815 S . SHENANDOAHSTREETLOS ANGELESLos Angeles, CA 90035

Offering Memorandum

Non-Endorsement and Disclaimer NoticeThe information contained in the following Marketing Brochure is proprietary and strictly confidential. It is intended to be reviewed only by the party receiving it from Marcus & Millichap and should not be made available to any other person or entity without the written consent of Marcus & Millichap. This Marketing Brochure has been prepared to provide summary, unverified information to prospective purchasers, and to establish only a preliminary level of interest in the subject property. The information contained herein is not a substitute for a thorough due diligence investigation. Marcus & Millichap has not made any investigation, and makes no warranty or representation, with respect to the income or expenses for the subject property, the future projected financial performance of the property, the size and square footage of the property and improvements, the presence or absence of contaminating substances, PCB's or asbestos, the compliance with State and Federal regulations, the physical condition of the improvements thereon, or the financial condition or business prospects of any tenant, or any tenant's plans or intentions to continue its occupancy of the subject property. The information contained in this Marketing Brochure has been obtained from sources we believe to be reliable; however, Marcus & Millichap has not verified, and will not verify, any of the information contained herein, nor has Marcus & Millichap conducted any investigation regarding these matters and makes no warranty or representation whatsoever regarding the accuracy or completeness of the information provided. All potential buyers must take appropriate measures to verify all of the information set forth herein. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2017 Marcus & Millichap. All rights reserved.

Non-Endorsement NoticeMarcus & Millichap is not affiliated with, sponsored by, or endorsed by any commercial tenant or lessee identified in this marketing package. The presence of any corporation's logo or name is not intended to indicate or imply affiliation with, or sponsorship or endorsement by, said corporation of Marcus & Millichap, its affiliates or subsidiaries, or any agent, product, service, or commercial listing of Marcus & Millichap, and is solely included for the purpose of providing tenant lessee information about this listing to prospective customers.

ALL PROPERTY SHOWINGS ARE BY APPOINTMENT ONLY. PLEASE CONSULT YOUR MARCUS & MILLICHAP AGENT FOR MORE DETAILS.

SAM LIBEROWFirst Vice President InvestmentsDirector, National Multi Housing Group 16830 Ventura Blvd. Suite 100Encino, CA 91436(818) 212-2795 Direct (818) 698-6464 Fax Sam.Liberow@marcusmillichap.com License: CA 01933858

EXCLUSIVELY LISTED BY:

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TABLE OF CONTENTS1

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Executive Summary

Investment Highlights

Property Overview

Financial Analysis

Comparables

Area Overview

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Marcus & Millichap has been selected to exclusively market for sale 815 South Shenandoah Street., a 13-unit apartment building located in the neighborhood of Pico-Robertson, just steps away from Beverly Hills. 815 S. Shenandoah is a charming building situated on a 10,888 square foot lot. The subject property has two (2) one-bedroom / one-bathroom units, nine (9) two-bedroom / two-bathroom units (3 of those units include a Den), and two (2), three-bedroom / two-bathroom units. There is also an empty recreational room located in the downstairs lobby that can be converted to a gym, office, or non-conforming unit. On-site parking and laundry facility is also available for tenants.

Pico-Robertson is a high density rental market adjacent to Beverly Hills, Century City, Beverlywood, Miracle Mile, Carthay Square, Mid-City, and West Hollywood. These surrounding areas are major employment centers for the demographic that resides in Pico-Robertson, making it a very commutable area for its residents. The property itself is walking distance to Pico Blvd, which hosts a diversity of restaurants and InternationalMediterranean super markets.

With a population of 47,930 residents in just slightly over 1 square mile, Pico-Robertson is among the highest densities in the city and county of Los Angeles. Residents are largely college-educated with a median household income of $82,126 and many earn between $50,000 and $100,000.

Prime location perfect for investors and land developers.

EXECUTIVE SUMMARY

DEMOGRAPHICS

$114,061 $94,313 897,5095-Mile RadiusAverage Household Income

1-Mile RadiusAverage Household Income

5-Mile Radius Population

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PROPERTY OVERVIEW

FINANCIAL OVERVIEW

Property Address 815 South Shenandoah Street

Building SF 21,360 SF

Lot Size 10,888 SF

Units 13

APN 4333-014-040

Year Built 1971

Zoning LAR3

Sales Price $7,500,000

CAP Rate 3.22%GRM 18.24Price/Unit $576,923Price/SF $351.12ProForma CAP Rate 3.92%

ProForma GRM 16.11

WALKSCORE91/100

Walkscore of 83 meaning daily errands can be done by foot.

