16% Cash on Cash - 7 unit “Class C” Apt bldg. Los Angeles County

[Demetrius Hamilton]

16% Cash on Cash - 7 unit “Class C” Apartment building. Los Angeles County.

D. Alexander

Real Estate Investor looking for buyer: Wholesale deal 7 unit building Los Angeles County.

Apartment complex purchase comprising of 1 building totaling 7 units. This “C” class property is located in a “C” class neighborhood surrounded by single family homes. The property is situated within an investor friendly neighborhood with many upsides in rent potential. Currently 100% leased.

The property is an easy to manage building. The result is an asset that offers great add value to the property by decreasing expenses, increasing rents, renovate the property and re-position the asset and see your 11.4% cash on cash grow to 16.6% cash on cash return in 18-24 months. The resulting re-positioning will create an asset that provides good cash flow and positive equity growth and considerable benefits of tax deferral.

This property is located in Los Angeles County.At the time of purchase, the capitalization rate based on actual property financials is 6.8%. This figure is still below current market values of similar apartment complexes, meaning that there's more room to grow. After completing the improvements and implementing new property management in 18 – 24 months after acquisition, the cap rate is projected to be 7.9%. With proper management in place focused on increasing your NOI while decreasing your expenses this can be achieved.