411 W Franklin Ave., El Segundo, CA
PRESENTED EXCLUSIVELY BY:
$1.2 MM Equity Investment Opportunity for an off-market acquisition of an 8 unit multi-family property in El Segundo, CA
PRESENTED EXCLUSIVELY BY:
5,500 sf Apartment Reposition
TABLE OF CONTENTS
• EXECUTIVE SUMMARY
o Summary
o El Segundo Area Overview
o Investment Highlights
• BUSINESS PLANo Current and Future Status
o Highlights
• MARKET OVERVIEWo Sales Comparables
o Rent Comparables
o Silicon Beach and South Bay Marketplace
o El Segundo Multifamily Marketplace
o El Segundo Micromarket Overview
• ECONOMICS
• SPONSORSHIP OVERVIEW
PRESENTED EXCLUSIVELY BY:
411 W Franklin Ave., El Segundo, CA
EXECUTIVE SUMMARY
• The Investment
• 8 Unit Value-add MF off-market acquisition
• Purchase price well below replacement cost
• No-rent control and owned by one owner since construction
• Ideal El Segundo location – between Main Street and beach
• Favorable unit mix of 1 bd/ba and 2bd/ba units
EXECUTIVE SUMMARY
411 W Franklin Ave., El Segundo, CA
• Quick Facts
Purchase Price $3,200,000
Rehab Costs $514,144
Total Cost $3,714,144
Loan Amount $2,500,000
Total Equity $1,214,144
Year 5 NOI $213,025
Year 5 Cap Rate 4.75%
Year 5 Value $4,484,730
Hold Period 5-10 years
Returns* 18.1%
EM* 2.15x
*Year 5, project level
• Business Plan
Beach City Capital (the “Sponsor”) is under
contract to purchase an 8 unit multi-family
off-market property in a highly desirable
location in El Segundo. The business plan
includes a full renovation of the property
with modern design and high quality
finishes with a lease up to market rents.
• Project Timeline
Month 1: Design/Commence Renovation
Month 3: Complete Rehab / Begin Leasing
Month 7: Property Stabilization
Month 8: Explore Refinance
• Estimated Partnership Closing Timeline
EXECUTIVE SUMMARY
411 W Franklin Ave., El Segundo, CA
• Investment Terms
Manager Beach City Capital Management
Total Equity Investment $1,214,144
Min Investment $25,000; no max
Investor Terms 4% preferred return, 75/25 cash-flow split w/ manager
Business Plan Returns will be achieved through cash-flow distribution, recap, sale, or refinance proceeds
Hold Period 5-10 years
Reporting Investors will received monthly reports during renovation, quarterly distributions, and annual K-1’s
Minimum Return ThresholdUpon Buyout
Upon achieving a 2.5x return on investment; investment period will be realized and conclude
Example: $500,000 investment, return of $1.25 MM
17 September PSA Assigned / Terms Agreed Upon
5 October Investment Commitments Due
12 October Executed Partnership Agreements Due
12 October Investment Equity Due
19 October Close of Escrow (inside date)
9 November Close of Escrow (outside date)
Beach City Capital (the “Sponsor”) is pleased to present an opportunity to invest $1,214,144 for the repositioning of a
multifamily property at 411 W Franklin Ave., El Segundo, CA (the “Property"). This 5,504 square foot multi-family
building sits on a 6,435 square foot lot and includes 8 units, comprising of (6) 1-bedroom units / 1 bath, (1) 2 bedroom /
1 bath unit and (1) 2 bedroom / 2 bath unit.
The Sponsor is acquiring the asset off-market for $3.2 MM ($400k per unit) and plans to spend approximately an
additional $500k to renovate the existing building and increase rents to market. The seller has owned the Property for
50+ year with rents falling significantly below market. The renovation will transform the Property into a contemporary
apartment building with modern features that include new landscaping, updated glazing and doors, as well as a new
interior design. The goal is to maximize the return with minimal capital investment.
The project will benefit from El Segundo’s booming tech industry, high income workforce, gorgeous beaches, vibrant
retail, proximity to growing industries and top-tier school system. Beach City Capital will manage the renovation and the
initial lease-up of the apartments post-renovation.
The Sponsor is seeking an equity partner to capitalize the acquisition and renovation over a 5-10 year hold.
EXECUTIVE SUMMARY
Property Summary
Property Address 411 W Franklin Ave.
