440 E 27th Los Angeles, CA 90011
UPDATED:
Key Details
Property Type Apartment
Sub Type Apartment
Listing Status Active
Purchase Type For Sale
MLS Listing ID SR26039501
Construction Status Updated/Remodeled,Turnkey
HOA Y/N No
Year Built 1925
Lot Size 6,250 Sqft
Property Sub-Type Apartment
Property Description
• Comprehensive 2024 Gut Renovation with New COFO: The entire building was gut renovated, resulting in a new Certificate of Occupancy issued in 2024. Over $1.2 million in capital improvements were completed, including all-new plumbing, electrical systems, drywall, paint, flooring, and cabinetry. This turnkey status provides investors with a high-quality asset and minimal immediate maintenance requirements.
• Proven Micro-Unit Model with Strong Rental Yield: The building features 23 units comprised primarily of micro-units (87% studios) designed to serve budget-oriented residents in Los Angeles. This high-efficiency model yields an impressive rent of $4.94 per square foot, justifying the property's valuation through proven rental demand for smaller, affordable living spaces.
• Immediate Financial Performance and High Returns: At an asking price of $3,150,000, the property offers a current CAP rate of 8.07% and a 10.12% Cash-on-Cash return. This performance significantly exceeds the market average CAP rate of 7.11%, making it an exceptional opportunity for investors seeking robust, immediate cash flow.
• Substantial Built-In Revenue Upside: There is significant potential for growth, with the pro forma CAP rate projected at 8.55% and a Cash-on-Cash return of 11.72%. Financial projections show that monthly income can grow from the current $33,661 to a market rate of $41,375, representing a nearly 23% revenue increase as legacy leases are marked to market.
• Strategic Location in Historic South Central Hub: Located at 440 E 27th Street, the property is nestled in a thriving rental hub near the University of Southern California (USC) and major transit routes like the Expo Line. The neighborhood is experiencing active revitalization and sits within a demographic area projected to have an average household income of $81,857 within a 3-mile radius by 2026.
Location
State CA
County Los Angeles
Area C42 - Downtown L.A.
Zoning RD1.5-1
Interior
Interior Features Ceiling Fan(s), Multiple Staircases, Quartz Counters
Heating Natural Gas, Wall Furnace
Cooling None
Flooring Laminate
Fireplaces Type None
Fireplace No
Appliance Gas Oven, Gas Range, Refrigerator
Laundry Common Area
Exterior
Parking Features None
Fence Wrought Iron
Pool None
Community Features Sidewalks, Urban
Utilities Available Cable Connected, Electricity Connected, Natural Gas Connected, Sewer Connected, Water Connected
View Y/N Yes
View Mountain(s), Neighborhood
Roof Type Flat
Private Pool No
Building
Lot Description Level, Over 40 Units/Acre, Near Public Transit, Rectangular Lot
Story 2
Entry Level Two
Sewer Public Sewer
Water Public
Architectural Style Spanish
Level or Stories Two
New Construction No
Construction Status Updated/Remodeled,Turnkey
Others
Senior Community No
Tax ID 5128009006
Security Features Closed Circuit Camera(s),Carbon Monoxide Detector(s),Fire Rated Drywall,Smoke Detector(s)
Energy Description 5027.0
Acceptable Financing Cash, Cash to New Loan, Conventional, Submit
Listing Terms Cash, Cash to New Loan, Conventional, Submit
Special Listing Condition Standard
Nearby Locations
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