Investment Overview

Marcus & Millichap has been selected to exclusively represent for sale the property at 11422 S Vermont Ave. The building was built in 1986 and overall is in good condition and is located at the North-East corner of Vermont Avenue and West 115th Street in South Los Angeles. Within Los Angeles, Vermont Avenue is a major north-south arterial road linking Palos Verdes on the coast to Griffith Park in the center of the city. The local Vermont Vista neighborhood is primarily a residential area (71% residential, 17% commercial/industrial, 12% other). This area of the city is one of the most densely populated with 24,891 residents. Of households in the neighborhood, 40% own their homes and 60% rent. Ideal for an Owner/User or Investor wanting to re-tenant the property, this is a 7,962 square foot lot with a 5,670 gross square foot commercial building with 6 adjacent surface parking spaces operating as an automotive tire sales business with a smog check sub-tenant. The current lease expires July 15, 2023. The property is protected by a steel bar fence atop a masonry wall and a wheeled steel bar gate. The building is divided into 8 bay sections for different auto repair tasks or businesses (tenants). The floors are concrete and level. There are high ceilings with hanging fluorescent fixtures for lighting in all the building. Two of the bays are equipped with automobile lifts for repair work. There is a three-quarter bathroom (with shower) and a half-bathroom for customers. Four electricity meters offer capacity for four separate tenants. The area current annual market rental rates for automotive repair tenants are between $24 to $30 NNN. Additionally, a multi-family investor might re-develop the site to build up to potentially 36 units. This property is in a central location within the greater metropolitan Los Angeles area with proximity to downtown, LAX airport, the port of Los Angeles, SoFi Stadium, Union Pacific Railroad (UPRR) central railroad yard, and nearby coastal cities. California Interstate 105 and Interstate 110 freeways can be accessed within two blocks of the property. This business location is located at a highly visible corner of six-lane Vermont Ave with an average daily traffic count of 44,063. Vermont Avenue is also the busiest bus transportation corridor in the LA Metro transportation system and plans are underway to upgrade it to a subway or light rail route. This property’s zoning is Los Angeles City C2 Commercial Zone, Tier 4 Transit Oriented Development Zone (TOD), and State Enterprise Zone (SEZ). Vermont Avenue has been targeted for TOD incentives for new multi-use developments and higher density housing construction. A TOD Zone provides business incentives designed to attract new business and retain existing businesses and jobs. For example, a TOD bonus allows 36 units to be built whereas 20 units would only be allowed “by right” based on the C2 zoning. The State Enterprise Zone designation permits businesses to take state tax credits and deductions, and receive LA City benefits including, but not limited to, a Department of Water and Power electric rate subsidy. LA City has targeted this area to promote investment and revitalization under the “South Los Angeles Community Plan”. With the current and future opportunities in South Los Angeles, this location offers a excellent future potential.