Skip to main content

Multifamily

5380-5390 Romaine St

5380-5390 Romaine St, Los Angeles, CA 90029

Listing Price: $2,890,000

Cap Rate
3.73%
Number of Units
10
Price/Unit
$289,000
Price/Gross SF
$329.91
Gross SF
8,760

Investment Overview

Marcus & Millichap is pleased to announce the opportunity to purchase 5380-5390 Romaine Street, a 10-unit multifamily property located in the Melrose Hill district of Hollywood, CA. The large 10,319 square foot lot contains all two bedroom units, spread over three separate buildings. While six of those units were constructed in 1922, four units were added in 1988 and may allow higher annual rent increases as a result (Buyer to verify). The investment provides an excellent opportunity to add value and continually improve annual returns, as current rents are approximately 63% below market levels. It may be possible to achieve a 7.37% CAP Rate as all units are increased to pro forma rents. Located near the intersection of Santa Monica Boulevard and Western Avenue, the property sits just east of Paramount Studios and the Hollywood Forever Cemetery. The exclusive Hancock Park neighborhood is only a few blocks southwest, while Koreatown and the Hollywood Walk of Fame are both nearby as well. The new 14-story ICON office tower, primarily lease to Netflix, was recently completed at the nearby Sunset Bronson Studios, while additional new construction is scheduled for Sunset Gower Studios, just one mile from the property. There, a joint venture between Hudson Pacific Properties and The Blackstone Group will be expanding the studio and office space, adding 620,000 square feet to the studio campus. The neighborhood has seen an influx of optimistic capital from large investment groups, including the aforementioned The Blackstone Group, Hudson Pacific Properties, and Netflix. The long-awaited Hollywood Target store opened in late-2020 just a few blocks directly north at the corner of Western Avenue and Sunset Boulevard. New mixed-use developments are also planned just south of the property, with several projects breaking ground along Melrose Avenue.

Investment Highlights

  • All Two Bedroom Units - 40% of the Apartments Constructed in 1988
  • Dense Melrose Hill Rental Market -- Adjacent to Hancock Park, Koreatown, and Prime Hollywood
  • Outstanding Opportunity to Add Value -- Rents Approximately 63% Below Market
  • Potential to Achieve 7.37% CAP Rate and 9.82 GRM Based on Pro Forma Rents
  • Select Units Allow Higher Annual Increases (Buyer to Verify)
  • Half-Mile from Paramount Studios, One Mile from Sunset Gower Studios -- Site of Upcoming 620,000 Square Foot Expansion of Studio and Office Space
  • Three Separate Buildings on One Large 10,319 Square Foot Parcel
  • Blocks from New Netflix ICON Tower at Sunset Bronson Studios

Exclusively Listed By

Financing By

Listing Price: $2,890,000

Cap Rate
3.73%
Number of Units
10
Price/Unit
$289,000
Price/Gross SF
$329.91
Gross SF
8,760

Investment Highlights

  • All Two Bedroom Units - 40% of the Apartments Constructed in 1988
  • Dense Melrose Hill Rental Market -- Adjacent to Hancock Park, Koreatown, and Prime Hollywood
  • Outstanding Opportunity to Add Value -- Rents Approximately 63% Below Market
  • Potential to Achieve 7.37% CAP Rate and 9.82 GRM Based on Pro Forma Rents
  • Select Units Allow Higher Annual Increases (Buyer to Verify)
  • Half-Mile from Paramount Studios, One Mile from Sunset Gower Studios -- Site of Upcoming 620,000 Square Foot Expansion of Studio and Office Space
  • Three Separate Buildings on One Large 10,319 Square Foot Parcel
  • Blocks from New Netflix ICON Tower at Sunset Bronson Studios

Investment Overview

Marcus & Millichap is pleased to announce the opportunity to purchase 5380-5390 Romaine Street, a 10-unit multifamily property located in the Melrose Hill district of Hollywood, CA. The large 10,319 square foot lot contains all two bedroom units, spread over three separate buildings. While six of those units were constructed in 1922, four units were added in 1988 and may allow higher annual rent increases as a result (Buyer to verify). The investment provides an excellent opportunity to add value and continually improve annual returns, as current rents are approximately 63% below market levels. It may be possible to achieve a 7.37% CAP Rate as all units are increased to pro forma rents. Located near the intersection of Santa Monica Boulevard and Western Avenue, the property sits just east of Paramount Studios and the Hollywood Forever Cemetery. The exclusive Hancock Park neighborhood is only a few blocks southwest, while Koreatown and the Hollywood Walk of Fame are both nearby as well. The new 14-story ICON office tower, primarily lease to Netflix, was recently completed at the nearby Sunset Bronson Studios, while additional new construction is scheduled for Sunset Gower Studios, just one mile from the property. There, a joint venture between Hudson Pacific Properties and The Blackstone Group will be expanding the studio and office space, adding 620,000 square feet to the studio campus. The neighborhood has seen an influx of optimistic capital from large investment groups, including the aforementioned The Blackstone Group, Hudson Pacific Properties, and Netflix. The long-awaited Hollywood Target store opened in late-2020 just a few blocks directly north at the corner of Western Avenue and Sunset Boulevard. New mixed-use developments are also planned just south of the property, with several projects breaking ground along Melrose Avenue.

Exclusively Listed By

Financing By

MM Texture Background
MM Textured Background Lower