1110 Leland Way · 2019. 3. 6. · 1110 Leland Way 1110 Leland Way • Burbank, CA 91504 Cindy...

1110 Leland Way1110 Leland Way • Burbank, CA 91504

Cindy Hill, CCIMSenior Vice [email protected]

4061 Laurel Canyon Blvd.Studio City, CA 91604www.valleyapartmentsales.com

PROPERTY HIGHLIGHTSPride of Ownership 5 unit building●

Built in 1990, not subject to rent control ●

Great mix of (3) 2+1 units and (2) 1+1 units with central HVACunits. All of them have been replaced.

●

Tremendous upside in rents. Almost a 6 market Cap rate●

Close to Sprouts Market, Ralphs, Starbucks, In-N-Out Burger, and Burbank AMC theatres

●

Prepared By

INVESTMENT DETAILS

1110 Leland WayBurbank, CA 91504

All information furnished regarding property for sale, rental or financing is from sources deemed reliable, but no warranty or representation is made tothe accuracy thereof and same is submitted subject to errors, omissions, change of price, rental or other conditions, prior sale, lease or financing orwithdrawal without notice. No liability of any kind is to be imposed on the broker herein.

ANALYSIS

Analysis Date March 2019

PROPERTY

Property 1110 Leland Way

Property Address 1110 Leland WayBurbank, CA 91504

Year Built 1990

FINANCIAL INFORMATION

All Cash

PURCHASE INFORMATION

Property Type MultiFamily

Purchase Price $1,850,000

Units 5

Total Rentable Sq. Ft. 4,413

LOANS

Type Debt Term Amortization Rate Payment LO Costs

All Cash

INCOME & EXPENSES

Gross Operating Income $88,187

Monthly GOI $7,349

Total Annual Expenses ($27,548)

Monthly Expenses ($2,296)

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EXECUTIVE SUMMARY



Acquisition Costs

Purchase Price, Points and Closing Costs $1,850,000

Investment - Cash $0

Investment Information

Purchase Price $1,850,000

Price per Unit $370,000

Price per Sq. Ft. $419.22

Income per Unit $18,168

Expenses per Unit ($5,510)

Income, Expenses & Cash Flow

Gross Scheduled Income $90,840

Total Vacancy and Credits ($2,653)

Operating Expenses ($27,548)

Net Operating Income $60,638

Debt Service $0

Cash Flow Before Taxes $60,638

Financial Indicators

Debt Coverage Ratio N/A

Capitalization Rate 3.28%

Gross Rent Multiplier 20.37

Gross Income / Square Feet $20.58

Gross Expenses / Square Feet ($6.24)

Operating Expense Ratio 31.24%

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PRO FORMA SUMMARY



INCOME

Description Actual Per Unit Market Per Unit

Gross Potential Rent $88,440 $17,688 $137,400 $27,480

Less: Vacancy ($2,653) ($531) ($4,122) ($824)

Misc. Income $2,400 $480 $2,400 $480

Effective Gross Income $88,187 $17,637 $135,678 $27,136

OPERATING EXPENSES

Description Actual Per Unit Market Per Unit

Property Tax $20,362 $4,072 $20,362 $4,072

Gas $1,043 $209 $1,043 $209

Water and Power $1,043 $209 $1,043 $209

Maintenance $2,500 $500 $2,500 $500

Misc. $1,500 $300 $1,500 $300

Pest Control $600 $120 $600 $120

Gardener $500 $100 $500 $100

Total Expenses ($27,548) ($5,510) ($27,548) ($5,510)

NET OPERATING INCOME $60,638 $12,128 $108,130 $21,626

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PRO FORMA SUMMARY



UNIT MIX & MONTHLY SCHEDULED

Type Units Actual Total Market Total 1+1 2 $1,250 $2,500 $1,900 $3,8002+1 3 $1,623 $4,870 $2,550 $7,650TOTALS 5 $7,370 $11,450