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INVESTMENT HIGHLIGHTS• Located in Prime Pico-Robertson location just steps away

from Beverly Hills

• Excellent unit mix consisting of mostly two-bedroom units

• Supply constrained area

• Large units with high ceilings and spacious floor plans

• Separately metered for electric (no gas in units)

• All units have central air and heat

• On-site laundry facilities and gated parking

• Empty recreational room with a bathroom that can be converted into a gym, office, or non-conforming unit

• Property not on soft-story retrofit list

• Excellent walkability - Just blocks from high-end restaurants, grocery stores, entertainment, synagogues, and Beverly Hills Restaurant Row and the Beverly Center

Great walkability Walk Score of 91 - walking distance to upscale restaurants, shopping malls, and nightlife.

SUBJECT PROPERTY

BEVERLY HILLS

PROXIMITY TO AMENITIES

ADDRESS 815 S. SHENANDOAH ST.LOS ANGELES, CA

ShoppingThe Beverly CenterThe GroveWestfield Century City

Hospitals/ Urgent CareCedar-Sinai Medical CenterUCLA Medical CenterBeverly Hills Urgent Care

GroceriesTrader Joe’sRalph’sWhole FoodsVon’s

WHY BUY 815 S SHENANDOAH ST?

MAJOR EMPLOYERS IN THE IMMEDIATE AREA

• Kaiser Permanente Los Angeles• Cedar-Sinai Medical Center• LAC and USC Medical Center• UCLA Medical Center• Sony Pictures Entertainment

FitnessLa FitnessDeuce BacklotHot Yoga

EntertainmentMovie TheatresRestaurantsHotels

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PRIDE OF OWNERSHIPPROXIMITY TO BEVERLY HILLSLuxury ShoppingUpscale RestaurantsCelebrity Homes

VALUE-ADD OPPORTUNITY

Increase Rental Income with Renovations.

HIGH-END DEMOGRAPHICS

Average HH Income of $114,061 Within a 1-Mile Radius

Heart of Pico-Robertson and Steps from Beverly Hills Fitness

La FitnessDeuce BacklotHot Yoga

EntertainmentMovie TheatresRestaurantsHotels

PROPERTY OVERVIEW

THE OFFERINGProperty 815 S Shenandoah St.Price $7,500,000Property Address 815 S Shenandoah StAssessors Parcel Number 4333-014-040Zoning LAR3

SITE DESCRIPTIONNumber of Units 13Number of Buildings 1Number of Stories 3Year Built/Renovated 1971Rentable Square Feet 21,360 SFLot Size 10,888 SFType of Ownership Fee SimpleParking 24 Spaces - Single / Tandem

UTILITIESWater Landlord PaysElectric Tenant PaysGas No Gas in Units; Landlord Pays

for Common Areas

CONSTRUCTIONFoundation ConcreteFraming Wood FrameExterior StuccoRoof Flat

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PLAT MAP

PROPERTY PHOTOS

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PROPERTY PHOTOS

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ROBERTSON BOULEVARD

SHENANDOAH STREET

VENICE

CHEVIOT HILLS

PICO-ROBERTSON

LAX

WILSHIRE BOULEVARD

OLYMPIC BOULEVARD

LA CIENEGA BOULEVARD

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RROBERTSON BOULEVA D

BEVERLY HILLS

CENTURY CITY

SANTA MONICA

CULVER CITY

SANTA MONICA BOULEVARD

WESTWOOD

BEVERLY HILLS GOLDEN TRIANGLE

WEST HOLLYWOOD

ROBERTSON BOULEVARD

SHENANDOAH STREET

VENICE

CHEVIOT HILLS

PICO-ROBERTSON

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WILSHIRE BOULEVARD

OLYMPIC BOULEVARD

LA CIENEGA BOULEVARD

F INANCIAL ANALYSIS

UNIT NO UNIT TYPE CURRENT RENT MARKET RENT

101 2+2+Den $3,100 $3,100102 2+2 $2,650 $2,850103 2+2 $2,795 $2,850104 1+1 $2,045 $2,500105 1+1 $1,551 $2,500201 2+2 $2,328 $2,850202 2+2 $2,327 $2,850203 2+2+Den $2,995 $3,100204 3+2 $3,600 VACANT $3,600301 2+2 $2,704 $2,850302 2+2 $2,760 $2,850303 2+2+Den $2,378 $3,100304 3+2 $2,842 $3,600