El Segundo, CA
Lot Square Footage 6,433 SF
Building Square Footage 5,504 SF
Unit Mix
Parking
6 – 1 bedroom / 1 bath1 – 2 bedroom / 1 bath1 – 2 bedroom / 2 bath
8 stalls
Sources
New Senior Loan 68% $2,500,000
Sponsor Equity 32% $1,214,144
Total Cost 100% $3,714,144
Investor Return Distribution Summary*
5 Year Hold
Avg Cash on Cash 5.32%
LIRR 11.8%
Equity Multiple 1.67x
10 Year Hold
Avg Cash on Cash 6.00%
LIRR 12.9%
Equity Multiple 2.90x
411 W Franklin Ave., El Segundo, CA
*Reflects very conservative underwriting, cost, and financing assumptions.
EXECUTIVE SUMMARY
411 W Franklin Ave., El Segundo, CA
SANTA MONICA
VENICE
MARINA DEL REY
PLAYA DELREY
SILICON BEACH
LAX
LOS ANGELES
REDONDO BEACH
MANHATTAN BEACH
HERMOSA BEACH
EL SEGUNDO
CULVER CITY
CENTURY CITY
BEVERLY HILLS
CULVER CITY: 20 min drive
Downtown LA: 25 min drive
LAX: 5 min drive
SANTA MONICA: 20 min drive
MANHATTAN BEACH: 10 min drive
REDONDO BEACH: 15 min drive
EXECUTIVE SUMMARY
411 W Franklin Ave., El Segundo, CA
Micro Market Overview: The project is located is one of the most desirable locations in El Segundo, 2 blocks
away from Main Street, and 3 minute bike-ride to the beach. This location is extremely supply-constrained
and is mis-priced in comparison to other locations within El Segundo.
Main Street.
3 Minutes to Beach
The seller is selling the
properties identified by
the blue box off-market
The Sponsor, through a
relationship, was able to
secure the contract for
the Property identified by
the orange box
The other properties being sold are anticipated to be
developed into for-sale condos. The location has seen an
in-flux of condo development, further increasing demand
of rental product and value in the micro market.
A 10 Unit Condo Development
$1.2 - $1.6 MM (8 of 10 unitspresold prior to completion)
E
BA
B 90’s built Condo (Resale)
$999k (list price)On Market Duplex $1.8 MM
$900k per unit
C
Grand Ave
EXECUTIVE SUMMARY
• Walking distance to W Grand Ave/Main Street
The Property is in an ideal located within a 3 minute walk to W Grand Ave/Main Street and its surrounding mix of
popular restaurants, bars, and specialty retail stores. See next page for more detail.
• Proximity to El Segundo Beach
The Property is also located within a 3 minute distance to El Segundo Beach, a less-crowded alternative to other
Southern California beaches. Other beaches nearby include its neighbors Manhattan Beach to the South and Playa Del
Rey to the North.
• Value Discount in Comparison to Other Areas of El Segundo
No other location in El Segundo, is closer to the beach and Main-Street as the southwestern quadrant. Yet, the rents
and values are the same for less desirable locations along Imperial Highway (near the airport) or Pacific Coast Highway.
This provides a tremendous opportunity to deliver a quality product that will drive a premium in rents.
Dockweiler Beach
Mai
nSt
Imperial Highway
Grand Ave
Pac
ific
Co
ast
Hig
hw
ay
El Segundo Blvd
411 W Franklin
Detail A – next page
3 minute walk to W Grand Ave/Main Street3 minute to beach
411 W Franklin Ave., El Segundo, CA
• PROJECT LOCATION AREA OVERVIEW
2
1
5
7
34
2
The Property is located within a 3 minute walk to W Grand Ave/Main Street. Nearby highlights include:
