X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

LOS ANGELES-In what Dean Zander of Hendricks & Partners describes as a strong demand for mid-size apartment complexes that “fall under the radar of the REITs and institutional investors,” two such properties recently fetched premium prices.

The properties, which changed hands in deals brokered by Zander, were the 36-unit Pioneer Place Apartments at 433 Pioneer Dr. in Glendale and the 66-unit De Longpre Apartments at 6520-6530 De Longpre Ave. in Hollywood. Zander tells GlobeSt.com that Pemberton Partners of Los Angeles purchased the Pioneer Place for nearly $4 million, a top price per unit for a property of its age and mix in the area while De Longpre Investors LLC of Pacific Palisades bought the Hollywood complex for slightly more than $5.6 million.

The Pioneer Place complex, built in 1970, was renovated in the past year by the seller, Redevelopment Associates LLC of San Francisco, which upgraded common areas and unit interiors. New owner Pemberton acquired the property as a long-term hold, Zander says. He represented the seller, with Bill Morris of Banker’s Realty in Torrance brokering terms for the buyer.

Pioneer Place complex consists of 30 one-bedroom units that average 775 sf and rent for $825 to $950 per month. There are six two-bedroom apartments that average 1,000 sf, with monthly rents of $1,100 to $1,150.

The complex, which occupies a 1.1-acre parcel and includes 45 covered parking spaces, was 100% rented at sale time. Zander notes Pioneer Place was the third Los Angeles-area apartment building purchased, renovated and sold during the past 18 months by Redevelopment Associates, which had owned the Pioneer property for about 1.5 years.

De Longpre Investors acquired the 66-unit Hollywood complex from PWT Properties of Dallas, which had owned it about 20 years. Zander represented the seller with the buyer represented by Dan Baird of Cypress Commercial in Downtown Los Angeles.

The De Longpre, which was built in 1957 and 96% rented at the time of the sale, occupies a parcel of approximately one acre with 74 parking spaces. Its 66 units include one bachelor, 62 one-bedroom units and three two-bedroom apartments. The bachelor is 393 sf and rents for $200 per month while the one-bedrooms average 734 sf and rent for an average of $754 monthly. The two-bedroom apartments average 867 sf and rent for an average of $967.

Both the Glendale and the Hollywood property commanded premium prices, Zander says, in part because they are “in great locations within their submarkets.” The De Longpre is near Sunset Boulevard and Vine Street and the Pioneer is close to the 134 Freeway.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.