Total $34,074 $38,600

RENT ROLL

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NO OF UNITS UNIT TYPE

2 1+16 2+23 2+2+Den2 3+2

13 Total Units

CURRENT RENTS MARKET RENTS

NO. OF UNITS BR/BA MO. RENT/UNIT MO. INCOME MO. RENT/UNIT MO. INCOME

2 1+1 $1,551 - $2,045 $3,596 $2,500 $5,0006 2+2 $2,327 - $2,795 $15,563 $2,850 $17,1003 2+2+Den $2,378 - $3,100 $8,473 $3,100 $9,3002 3+2 $2,842 - $3,600 $6,442 $3,600 $7,200

Total Scheduled Rent: $34,074 $38,600Laundry: $155 $155Other Income: $42 $42Monthly Scheduled Gross Income: $34,271 $38,797Annual Scheduled Gross Income: $411,246 $465,558

SCHEDULED INCOME

UNIT MIX

F INANCIAL ANALYSIS

PRICING ASSUMABLE LOAN

Sales Price $7,500,000

Price/Unit $576,923

Price/SF $351.12CAP Rate 3.22%ProForma CAP Rate 3.92%GRM 18.24ProForma GRM 16.11Cash-on-Cash 1.12%

$3,487,500

7 Years (5.5 Years Remaining)3.85%

Loan Amount Origination DateTermInterest Rate Annual Payment $202,525

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September 2017

Notes:This information has been secured from sources we believe to be reliable, but we make no representations or warranties, expressed or implied, as to the accuracy of the information. Reference to square footage or age are approximate. Buyer must verify information and bears all risk for any inaccuracies. Marcus & Millichap Real Estate Investment Services is a service mark of Marcus & Millichap Real Estate Investment Services, Inc.

EXPENSES ANNUAL PER SF PER UNIT

1.196% $89,703 $4.20 $6,900

$8,544 $0.40 $657

$13,260 $0.62 $1,020

$15,956 $0.75 $1,227

$5,500 $0.26 $423

$3,250 $0.15 $250

$1,800 $0.08 $138

$15,956 $0.75 $1,227

$3,350 $0.16 $258

Real Estate Taxes

Insurance

Utilities

Maintenance & Repairs

Trash

Reserves

Landscape

Off-Site Management

Elevator Service

Pest Control $380 $0.02 $29

Total $157,700 $7.38 $12,130

INCOME & EXPENSE % CURRENT RENTS % MARKET RENTS

Scheduled Gross Income: $411,246 $465,558

Vacancy/ Bad Debt: 3% $12,337 3% $13,967

Gross Operating Income: $398,909 $451,591

Less Expenses: 38% $157,700 34% $157,700

Net Operating Income: $241,208 $293,891

Less Loan Payments: $196,196 $196,196

Debt Coverage Ratio: 1.23 1.50

Pre-Tax Cash Flow: 1.12% $45,012 2.43% $97,695

Plus Principal Reduction Yr 1: $63,032 $63,032

Total Return Before Taxes: 2.69% $108,044 4.01% $160,727

ANNUALIZED OPERATING DATA

SALES COMPARABLES

SUBJECT PROPERTY

ADDRESS 815 S SHENANDOAH ST.

Sales Price $7,500,000Price/Unit $576,923Price/SF $351.12CAP Rate 3.22%GRM 18.24No. of Units 13Year Built 1971

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ADDRESS ADDRESS

ADDRESS ADDRESS

ADDRESS 814 S HOLT AVE.

Close of Escrow 1/23/2019Sales Price $2,410,000Price/Unit $401,667Price/SF $335.75CAP Rate 3.68%GRM 16.86No. of Units 6Year Built 1960

ADDRESS 1030-1034 SHENANDOAH ST

Close of Escrow 1/31/2019Sales Price $4,375,000Price/Unit $546,875Price/SF $527.11CAP Rate 4.21%GRM 15.56No. of Units 8Year Built 1988

ADDRESS 859 S BEDFORD ST

Close of Escrow 6/15/2018Sales Price $2,500,000Price/Unit $416,667Price/SF $417.15CAP Rate 3.80%GRM 20.00No. of Units 6Year Built 1957

ADDRESS 858 S SHENANDOAH ST

Close of Escrow 11/9/2018Sales Price $6,500,000Price/Unit $541,667Price/SF $331.60CAP Rate 2.84%GRM 18.08No. of Units 12Year Built 1963

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3 4

SALES COMPARABLESCAP RATE

GRM

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PRICE/SF

PRICE/UNIT

RENT COMPARABLES

SUBJECT PROPERTY 815 S SHENANDOAH ST.