EXECUTIVE SUMMARY
411 W Franklin
1
2
34
6 1
34
5
7
Nearby Coffee shops
Blue Butterfly Coffee
Kreation Organic Juicery
Starbucks Coffee
Petros Kafe
1
2
3
4
Nearby Bars and Breweries
El Segundo Brewing Company
R6 Distillery
The Tavern on Main
Old Town Patio
Brewport Tap House
Purple Orchid
1
2
3
4
5
6
Main
St
Grand Ave
Nearby Restaurants
Sausal
Rock and Brews
Good Stuff
Deluca Pasta
Britts BBQ
Richmond Bar and Grill
Two Guns Kitchen
1
2
3
4
5
6
7
411 W Franklin Ave.
Detail A – previous page
411 W Franklin Ave., El Segundo, CA
EXECUTIVE SUMMARY
411 W Franklin Ave., El Segundo, CA
• A Factory Kitchen Vet Adds Handmade Pasta to the El Segundo Conversation
“What a time to be living in El Segundo. The sleepy coastal town near LAX has long kept a low profile while nearby cities like Manhattan Beach thrive, but with the move to bring the LA Times to the area and a burst of new restaurant activity, the future is certainly bright.-Eater.com
“El Segundo is transforming itself from a hub for aviation and petroleum-based industries to a home for tech and entertainment startups illustrates how the diversification of the L.A. economy.”- The Real Deal
• El Segundo is Making A Big Push In the Spotlight
“A lot of people don’t know about this place, but for people that do, they know it’s a great place for families with good school districts…[El Segundo has a great reputation of taking care of their businesses.”-Biznow
• El Segundo has a Plan to Attract the Tech Sector
EXECUTIVE SUMMARY
• Local Economy
El Segundo is one of the best places to work and live, and has a proud tradition of aerospace innovation. It is home to
Los Angeles Air Force Base and The Aerospace Corporation. The nation’s largest defense firms are located here:
Northrop Grumman, Boeing, Raytheon, and Lockheed Martin. Recognized as a thriving business center, it is also home
to AT&T, the Los Angeles Lakers and Kings, DaVita Healthcare, LA Times, and Mattel, one of the world’s largest toy
manufacturers.
• The Next Tech and Media Hub
In 2016, the amount of tenant relocation into El Segundo was 7x the amount it was in 2005, and 2x the amount it was in
2012. Most tenants have relocated from the westside neighborhoods of Culver City, Santa Monica, Marina del Rey and
West LA. Over 30% of the business relocating to El Segundo are in the Entertainment, Gaming, Media and Technology
industries which has led to a booming creative office scene and an emerging innovative hub.
411 W Franklin Ave., El Segundo, CA
• EL SEGUNDO AREA OVERVIEW
Largest Employers Recent Additions
• El Segundo, Business-friendly City
With compelling business-friendly tax rates and incentives, El Segundo offers a no/low property tax, no parking taxes
and a 40% credit based on sales tax. El Segundo is consistently recognized as one of the most business-friendly cities in
Los Angeles and has the second highest concentration of Fortune 500 companies in the state. With approximately
16,000 residents, El Segundo’s daytime workforce population swells to over 65,000.
EXECUTIVE SUMMARY
• Proximity to Silicon Beach
The project will also benefit form its proximity to Silicon Beach, home to major technology companies such
as Google, Yahoo!, YouTube and Facebook. Just as Silicon Valley activity has influenced the entire marketplace in and
around San Francisco for the past few decades, Silicon Beach is now having the same effect on the Westside of L.A.,
resulting in steep price increases in several communities, plus additional development meant to support the influx of
wealthy workers.
SILICON BEACH
EL SEGUNDO
SILICON BEACH MAYOR EMPLOYERS
411 W Franklin Ave., El Segundo, CA
Silicon Beach, within a 10 minute drive from El Segundo, has emerged as the primary area for the technology, advertising,
digital media and creative industries in Southern California. Originally the Silicon Beach area primarily referred to the
Santa Monica-Venice submarkets, however as rents have risen and office space diminished, Silicon Beach has moved
southward along the coast. The South Bay region is considered the second- or third-largest tech hub in the world.
Just as Silicon Valley activity has influenced the entire marketplace in and around San Francisco for the past decades,
Silicon Beach is now having the same effect on the Westside of L.A., resulting in steep price increases in several
communities, as well as additional new developments meant to support the influx of tech workers.
New Google Headquarters in 319,000 square footage Playa Vista Hangar:
SILICON BEACH
EL SEGUNDO
Rents within a 2 mile radius
Rents within a 4 mile radius
Rents in Silicon Beach
Average $/sqft 2018: $3.98
Average $/sqft 2018: $3.30
Average $/sqft 2018: $3.00
Multifamily Residential Market
411 W Franklin Ave., El Segundo, CA
Executive Summary
• SILICON BEACH AND SOUTH BAY MARKET PLACE
PRESENTED EXCLUSIVELY BY:
411 W Franklin Ave., El Segundo, CA
BUSINESS PLAN
• CURRENT AND FUTURE STATUS
BUSINESS PLAN
CURRENTBeach City Capital will acquire the 8-unit multifamily building at 411 W Franklin Ave. This 5,504 square foot multifamily
building sits on a 6,435 square foot lot and features 10 bedrooms and 9 bathrooms. This property was built in 1962.
