Other Income =
$7.4 million
Many Options 4 Value Increases as this is an exceptional area & property
Six - One Bedroom, One Bath, Approximately 850 square feet each,
Market Rent is 2350 or $169,200 (without major upgrades)
Four - Two Bedroom, One Bath, Approximately 1040 square feet each,
Market Rent is $2850 or $136,800 (without major upgrades)
Current Rents equal $207,552 annually (other income is 687)
Market Rents equal $306,000 (more if extra room is rented out) annually
(other income could be 11,300)
http://buildout.com/website/HershbergResidences --- for more photos
Executive Summary
HERSHBERG RESIDENCES |
Sale Price: $5,200,000
Number Of Units: 10
Price Per Unit: $520,000
Cap Rate: 3.06%
NOI: $158,982
Lot Size: 0.23 Acres
Building Size: 9,260 SF
Year Built: 1951
Zoning: WDR4*
Market: Los Angeles
Sub Market: West Hollywood
Cross Streets: N. Harper @ DeLongpre
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Additional Photos
HERSHBERG RESIDENCES |
Double Closets in Spacious Bedroom
Double Closets in Spacious Bedroom
Livingroom with Bay Windows
Kitchens vary in size and updates
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Hershberg ResidencesWest Hollywood, CA 90046
Regional Map
HERSHBERG RESIDENCES |
Rent Roll - Mkt Rents Do Not Reflect Major Upgrade
HERSHBERG RESIDENCES |
UNITNUMBER
UNITBED
UNITBATH
UNITSIZE (SF)
LEASESTART
LEASEEND
CURRENTRENT
CURRENTRENT (PER SF)
MARKETRENT
SECURITYDEPOSIT
23 Harper #1 1 1 850 10/01/2015 MTM $1,952 $2.30 $2,350 $1,900
23 Harper #2 1 1 850 03/01/2018 1 yr then MTM $1,850 $2.18 $2,350 $1,850
23 Harper #3 2 1 1,040 09/01/2017 1 yr then MTM $2,250 $2.16 $2,850 $2,250
23 Harper #4 1 1 850 03/01/2017 MTM $1,950 $2.29 $2,350 $1,950
23 Harper #5 1 1 850 09/01/2012 MTM $1,215 $1.43 $2,350 $1,150
23 Harper #6 2 1 1,040 10/01/1992 MTM $959 $0.92 $2,850 $0
27 Harper #1 2 1 1,040 04/01/2016 MTM $2,137 $2.05 $2,850 $2,100
27 Harper #2 1 1 850 10/01/2007 MTM $1,571 $1.85 $2,350 $1,400
DeLongpre #1 2 1 1,040 11/01/2007 MTM $1,723 $1.66 $2,850 $1,500
DeLongpre #2 1 1 850 08/01/2012 MTM $1,689 $1.99 $2,350 $1,600
Non Conform 0 1 0 Storage with bathroom MTM $0 $700 $0
9,260 $17,296 $1.87 $26,200 $15,700
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Storage unit is used as a part time office for the owner and has a restroom. This unit's square footage is part of the adjacent 1 bedroom unit divided years ago. Could be added back or rented separately with permit/approval. More importantly is that the new rents can be far greater than the proforma market rents based on the degree of upgrades considered. This area is superior to most others currently on the market.
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UNIT TYPE COUNT SIZE (SF) RENT RENT/SF MARKET RENT DEPOSIT
1 Bed 1 Bath 6 850 $1,734 $2.04 $2,350 $1,642
2 Bed 1 Bath 4 1,040 $1,767 $1.70 $2,850 $1,462
Totals / Averages 10 9,260 $17,476 $1.89 $25,500 $15,700
Unit Mix - Mkt Rents Do Not Include Major Upgrades
HERSHBERG RESIDENCES |
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Demographics Map
HERSHBERG RESIDENCES |
0.5 Miles 1.5 Miles 2.5 Miles
Total Population 13,023 73,479 176,546Population Density 16,581 10,395 8,991Median Age 40.0 39.6 38.5Median Age (Male) 39.8 39.4 38.6Median Age (Female) 40.4 40.2 38.6Total Households 8,650 45,153 98,996# of Persons Per HH 1.5 1.6 1.8Average HH Income $85,262 $94,639 $100,668Average House Value $797,794 $818,793 $960,470
