Address: 10345 Pinyon Ave, Tujunga, CA 91042, USA, Los Angeles, California, US
Created date: October 17, 2023
Date last updated: November 29, 2023
- Built in 1914/1948
- Huge 21,794 SqFt Lot
- Two Separate Structures
- Approx. 45% Upside in Rents
- Seismic Retrofitting Complete
- 9% Rent Increases in Feb 2024
- First Time on Market in 36 Years
- Strong Tujunga Location
The LAAA Team of Marcus & Millichap is proud to present 10345 Pinyon and 10345-12 Pinyon, a 7 unit multifamily property situated in Tujunga, CA. The property has two separate structures with two different addresses on one large 0.5 acre lot (approx. 22,000 square feet of land).
This spacious piece of real estate houses six distinctive apartment units, each inclusive of an external parking space in a vast outdoor common area at the rear of the property. The subject property resides in a quiet residential neighborhood surrounded by single family homes. The multiunit subject property was grandfathered in by the City years ago, as the surrounding area is zoned LAR1, and even comes with an approved re-build letter which should provide the prospective investor with security should something ever happen to the property in the future.
The subject property boasts an attractive unit mix of (2) Singles, (4) One-Bedroom Units, along with a detached 1,100 sq. ft. house above individual garages that can be rented as parking or storage for an additional income stream for the new investor. Enhancements to the house include a new front porch from 2013, a rear deck added in 2011, and an enviable view of the Valley.
Beyond living spaces, the property is home to four garages and two storage rooms, all available for rent. Their sizes range from compact 9’ x 11’ spaces to more generous 28’ x 20’ areas. The garages, along with the abundance of unused square footage on the parcel, make this property an ideal candidate for future conversions, and/or additions through the ADU program. An additional highlight and added income stream is the on-site laundry facility equipped with washers and dryers, which generates an average monthly revenue of $150.
9% RENT INCREASES ALLOWED ON FEBRUARY 1st, 2024
Since the terms of the current leases note that the owner is responsible for paying the tenants' gas and el ectric bills, each of the 6 occupied units are eligible for 9% rental increases beginning on February 1, 2024 (buyer to verify). After those 9% rent increases take affect in February 2024, the property will bring in roughly $104,000 of income each year or $8,700 each month.
At the asking price of $1,350,000, the buyer would close escrow at a 5.28% CAP rate. However, after February's 9% rent increases to the 6 occupied units, the CAP rate will jump to 5.76% without the buyer needing to do anything besides wait a couple months after close of escrow.