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Multifamily

2649 Marengo St

2649 Marengo St, Los Angeles, CA 90033

Listing Price: $6,395,000

Cap Rate
1.26%
Number of Units
24
Price/Unit
$266,458
Price/Gross SF
$219.79
Gross SF
29,096

Investment Overview

Marcus & Millichap is pleased to announce the opportunity to purchase 2649 Marengo Street, a rare mid-size multifamily property with newly expired covenants that had previously been restricting rents. Constructed in 1989, the property is not subject to Los Angeles rent control and features an outstanding unit mix, with 75% of the units holding two, three, or four bedrooms. Available for only $219 per square foot, the property features spacious floorplans that may help the new investor to command much higher rents as the majority of units transition to market rates. The sprawling lot features ample parking, with approximately 46 covered and open parking spaces atop the concrete driveway. A large playground and sandbox occupy one corner of the gated complex, while each of the three apartment groupings contains its own on-site laundry room, helping to provide additional cash flow to the owner. Many of the unit interiors have been updated with wood laminate flooring, and select units feature recessed lighting, new kitchen countertops, walk-in closets, and upgraded bathrooms. The property is conveniently located less than a half-mile from the LAC + USC Medical Center and the Keck School of Medicine campus, a major employer for the surrounding area. Upcoming redevelopment projects are slated to expand the medical center, with plans including a new Restorative Care Village, new housing for 272 graduate students, and a new Hyatt Place hotel. Another new 81-unit hotel is nearly complete only a quarter-mile from 2649 Marengo Street, as the neighborhood receives an influx of capital from optimistic investors. Tenants also enjoy convenient access to the 5, 10, 60, 101, and 710 Freeways, which are each within approximately two miles of the property. Downtown Los Angeles, Dodger Stadium, Staples Center, and L.A. Live are all within a 10-minute drive from the building, while tenants can easily travel to the trendy Arts District for its new dining and entertainment options.

Investment Highlights

  • Constructed in 1989 -- Higher Allowable Rent Increases
  • Approximately 112% Rent Upside -- Current Rents Average Only $0.81 per Square Foot, While Similar Units are Achieving $2.52-$3.40 per Square Foot
  • Enormous Floorplans -- Units Average Over 1,200 Square Feet
  • Attractive Unit Mix -- 75% of Apartments Feature Two Bedrooms or More
  • Available for Only $219 per Square Foot -- Recent Sales of Comparable Properties are Averaging More than $389 per Square Foot
  • Not on LADBS Seismic Retrofit List (Buyer to Verify)
  • Large 29,798 Square Foot Lot Includes 46 Parking Spaces, Playground, and Three Laundry Rooms
  • Less than a Half-Mile from LAC + USC Medical Center and Keck School of Medicine Campus

Exclusively Listed By

Multifamily

2649 Marengo St

Listing Price: $6,395,000

Cap Rate
1.26%
Number of Units
24
Price/Unit
$266,458
Price/Gross SF
$219.79
Gross SF
29,096

Investment Highlights

  • Constructed in 1989 -- Higher Allowable Rent Increases
  • Approximately 112% Rent Upside -- Current Rents Average Only $0.81 per Square Foot, While Similar Units are Achieving $2.52-$3.40 per Square Foot
  • Enormous Floorplans -- Units Average Over 1,200 Square Feet
  • Attractive Unit Mix -- 75% of Apartments Feature Two Bedrooms or More
  • Available for Only $219 per Square Foot -- Recent Sales of Comparable Properties are Averaging More than $389 per Square Foot
  • Not on LADBS Seismic Retrofit List (Buyer to Verify)
  • Large 29,798 Square Foot Lot Includes 46 Parking Spaces, Playground, and Three Laundry Rooms
  • Less than a Half-Mile from LAC + USC Medical Center and Keck School of Medicine Campus

Investment Overview

Marcus & Millichap is pleased to announce the opportunity to purchase 2649 Marengo Street, a rare mid-size multifamily property with newly expired covenants that had previously been restricting rents. Constructed in 1989, the property is not subject to Los Angeles rent control and features an outstanding unit mix, with 75% of the units holding two, three, or four bedrooms. Available for only $219 per square foot, the property features spacious floorplans that may help the new investor to command much higher rents as the majority of units transition to market rates. The sprawling lot features ample parking, with approximately 46 covered and open parking spaces atop the concrete driveway. A large playground and sandbox occupy one corner of the gated complex, while each of the three apartment groupings contains its own on-site laundry room, helping to provide additional cash flow to the owner. Many of the unit interiors have been updated with wood laminate flooring, and select units feature recessed lighting, new kitchen countertops, walk-in closets, and upgraded bathrooms. The property is conveniently located less than a half-mile from the LAC + USC Medical Center and the Keck School of Medicine campus, a major employer for the surrounding area. Upcoming redevelopment projects are slated to expand the medical center, with plans including a new Restorative Care Village, new housing for 272 graduate students, and a new Hyatt Place hotel. Another new 81-unit hotel is nearly complete only a quarter-mile from 2649 Marengo Street, as the neighborhood receives an influx of capital from optimistic investors. Tenants also enjoy convenient access to the 5, 10, 60, 101, and 710 Freeways, which are each within approximately two miles of the property. Downtown Los Angeles, Dodger Stadium, Staples Center, and L.A. Live are all within a 10-minute drive from the building, while tenants can easily travel to the trendy Arts District for its new dining and entertainment options.

Exclusively Listed By

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