All Forum Posts by: Gina Petrosyan

@Frank C. I wonder if you ended up making that purchase with Realtybid and how the title insurance issue go?  I’m planning to bid on a property and am hesitant with title uncertainty. 

Thanks Lee. Initial plan is to leave as is with 3% hike. Operating expenses are fully accounted for but we are still analyzing capital improvements. Zoning has allowed the current owner to obtain the shared living business license. 

Thank you Michaela for the insight into the creative community aspect. It is actually very interesting you mention that because we are looked into the artist community developments as well. 

This particular project is highly focused on singles and is quite lucrative as is. We see the upside on this: with a considerable rehab and market rents, we are looking at 9 cap, however investor partnership would be highly desirable in this situation. 

We are looking into a unique opportunity. The building is over 5,700sf with 19 units, 18 of which are studios with 8 shared bathrooms and a large shared kitchen. The 19th Unit is owner occupied which could potentially be converted into 5 additional single units (estimated $50k for construction cost) with a bathroom and kitchen. The 23 potential units would generate a net income of over $140k per year, considering no increase in current rents and market rent for the new 5 rental spaces. Annual rent control is 3%, conservatively not included in NOI. The price we are currently negotiating is $2m, which would generate 7% cap rate (current cap rates for apartment buildings in LA average less than 4%). Anyone familiar with this type of investment property to advise whether this is a good opportunity?