LoopNet...stunning bathrooms! Each rear townhome has a private 2-car garage with direct access into...

5836 WOODMAN AVE | OFFERING MEMORANDUM

The 2-4 Unit Specialists are pleased to present 5836 Woodman Ave, a 2020

construction fourplex located 1 minute from Sherman Oaks! New construction

fourplexes are extremely rare and hard to find in the Sherman Oaks area,

making this property a deal to act on immediately! 5836 Woodman is made up

of four modern, 3-story, side-by-side townhome style units. The property consists

of a 4 bedroom, 4 bathroom unit ($3,900), a 4 bedroom, 3.5 bathroom unit

($3,800), and two 3 bedroom, 3 bathroom units ($3,500 each). Construction on

this impressive project is expected to be completed in February or March of

2020.

This low maintenance property boasts a wide array of perks for investors

including: a prime location minutes from Ventura Blvd (the trendy hub of

Sherman Oaks), no rent control, an exceptional projected cap rate of 4.97%,

separate meters for gas, water & electric, a 1 year builder’s warranty, brand

new EVERYTHING, minimal expenses, and extreme desirability amongst renters.

The units will feature: laundry hookups in each unit, stainless steel appliances,

high quality finishes, custom unique tilework, upscale modern kitchens, and

stunning bathrooms! Each rear townhome has a private 2-car garage with

direct access into the units. One front unit has a private 1-car garage and an

exterior space, and the other front unit comes with two exterior spaces, making

for a grand total of 8 spots!

OFFERING SUMMARY


PROPERTY OVERVIEW

THE PROPERTY: Address: 5636 Woodman Ave, Sherman Oaks Adj./Valley Glen, CA 91401

APN: 2343-007-005

# Units: 4

# Buildings: 2

Year Built: Estimated Completion of February/March 2020

Building Size (SF): 6,054

Lot Size (SF): 5,500

Rent Control: NO Rental Control!

Zoning: LARD1.5

THE OFFERING: List Price: $2,700,000

Cap Rate: 4.97%

GRM: 15.31

Price Per Unit: $675,000

Price Per SF: $445.99

UTILITIES: Water: Separately Metered for Units (Tenant Pays)+ 1 House Meter for Common Area (Landlord Pays)

Electric: Separately Metered for Units (Tenant Pays)+ 1 House Meter for Common Area (Landlord Pays)

Gas: Separately Metered (Tenant Pays)

AMENITIES: Stories: 3

Appliances: Sleek Stainless Steel

Parking: 5 Garage Spaces and 3 Exterior Spaces

Air/Heat: Central

Balconies: Huge Balconies!

Landscaping: Drought Tolerant


• NO RENT CONTROL!

• All units are three story, side-by-side townhome style with sleek,

modern design.

• Exceptional location on the Sherman Oaks/Valley Glen border. New

construction fourplexes in this area are rare and hard to come by!

• All units are separately metered for gas, electric and WATER! The

expenses on this property are minimal.

• 5 minutes from the Westfield Sherman Oaks Fashion Square and 7

minutes from Ventura Blvd, the heart of Sherman Oaks!

• Due to the high quality of construction, the property is very low

maintenance.

• Ideal parking set up! 8 parking spaces, made up of 5 garage

spaces and 3 exterior spaces.

• Tasteful drought tolerant landscaping to minimize expenses.

• Comes with 1 year fit-and-finish warranty!

INVESTMENT HIGHLIGHTS

LOCATION HIGHLIGHTS


• This fourplex is located in the peaceful Valley Glen neighborhood, exactly 1 minute from the Sherman Oaks border!

• 5 minutes from the Westfield Sherman Oaks Fashion Square and Trader Joe’s!

• A short 7 minute drive to Ventura Blvd, the action-packed heart of Sherman Oaks! Tenants (or owner occupiers) will be

able to enjoy immediate access to some of the best shops and restaurants in the Valley! Nearby hotspots include: Sweet

Butter Kitchen, The Local Peasant, Casa Vega, The One Up, Boneyard Bistro, and so much more.

• 4-5 minutes from countless nearby schools, including Notre Dame High School, Millikan Middle School, LA Valley College,

and Grant High School. This close proximity to schools will be invaluable when it comes to leasing up the units quickly and

for substantial rents.

• Walking distance to numerous stores, restaurants, and local conveniences on both Burbank Blvd and Oxnard St.

LOCATION HIGHLIGHTS


Nearby Attractions

LOCATION HIGHLIGHTS MAP LOCATION HIGHLIGHTS MAP


FINANCIAL SUMMARY & RENT ROLL

SUMMARIZED PRICING METRICS: BUILDING DESCRIPTION: FINANCING:

Price: $2,700,000 No. of Units 4 Loan Amount $1,890,000

Down: 30% $810,000 Yr. Built 2020 Interest Rate 3.93%

Current GRM: 15.31 Lot Size (acres) 0.13 Monthly Payment ($8,947.04)

Pro Forma GRM: 15.31 Lot Size (sq. ft) 5,500 LTV 70%

Current Cap Rate: 4.97% Bldg SF 6,054 Amortization (Years) 30

Pro Forma Cap Rate: 4.97% Zoning LARD1.5 Proposed/Assumption Proposed

$/Unit: $675,000 Minimum DSCR 1.25

$/ SF: $445.99

RENT ROLL:

