50 Units Trigger $8M Sale

LOS ANGELES-A Northern California buyer has purchased a 50-unit apartment complex at 5015 Clinton St. from a Los Angeles-based seller for $8 million, according to Ron Harris of Marcus & Millichap.

Harris, who represented buyer and seller, tells GlobeSt.com that IEC LA Real Estate Corp. of Northern California acquired the property from 5015 Clinton Suites LLC, which had owned the Clinton Street property since December 1995. The complex, built in 1990, was 100% occupied at sale time.

“This is an extremely high-quality property,” Harris says, explaining that the complex, which is situated about midway between the Mid-Wilshire District and Hollywood, was built to high construction standards and includes many extras, such as washers and dryers in the units. The apartments are spacious, each measuring in excess of 1,000 sf for the two-bedroom, two-bath units. Rent averages $1,450 per month.

Harris sees potential for the new owner to raise rents at the three-story, single-building complex, explaining that the property is not under rent control because it was built after 1978. “The building is in excellent condition, and it has been very well managed,” Harris says. He says the buyer plans a major renovation that will support higher rents.