Renovate the multi family homes and update the rents to market. The renovation will transform the Property into a
contemporary apartment building with modern features that include new landscaping, updated glazing and doors, as
well as a new interior design. The goal is to maximize the return with minimal capital investment.
* Seismic Retrofit is included in upgrade reposition.
BUSINESS PLAN
Unit Mix Current Rent Future Rent Market (renovated units)
1 BD / 1B x 6 $962 $2,300 $2,400
2 BD / 1 BD x 1 $1,213 $3,100 $3,200
2BD / 2 BD x 1 $1,800 $3,300 $3,400
411 W Franklin Ave., El Segundo, CA
BUSINESS PLAN
411 W Franklin Ave., El Segundo, CA
CURRENT STATUS
BUSINESS PLAN
FACADE BEFORE AND AFTER THE RENOVATION
• Current façade
• New facade will include contemporary doors, windows, railings and lighting (Rendering)
411 W Franklin Ave., El Segundo, CA
BUSINESS PLAN
LANDSCAPE BEFORE AND AFTER THE RENOVATION
• Current Landscape
• New contemporary Californian Landscape and private gardens for bottom units (Rendering)
411 W Franklin Ave., El Segundo, CA
BUSINESS PLAN
LIVING ROOM BEFORE AND AFTER THE RENOVATION
• Current Interior Design
• New interior design will include white walls, laminated wood floors and a contemporary style
411 W Franklin Ave., El Segundo, CA
BUSINESS PLAN
BATHROOM AND KITCHEN BEFORE AND AFTER THE RENOVATION
• Current Status
• New design will include contemporary appliances, new floors and walls and modern tiles
411 W Franklin Ave., El Segundo, CA
PRESENTED EXCLUSIVELY BY:
411 W Franklin Ave., El Segundo, CA
MARKET OVERVIEW
411 W Franklin Ave., El Segundo, CA
MARKET COMPS SUMMARY
• Comparable Market Average Rent:• Comparable Market Average Rent, tracking 2% CPI for 12 months:• 411 W Franklin Avenue Proforma:
RESIDENTIAL RENTAL COMPSPSF (month)
$3.8/sqft$3.9/sqft
$3.65/sqft
411 W Franklin Ave., El Segundo, CA
RENT COMPS – Rent Comps
Address Type Rent Renovated Outdoor Space
Pros/Cons
1 122 Paseo de la Concha, Redondo Beach
Apartment(1 bed, 1 bath)
$2,195 No No • Walking distance to beach, parking
• No outdoor space, not renovated
2 913 E Grande Ave., El Segundo
Apartment(1 bed, 1 bath)
$2,425 No No • Outdoor space (balcony)• No Parking, not renovated
3 1754 E Skymore Ave, El Segundo
Apartment(1 bed, 1 bath)
$2,100 Yes No • Heated pool and laundry• No outdoor space, no parking
4 8000 W Manchester Ave, Playa del Rey
Apartment (1 bed, 1 bath)
$2,800 No Yes • Walking distance to beach, parking, pool, fitness center
• Not renovated
5 424 Grand View Blvd, Los Angeles
Apartment(1 bed, 1 bath)
$2,195 Yes No • Walking distance to beach, parking and on-site laundry
• No outdoor space
6 319 25tH Pl, Manhattan Beach
Apartment(1 bed, 1 bath)
$3,600 No No • Fully furnished, 3 blocks awayfrom Beach
• No parking, not renovated
7 11622 Aviation Blvd, Inglewood
Apartment(1 bed, 1 bath)
$3,000 Yes Yes • Outdoor amenities (pool and patio)
• No parking
8 8600 Emerson Ave, Los Angeles
Townhome(1 bed, 1 bath)
$2,548 Yes No • Newly upgraded• No outdoor space, no parking
9 6531 W 84th St, Westchester
House(1 bed, 1 bath)
$2,750 Yes Yes • In-unit washer dryer, outdoor spa• No parking, guest house
411 W Franklin Ave., El Segundo, CA
Address Type Rent Renovated Outdoor Space
Pros/Cons
10 648 San Juan Ave, Los Angeles
House(1 bed, 2 bath)
$2,750 No Yes • Fully furnished, preferred location(Venice Beach), outdoor space
• No parking, not renovated
11 423 Brooks Ave, Los Angeles
Apartment (2 bed, 1 bath)
$3,400 No No • Preferred location (Venice Beach)• No parking, no outdoor space
12 649 S Prospect Ave, Redondo Beach
Apartment (2 bed, 2 bath)
