Stepp Commercial Group, a multifamily brokerage firm in the Los Angeles market, has completed the $2.65 million sale of an eight-unit multifamily property located at 1206 Gladys Avenue in Long Beach, CA.
Robert Stepp, John Alden and Mark Witsken of Stepp Commercial Group represented the Los Angeles-based seller, a private investor. Larry Bustamonte of Stepp Commercial Group represented the buyer, a Long Beach-based private investor. The per unit price was 331,250.
Built in 1986, 1206 Gladys Avenue features all two-bedroom, two-bathroom units with two highly upgraded units. It also includes an onsite laundry room and 14 parking spaces.
“This property provides the new ownership with a value-add opportunity,” said Stepp in a statement. “Rents are currently about 20% below market and upgrading the rest of the units will also elevate the lease rate.”
Stepp Commercial is also assisting the seller identify a cash-flowing, out-of-state asset as part of the upleg in this 1031 exchange transaction.
“As values have grown in California over the past several years – particularly in coastal areas – we are continuing to see a trend for sellers to seek new out-of-state opportunities that provide a higher return on investment and a more landlord friendly environment,” added Stepp.