The LAAA Team of Marcus & Millichap is pleased to present this 12 unit offering located at 10617-10625 Oxnard St, North Hollywood, which is being offered for sale for the first time in nearly 40 years. Comprised of two identical 6 unit buildings on two separate APNs, the offering is ideally situated on a corner lot with an alley behind, giving access to this 0.45 acre double lot on three different streets. The property is located less than a mile from the famed NoHo Arts District, and it is just one block West of the Burbank city border at N Clybourn Avenue, allowing for quick access to great employment as well as entertainment, nightlife, shopping, and all NoHo Arts district and Burbank have to offer.

These buildings are a combined 10,577 square feet, and all 12 units have 2 bedrooms and 1 bathroom which are approximately 880 square feet each. Each second level unit comes with a private balcony, and the ground floor units comes with a large 400sf private patio, making the ground floor just as desirable as the second level, if not more. Over the decades of ownership, the seller has meticulously maintained the property and consistently upgraded the buildings and units as they needed. Notably, the seller replaced all of the roofs and main sewer lines about 8 years ago and has upgraded the electrical systems on most of the units.

These very desirable units demand great premiums in rent. For example, the seller just leased one of the 2 bed units in April 2022 for $2,250 which he regrets because he had a dozen other applicants come in that were willing to pay more. According to the seller, he left at least $100 of rent on the table for this unit, which also means a buyer can expect all of the other 2 bed units to rent for at least $2,350 when they become vacant, renovated, and re-leased.

The property brings in a significant amount of additional income through garage rent and laundry income. There are 11 one-car garages on the property, and every one of them is leased out for $150 per month, which brings in a combined $1,650 per month, or $19,800 per year, of additional income. An important note about the garage leases is that they are not rent controlled. Therefore, you could raise those rents or evict those garage tenants as you wish. The onsite laundry room offers the tenants 5 washers and 2 dryers, all of which are owned by the seller, adding approximately $2,100 in annual income.

Another bonus about this offering is that there are zero COVID rent delinquencies. All of the tenants have been paying rent through COVID, and there is not a single tenant behind on rent. Furthermore, there is no requirement for soft story retrofitting, which will save the buyer a large expense.

This property is ideal for the value add buyer who wants to capitalize on more than 20% upside potential by getting rents to market over the coming years, while still being able to receive an estimated day-1 cash-on-cash return of more than 5%. Additionally, this property is ideal for adding units through the new ADU laws. We believe the cheapest and quickest ways to add units would be converting the laundry room and some of garages into ADUs. A buyer would be wise to get an ADU company to analyze this property in detail because we believe there could be hundreds of thousands of dollars in value in ADU conversions at this property.