ANNUALIZED INCOME Description Actual Market

Gross Potential Rent $88,440 $137,400Less: Vacancy ($2,653) ($4,122)Misc. Income $2,400 $2,400Effective Gross Income $88,187 $135,678Less: Expenses ($27,548) ($27,548)Net Operating Income $60,638 $108,130

ANNUALIZED EXPENSES Description Actual Market

Property Tax $20,362 $20,362Gas $1,043 $1,043Water and Power $1,043 $1,043Maintenance $2,500 $2,500Misc. $1,500 $1,500Pest Control $600 $600Gardener $500 $500Total Expenses $27,548 $27,548Expenses Per RSF $6.24 $6.24Expenses Per Unit $5,510 $5,510

INVESTMENT SUMMARY

Price: $1,850,000

Year Built: 1990

Units: 5

Price/Unit: $370,000

RSF: 4,413

Price/RSF: $419.22

Lot Size: 7,458 sf

Floors: 2

APN: 2460-018-019

Cap Rate: 3.28%

Market Cap Rate: 5.84%

GRM: 20.37

Market GRM: 13.23

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PROPERTY DESCRIPTION



5 units in Burbank | Built in 1990-Upside in rents KW Commercial is proud to represent this 5-unit apartment building. The property is not subject to rent control and isalmost a 6 cap with pro forma rents.

The building was constructed in 1990. Its unit mix consists of (3) two-bedroom, one-bathroom units and (2) one-bedroom, one-bathroom units. With a lot size of 7,458 square feet, the property has a total of 4,413 rentable squarefeet. The property has been well maintained by a long term owner. Property has central Hvac, units which have all beenreplaced, secured parking, owner-owned laundry machines, and upstair units have balconies.

The property is located in Burbank, which is a highly desirable rental market and is known as the media capital of theworld. It is home to Disney Studios, Warner Brothers, and NBC.The city has over 80 restaurants, 30 movie screens,and200 stores; its residents enjoy top ranked schools, easy access to the 5 and 134 freeways, and close proximity to theBurbank Metro Link. Burbank is not subject to rent control.

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UNIT RENT ROLL



Unit Description Current Rent Pro Forma Rent Comments

1 2+1 $1,580 $2,550

2 2+1 $1,735 $2,550

3 2+1 $1,555 $2,550 Balcony

4 1+1 $1,240 $1,900

5 1+1 $1,260 $1,900 Balcony

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UNIT MIX REPORT



Units Type Approx. SqFt Avg. Rents Monthly Mkt Rents Monthly

2 1+1 0 $1,250 $2,500 $1,900 $3,8003 2+1 0 $1,623 $4,870 $2,550 $7,6505 0 $7,370 $11,450

UNIT MIX UNIT MIX SQUARE FEET

● 1+1

● 2+1

● 1+1

● 2+1

UNIT MIX INCOME UNIT MIX MARKET INCOME

● 1+1

● 2+1

● 1+1

● 2+1

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PROPERTY PHOTOS



Five units built in 1990Excellent rental pocket in Burbank

Landscaped Front Facade Secured parking

Residential feel Covered parking, covered patio

New HVAC units Street View (South)

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MAPS AND AERIALS



5 Units in Burbank

p. 10

City of Burbank

www.ValleyApartmentSales.com

Throughout its 100 year history, Burbank has been home to a crea ve, forward‐

thinking community. Its residents enjoy a high quality of life, with close proximity

to recrea onal ac vi es like the Chandler Bike‐way and Stough Canyon Nature

Center; its library, the Buena Vista Branch Library, is newly expanded and state

of the art. The city also boats strong local non‐profit and community service

projects, as it was named one of the na on’s 100 Best Communi es for Young people. Burbank is known as the media capital of the world, as it is home to Disney Studios, Warner Bros, Nickelodeon, and NBC.

The city has over 80 restaurants, 30 movie screens, and 200 shops, and its

residents enjoy top ranked schools – making it a highly desirable rental market.