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2 3

UNIT TYPE UNITS TOTAL RENT

1+1 2 $3,596 2+2 6 $15,563 2+2+Den 3 $8,473 3+2 2 $6,442

Total 13Year Built 1971

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ADDRESS 859 S BEDFORD ST. ADDRESS 1201 S SHERBOURNE DR.

UNIT TYPE UNITS RENT

1+1 1 $2,495 - $2,595

Total 1Year Built 1957

UNIT TYPE UNITS RENT

2+2 1 $2,80

Total 1Year Built 1958

1 2

ADDRESS 1136 S HOLT AVE.

3

UNIT TYPE UNITS RENT

2+2 1 $3,100

Total 1Year Built 1953

ADDRESS 931 S WOOSTER ST.

3

UNIT TYPE UNITS RENT

3+2 1 $3,695

Total 1Year Built 1965

RENT COMPARABLES AVERAGE RENT

1 BEDROOM

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AVERAGE RENT

2 BEDROOM

3 BEDROOM

Pico-Robertson is a neighborhood in West Los Angeles. It is bordered by Beverly Hills and convenient to Century City, Culver City, Sawtelle, the Wilshire District and more, making it a great place to live for people who hate long commutes. Pico Boulevard is a hot bed of diverse restaurants and La Cienega Boulevard is considered the famed “Restaurant Row” of Beverly Hills, with many high-end restaurants such as Morton’s and Fogo De Chao.

Pico-Robertson has become the center of Jewish culture: With one of the largest concentrations of synagogues in the city, and as the home of important institutions like the Simon Wiesenthal Center and the Museum of Tolerance, Pico-Robertson continues to play a central role in Jewish life in L.A.

Public schools found around the Pico-Robertson area include Canfield Avenue Elementary, which scored 889 out of 1,000 in the 2013 Academic Performance Index. Crescent Heights Boulevard Elementary scored 833, and Carthay Center Elementary had a score of 777. Alexander Hamilton Senior High scored 741.

For fine cuisine enthusiasts, Suzanne Tracht’s Jar is one of the neighborhood’s finest chop houses, and maybe one of the city’s best 5-star restaurants.

If you are looking to spend some quality time with the family, the 28-acre Pan Pacific Park is a mere 30 minutes’ walk away (or a 6-min drive), as is the much-hyped The Grove with its endless array of indoor and outdoor entertainment opportunities – plus it’s always a popular place for a stroll. Interesting fact: The Grove has 18 million visitors a year, more than Disneyland.

AREA OVERVIEW

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POINTS OF INTEREST

RESTAURANT ROW

RODEO DRIVE

PACIFIC DESIGN CENTER

MAJOR AMENITIES

The Beverly Center 0.9 Miles

La Brea Tar Pits & Museum 1.5 Miles

Pacific Design Center 1.6 Miles

Rodeo Drive 1.8 Miles

LA Farmer’s Market/ The Grove 1.9 Miles

Museum of Tolerance 1.9 Miles

Melrose Avenue 3.8 Miles

The Roxy Theatre 2.3 Miles

DEMOGRAPHICS 1 MILE 3 MILES 5 MILES

2019 Estimate 47,930 323,511 897,509

Households:

2024 Projection 23,320 152,379 394,322

2019 Estimate 23,000 150,736 388,271

2010 Census 22,033 146,834 368,504

Growth 2019 - 2024 1.39% 1.09% 1.56%

Growth 2010 - 2019 4.39% 2.66% 5.36%

Owner Occupied 5,952 47,091 106,829

Renter Occupied 17,049 103,645 281,442

2019 Households by Household Inc:

<$25,000 3,735 27,009 88,895

$25,000 - $50,000 3,240 23,393 73,898

$50,000 - $75,000 3,702 21,971 58,687

$75,000 - $100,000 2,887 18,827 43,294

$100,000 - $125,000 1,981 14,261 31,780

$125,000 - $150,000 1,591 8,869 19,070

$150,000 - $200,000 2,133 12,669 25,742

$200,000+ 3,731 23,736 46,905

2019 Avg Household Income $114,061 $110,364 $94,313

2019 Med Household Income $82,126 $78,976 $62,949

DEMOGRAPHICS

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SAM LIBEROWVice President InvestmentsDirector, Ntnl Multi Housing Group

16830 Ventura Blvd. Suite 100Encino, CA 91436(818) 212-2795 Direct (818) 212-2700 Fax Sam.Liberow@marcusmillichap.com License: CA 01933858

EXCLUSIVELY LISTED BY: