3205 Descanso Dr
Los Angeles, CA 90026
Multifamily Property For Sale · 26 Units
INVESTMENT HIGHLIGHTS
- Highly desirable location in Silver Lake— one of the most sought-after multifamily rental markets and affluent resident-bases in Los Angeles
- Rated as a “Very Walkable” place to live with a Walk Score of 95/100—offering residents immediate access to Silver Lake’s best dining and shopping
- Easy access to the I-5 and 101 Freeways, Connecting the property to the greater Los Angeles Area
- Nestled between Downtown Los Angeles, Burbank and Hollywood—three of LA’s major employment hubs
- Average submarket asking rent has grown 13.3% over the past year and is forecasted to rise another 23.1% in the next 5 years
- Just a short 5 minute drive to the famous Echo Park, and a 10 minute drive to Dodger Stadium
EXECUTIVE SUMMARY
Multifamily Investment Opportunity
• 26-unit Art Deco multifamily property with 17,760 square feet of building space—first time on the market in over 25 years
• Priced below replacement costs in a prime neighborhood at $215,385 per unit and $315 per square foot
• Currently at a 5.56% cap rate to stabilize at nearly a 6.39% cap rate
• Diverse unit-mix with (5) efficiency, (11) studio, (8) one-bedroom, and (2) two bedroom floor plans—each unit boasting hard wood or laminate floors, and exposed brick in the living rooms
• Potential to add 12.4% rental upside by renovating unit interiors to feature recess lighting, stainless steel appliances, and modernizing the interior while updating the common areas
• The property features a charming courtyard setting, a cobblestone side pathway, and seating areas with significant outside space to allow bike storage or rental station creating an amenity for carless tenants
Strong Multifamily Fundamentals
• Average submarket asking rent has grown 13.3% over the past year and is forecasted to rise another 23.1% in the next 5 years
• Submarket occupancy averaged 94.6% over the past five years, with the property consistently outperforming the submarket average at 97.5%
• Affluent resident base boasts an average household income of $120,079 (one-mile radius), which is expected to increase by 23.3% over the next five years
• Robust employment base of 604,150 within a five-mile radius
• Favorable rental market with a majority rentership rate of 73.7% within a one-mile radius
• Silver Lake home values have gone up 26.1% over the past year
• 26-unit Art Deco multifamily property with 17,760 square feet of building space—first time on the market in over 25 years
• Priced below replacement costs in a prime neighborhood at $215,385 per unit and $315 per square foot
• Currently at a 5.56% cap rate to stabilize at nearly a 6.39% cap rate
• Diverse unit-mix with (5) efficiency, (11) studio, (8) one-bedroom, and (2) two bedroom floor plans—each unit boasting hard wood or laminate floors, and exposed brick in the living rooms
• Potential to add 12.4% rental upside by renovating unit interiors to feature recess lighting, stainless steel appliances, and modernizing the interior while updating the common areas
• The property features a charming courtyard setting, a cobblestone side pathway, and seating areas with significant outside space to allow bike storage or rental station creating an amenity for carless tenants
Strong Multifamily Fundamentals
• Average submarket asking rent has grown 13.3% over the past year and is forecasted to rise another 23.1% in the next 5 years
• Submarket occupancy averaged 94.6% over the past five years, with the property consistently outperforming the submarket average at 97.5%
• Affluent resident base boasts an average household income of $120,079 (one-mile radius), which is expected to increase by 23.3% over the next five years
• Robust employment base of 604,150 within a five-mile radius
• Favorable rental market with a majority rentership rate of 73.7% within a one-mile radius
• Silver Lake home values have gone up 26.1% over the past year
PROPERTY FACTS
| Price Per Unit | $215,385 |
| Sale Type | Investment |
| Cap Rate | 5.56% |
| Gross Rent Multiplier | 10.74 |
| No. Units | 26 |
| Property Type | Multifamily |
| Property Subtype | Apartment |
| Apartment Style | Mid Rise |
| Building Class | C |
| Lot Size | 0.14 AC |
| Building Size | 17,760 SF |
| No. Stories | 5 |
| Year Built | 1928 |
| Parking Ratio | 1.3/1,000 SF |
UNIT AMENITIES
- Heating
- Kitchen
- Hardwood Floors
- Oven
- Range
- Freezer
SITE AMENITIES
- Laundry Facilities
- Gated
- Bicycle Storage
UNIT MIX INFORMATION
| DESCRIPTION | NO. UNITS | AVG. RENT/MO | SF |
|---|---|---|---|
| Studios | 16 | - | 500 |
| 1+1 | 8 | - | 650 |
| 2+2 | 2 | - | - |
PROPERTY TAXES
| Parcel Number | 5426-007-002 | Improvements Assessment | $444,176 |
| Land Assessment | $159,836 | Total Assessment | $604,012 |
ZONING
| Zoning Code | LAR3 |