Addi onally, residents have easy access to the 5 and 134 freeways, the

Burbank Metro link, and the Hollywood‐Burbank airport.

SALE COMPARABLES



Subjec 1 2 3 5 6 7 8 9 10

1%

2%

3%

4%

5%

6%

7%

8%

Avg.

3.45

Cap Rate

Subject 1 2 3 5 6 7 8 9

3.0

6.0

9.0

12.0

15.0

18.0

21.0

24.0

Avg.

18.763

Gross Rent Multiplier

Subje 1 2 3 4 5 6 7 8 9 10

$60,000

$120,000

$180,000

$240,000

$300,000

$360,000

$420,000

$480,000

Avg.

$393,818

Price per Unit

Subje 1 2 3 4 5 6 7 8 9 10

$60

$120

$180

$240

$300

$360

$420

$480

Avg.

$414.22

Price per Sq. Ft.

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SALE COMPARABLES



S 1110 Leland Way1110 Leland WayBurbank, CA 91504

Sale Price $1,850,000Units 5Price/Unit $370,000Price/SqFt $419.22Cap Rate 3.28%Year Built 1990GRM 20.37

# Units Unit Type2 1+1

3 2+1

1 623 E Cedar Ave623 E Cedar AveBurbank, CA 91501

Sale Price $4,500,000Units 11Price/Unit $409,091Price/SqFt $393.74Cap Rate 2.83%Year Built 1984Sale Date 7/9/2018GRM 20.7

# Units Unit Type1 One Bedroom One Bath

10 Two Bedroom Two Bath

2 310 E Elmwood Ave310 E Elmwood AveBurbank, CA 91502


# Units Unit Type8 Two Bedroom Two Bath

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SALE COMPARABLES



3 2127 N Lincoln St2127 N Lincoln StBurbank, CA 91504



2 Three Bedroom Two Bath

2 Other

4 501 E Magnolia Blvd501 E Magnolia BlvdBurbank, CA 91501

Sale Price $4,710,000Units 12Price/Unit $392,500Price/SqFt $380.58Cap Rate N/AYear Built 1987Sale Date 2/15/2018GRM N/A


8 Two Bedroom One Bath

5 313 E Providencia Ave313 E Providencia AveBurbank, CA 91502




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SALE COMPARABLES



6 316 E Santa Anita Ave316 E Santa Anita AveBurbank, CA 91502




7 507 E Cedar Ave507 E Cedar AveBurbank, CA 91501




8 635 E Cypress Ave635 E Cypress AveBurbank, CA 91501



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SALE COMPARABLES



9 2430 N Naomi St. 2430 N Naomi St. Burbank, CA 91504




2 Three Bedroom Two Bath

A 530 E Santa Anita Ave530 E Santa Anita AveBurbank, CA 91501

Sale Price $6,800,000Units 16Price/Unit $425,000Price/SqFt $436.12Cap Rate 3.6%Year Built 1987Sale Date 1/11/2019GRM N/A


p. 16

SALE COMPARABLES



S 1110 Leland WayBurbank, CA, 91504$1,850,000

1 623 E Cedar AveBurbank, CA, 91501$4,500,000

2 310 E Elmwood AveBurbank, CA, 91502$3,650,000

3 2127 N Lincoln StBurbank, CA, 91504$2,224,000

4 501 E Magnolia BlvdBurbank, CA, 91501$4,710,000

5 313 E Providencia AveBurbank, CA, 91502$2,925,000

6 316 E Santa Anita AveBurbank, CA, 91502$2,950,000

7 507 E Cedar AveBurbank, CA, 91501$7,150,000

8 635 E Cypress AveBurbank, CA, 91501$4,250,000

9 2430 N Naomi St. Burbank, CA, 91504$8,335,000

A 530 E Santa Anita AveBurbank, CA, 91501$6,800,000

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1110 Leland Way · 2019. 3. 6. · 1110 Leland Way 1110 Leland Way • Burbank, CA 91504 Cindy...

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