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Multifamily

8991 Dorothy

8991 Dorothy Ave, South Gate, CA 90280

Listing Price: $1,650,000

Cap Rate
5.33%
Number of Units
5
Price/Unit
$330,000
Price/Gross SF
$497.44
Gross SF
3,317

Investment Overview

Marcus & Millichap is pleased to present 8991 Dorothy Avenue located in South Gate, CA, where there is no LA rent control (only subject to AB-1482). Built in 1947 and recently renovated in 2021, the 3,317 square foot property sits on a 0.18 acre lot, and it is comprised of a 3 Bed / 1 Bath House in front and a 4 unit building at the back of the lot with all 1 Bed / 1 Bath Units. The sellers have spent the past year renovating the property inside and out. All 5 units have been upgraded as well as the entire exterior of the property, which presents the buyer an excellent opportunity to add value add without any significant deferred maintenance. Without LA Rent control, the buyer will be able to raise rents over the coming years at a faster rate, allowing quicker access to the estimated 17% upside potential in rents. Additionally, the Buyer would be wise to consider converting the one car garage in the middle of the lot to an ADU, which would add a significant amount of value at a lower cost than ground up construction ADUs. Owners in South Gate enjoy the high demand for rentals in the mid-cities of Southern California. Tenants can appreciate living across from South Gate Park, offering many outdoor and indoor recreation activities including tennis, soccer, baseball, a skate park and batting cages. One of the most known soccer centers in all of Southern California, Goals Soccer, is also located at this park. Situated approximately 7 miles southeast of downtown Los Angeles, South Gate is the 17th largest city in Los Angeles County, comprising 7.4 square miles. Strategically located near major highways, including Interstate 710 (Long Beach Freeway), Interstate 5 (Santa Ana Freeway) and Interstate 105 (Glen Anderson Freeway). South Gate is known as the “Azalea City” when it adopted the flowers as its symbol in 1965 and has a population of 94,642 as of 2019.

Investment Highlights

  • Built in 1947 w/ Renovations
  • Not Subject to LA Rent Control
  • Approx. 17% Upside in Rents
  • Convert Garage to an ADU
  • 3 Bed House & 4-Unit in Back
  • Strong Cash on Cash Return
  • Attractive Interest Only Loan
  • Great South Gate Location

Exclusively Listed By

Financing By

Multifamily

8991 Dorothy

Listing Price: $1,650,000

Cap Rate
5.33%
Number of Units
5
Price/Unit
$330,000
Price/Gross SF
$497.44
Gross SF
3,317

Investment Highlights

  • Built in 1947 w/ Renovations
  • Not Subject to LA Rent Control
  • Approx. 17% Upside in Rents
  • Convert Garage to an ADU
  • 3 Bed House & 4-Unit in Back
  • Strong Cash on Cash Return
  • Attractive Interest Only Loan
  • Great South Gate Location

Investment Overview

Marcus & Millichap is pleased to present 8991 Dorothy Avenue located in South Gate, CA, where there is no LA rent control (only subject to AB-1482). Built in 1947 and recently renovated in 2021, the 3,317 square foot property sits on a 0.18 acre lot, and it is comprised of a 3 Bed / 1 Bath House in front and a 4 unit building at the back of the lot with all 1 Bed / 1 Bath Units. The sellers have spent the past year renovating the property inside and out. All 5 units have been upgraded as well as the entire exterior of the property, which presents the buyer an excellent opportunity to add value add without any significant deferred maintenance. Without LA Rent control, the buyer will be able to raise rents over the coming years at a faster rate, allowing quicker access to the estimated 17% upside potential in rents. Additionally, the Buyer would be wise to consider converting the one car garage in the middle of the lot to an ADU, which would add a significant amount of value at a lower cost than ground up construction ADUs. Owners in South Gate enjoy the high demand for rentals in the mid-cities of Southern California. Tenants can appreciate living across from South Gate Park, offering many outdoor and indoor recreation activities including tennis, soccer, baseball, a skate park and batting cages. One of the most known soccer centers in all of Southern California, Goals Soccer, is also located at this park. Situated approximately 7 miles southeast of downtown Los Angeles, South Gate is the 17th largest city in Los Angeles County, comprising 7.4 square miles. Strategically located near major highways, including Interstate 710 (Long Beach Freeway), Interstate 5 (Santa Ana Freeway) and Interstate 105 (Glen Anderson Freeway). South Gate is known as the “Azalea City” when it adopted the flowers as its symbol in 1965 and has a population of 94,642 as of 2019.

Exclusively Listed By

Financing By

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