UNIT # STATUS UNIT TYPE UNIT SIZE

CURRENT

RENT

SCHEDULED GROSS

INCOME

CURRENT

RENT PER SF

PRO FORMA

RENT

PRO FORMA

RENT PER SF

LOSS-TO-

LEASE

1 Vacant 4b/4b 1,565 $0 $3,900 $2.49 $3,900 $2.49 $0

2 Vacant 4b/3.5b 1,565 $0 $3,800 $2.43 $3,800 $2.43 $0

3 Vacant 3b/3b 1,462 $0 $3,500 $2.39 $3,500 $2.39 $0

4 Vacant 3b/3b 1,462 $0 $3,500 $2.39 $3,500 $2.39 $0

4 6,054 $0 $14,700 $2.43 $14,700 $2.43 $0Totals/Averages:


FINANCIAL ANALYSIS

# UNITS UNIT MIX % OF TOTAL SIZEAVG

RENT

AVERAGE

RENT/SF

MONTHLY

INCOME

AVG PRO

FORMA

RENT

AVERAGE PRO

FORMA

RENT/SF

PRO FORMA

MONTHLY

INCOME

2 3b/3b 50% 1,565 $3,500 $2.24 $7,000 $3,500 $2.24 $7,000

1 4b/4b 25% 1,565 $3,900 $2.49 $3,900 $3,900 $2.49 $3,900

1 4b/3.5b 25% 1,462 $3,800 $2.60 $3,800 $3,800 $2.60 $3,800

4 Totals/Averages: 1,514 $3,675 $2.43 $14,700 $3,675 $2.43 $14,700

Gross Scheduled/Gross Potential Income: $176,400 $176,400

ANNUALIZED OPERATING DATA: ANNUALIZED EXPENSES:

CURRENT PRO FORMA CURRENT PRO FORMA

Gross Potential Rental Income $176,400 $176,400 Fixed Expenses

Gain (Loss)-to-Lease $0 $0 Real Estate Taxes 1.1740% $31,698 $31,698

Gross Scheduled Rental Income $176,400 $176,400 Insurance .40/s.f. $2,422 $2,422

Less: Vacancy 3.0% ($5,292) 3.0% ($5,292) Utilities $150/unit $600 $600

Effective Gross Income $171,108 $171,108

Less: Expenses ($36,920) ($36,920) Controllable Expenses

Miscellaneous Other Income $0 $0 Contract Services $150/unit $600 $600

Net Operating Income $134,188 $134,188 Repairs & Maintenance $400/unit $1,600 $1,600

Debt Service ($107,365) ($107,365)

Pre-Tax Cash Flow 3.31% $26,824 3.31% $26,824 TOTAL EXPENSES $36,920 $36,920

Principal Reduction $33,690 $33,690 EXPENSES/UNIT $9,230 $9,230

Total Return 7.47% $60,514 7.47% $60,514 EXPENSES/SF $6.10 $6.10

% of EGI 21.6% 21.6%


SALES COMPARABLES MAP

14528 Killion, Sherman Oaks

4240 Mammoth, Sherman Oaks

14427 Tiara, Sherman Oaks

4924 Laurel Canyon, Studio City

Subject Property: 5636 Woodman


SALES COMPARABLES CHART

# ADDRESS UNITS SALES

PRICE

$/

SF

$/

UNIT

CAP

RATE GRM

BLDG

SF

LOT

SF

CLOSE

DATE

YEAR

BUILT

1 14528 Killion,

Sherman Oaks 3 $2,260,000 $434.62 $753,333 4.80% 15.44 5,200 6,756 4/4/2019 2019

2 4240 Mammoth,

Sherman Oaks 3 $1,900,000 $603.37 $633,333 3.65% 21.13 3,149 6,282 3/1/18 1938/2013

3 14427 Tiara,

Sherman Oaks 4 $2,400,000 $480.00 $600,000 5.39% 14.29 5,000 6,907 10/22/19 2019

4 4924 Laurel Canyon,

Studio City 4 $2,600,000 $562.53 $650,000 5.45% 13.54 4,622 5,000 2/22/19 2018

AVERAGE: 3.5 $2,290,000 $509.71 $654,286 4.82% 16.10 4,493 6,236

5636 Woodman: 4 $2,700,000 $445.99 $675,000 4.97% 15.31 6,054 5,500 2020


SALES COMPARABLES PHOTOS


RENTAL COMPARABLES

5865 Levi, Sherman Oaks

Unit Type Rented For Unit Size (SF) Avg. Rent/SF

4b/3b $3,850 1,574 $2.45

Subject Property: 5836 Woodman, Sherman Oaks Adj./Valley Glen

Unit Type Market Rent Unit Size (SF) Avg. Rent/SF

4b/3.5b & 4b/4b $3,800-$3,900 1,465 $2.43-$2.49

3b/3b $3,500 1,462 $2.39


RENTAL COMPARABLES

5861 Sylmar, Sherman Oaks


4b/3b $4,500 1,873 $2.40

5857 Sylmar, Sherman Oaks


4b/2.5b $4,300 1,873 $2.30


RENTAL COMPARABLES

6238 Fulton, Valley Glen

Unit Type Asking For Unit Size (SF) Avg. Rent/SF

3b/2b $3,300 1,159 $2.85

14427-14229 Tiara, Sherman Oaks

Unit Type Asking For Unit Size (SF) Avg. Rent/SF

3b/3b $3,450-$3,650 1,350-1,550 $2.35-$2.56


PROPERTY RENDERINGS


PROPERTY PHOTOS

LoopNet...stunning bathrooms! Each rear townhome has a private 2-car garage with direct access into...

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