Investment Overview

20234 Roscoe Boulevard is a fee simple 25-unit LIHTC multifamily asset located in the centrally positioned Winnetka neighborhood of Los Angeles’ San Fernando Valley. Built in 1964 and placed into service in July 1997 under the 9% LIHTC program, the property is governed by a 30-year regulatory agreement set to expire in July 2027. Upon expiration, all income and rent restrictions are eligible to sunset, allowing the property to transition to market-rate—subject to the ongoing provisions of the City of Los Angeles Rent Stabilization Ordinance (RSO), which will continue to regulate rent increases and tenant protections beyond the LIHTC term. Current ownership acquired the asset in 2015 directly from the original LIHTC sponsor, offering clean fee simple title with no surviving investor rights, ground lease, or legacy partnership restrictions—an uncommon structure that simplifies future refinancing, market-rate conversion, or resyndication. Roscoe is offered with an assumable $2.62 million Fannie Mae loan, originated through PNC Bank, at a 2.98% fixed interest rate, interest-only through 2030. With the LIHTC regulatory agreement expiring in 2027, buyers benefit from two years of stable cash flow under restricted rents, followed by three additional years of low-debt service during the post-expiration repositioning period. This structure allows an investor to maximize cash flow prior to expiration, smoothly transition units to market-rate post-2027, and absorb potential turnover or legal costs with minimal debt pressure. This two-story, garden-style asset comprises 24,176 square feet on a 31,323 square foot lot (0.72 acres) and features 29 gated on-site parking spaces. On-site amenities include a laundry facility with five washers and four dryers, a ground-floor leasing office with a rec room and kitchen, and AT&T fiber infrastructure providing high-speed internet access. The existing leasing office and rec room space offers strong ADU conversion potential—likely accommodating two units—once the regulatory agreement expires. The unit mix caters to large-family renters, with four 1-bedroom units, thirteen 2-bedrooms, seven 3-bedrooms, and one 4-bedroom unit. As of July 2025, 42% of units are leased to Section 8 voucher holders, allowing for rental income above LIHTC caps. The property has undergone significant capital improvements, including ten unit upgrades within the past five years and a certified seismic retrofit completed in 2023—reducing future capital exposure and easing lender requirements. Much of the asphalt in the parking lot has been replaced with concrete, enhancing long-term durability and reducing maintenance costs. A full domestic water repipe was completed in 1999, mitigating long-term plumbing risk. Roscoe is strategically located within blocks of Pierce College, the Metro G Line (Orange), and key thoroughfares such as Reseda, Winnetka, and Topanga Boulevards, offering tenants walkable access to education, employment, transit, and retail. The surrounding submarket benefits from sustained rental demand and regional growth drivers, including proximity to Warner Center, CSUN, and major employment corridors—factors that continue to support long-term occupancy and operating stability.