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Stepp Commercial, a multifamily brokerage firm in the Los Angeles market, has completed the $4.805 million portfolio sale of two adjacent apartment buildings totaling 12 units located at 11307 Isleta Street and 217 Church Lane in the Brentwood neighborhood of Los Angeles.
Stepp Commercial Principal Kimberly Stepp represented the seller and the buyer, both Los Angeles-based private investors. The cap rate was 3.2 percent and the gross rent multiplier (GRM) was 18.
“This portfolio is within the micro-submarket of Brentwood called Brentwood Glen and is extremely sought after from investors,” said Stepp in a statement. “Prior to this transaction, over the past ten years, only three apartment buildings have traded within Brentwood Glen.”
Stepp added, “This property currently has rents 46% below market rates and offers the buyer the opportunity to add value via student housing as UCLA is just minutes away.”
The two contiguous lots total just over 10,000 square feet. Both buildings were built in the 1950s and feature mid-century modern architecture. The units include one three-bedroom unit, eight two-bedroom units and three one-bedroom units that feature hardwood floors with upgraded kitchens and bathrooms. The properties include one parking space per unit and laundry facilities.