$3,500 No No • Parking, pools, full gym, tenniscourt
• Not fully renovated, no outdoorspace
13 127 Richmond St, El Segundo
Condo(2 bed, 2 bath)
$4,000 No Yes • Roof top deck, convenientlocation
• No parking, not renovated
14 227 E Oak Ave, El Segundo
Condo (2 bed, 2 bath)
$3,100 No Yes • Balcony, walking distance todowntown El Segundo
• No parking, not renovated
15 1225 E Mariposa Ave, El Segundo
House (2 bed, 2 bath)
$3,795 Yes Yes • Private yard with new deck• No parking
16 648 San Juan Ave, Los Angeles
House(2 bed, 2 bath)
$6,250 No Yes • Fully furnished, preferred location(Venice Beach), outdoor space
• No parking, not renovated
• 411 W FRANKLIN AVE
411 W Franklin Ave., El Segundo
1 bed, 1 bath2 bed, 1 bath2 bed, 2 bath
$2,300 *$3,100 *$3,300 *
Yes Yes• Fully renovated, contemporary
features, outdoor space, parking
* Projected rents after renovation
RENT COMPS – Rent Comps
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Redondo Beach Rent: $2,195
Type: Apartment (1 bedroom, 1 bathroom) Square Footage: 750 sqft
Other: Apartment, walking distance to Beach, parking and on-site laundry
122 Paseo de la Concha, Redondo Beach, CA1
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: El Segundo Rent: $2,425
Type: Apartment (1 bedroom, 1 bathroom) Square Footage: 725 sqft
Other: Outdoor space (balcony)
913 E Grande Ave., El Segundo, CA2
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: El Segundo Rent: $2,100
Type: Apartment (1 bedroom, 1 bathroom) Square Footage: 650 sqft
Other: Heated pool and laundry
1754 E Skymore Ave, El Segundo, CA3
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Playa del Rey Rent: $2,800
Type: Apartment (1 bedroom, 1 bathroom) Square Footage: 775sqft
Other: Walking distance to beach, parking, pool, fitness center
8000 W Manchester Ave, Playa del Rey, CA4
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Redondo Beach Rent: $2,195
Type: Apartment (1 bedroom, 1 bathroom) Square Footage: 750 sqft
Other: Apartment, walking distance to beach, parking and on-site laundry
4264 Grand View Blvd, Los Angeles, CA5
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Manhattan Beach Rent: $3,600
Type: Apartment (1 bedroom, 1 bathroom) Square Footage: 900 sqft
Other: Fully furnished, 3 blocks away from beach
319 25tH Pl, Manhattan Beach, CA6
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Inglewood Rent: $3,000
Type: Apartment (1 bedroom, 1 bathroom) Square Footage: 669 sqft
Other: Outdoor amenities (pool and patio)
11622 Aviation Blvd, Inglewood, CA7
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Westchester Rent: $2,548
Type: Townhomes (1 bedroom, 1 bathroom) Square Footage: 900 sqft
Other: Newly upgraded, up-and-coming neighborhood, 5 minute drive to LAX
8600 Emerson Ave, Los Angeles, CA8
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Westchester Rent: $2,750
Type: House (1 bedroom, 1 bathroom) Square Footage: 700 sqft
Other: Street parking, in-unit washer dryer, outdoor spa
6531 W 84th St, Westchester, CA9
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Venice Beach Rent: $2,750
Type: House (1 bedroom, 2 bathroom) Square Footage: 300 sqft
Other: Fully furnished, studio cottage
648 San Juan Ave, Los Angeles, CA10
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Address: Venice Rent: $3,400
Type: Apartment (2 bedroom, 1 bathroom) Square Footage: 900 sqft
Other: Community laundry, street parking
423 Brooks Ave, Los Angeles, CA11
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Address: Redondo Beach Rent: $3,500
Type: Apartment (2 bedroom, 2 bathroom) Square Footage: 977 sqft
Other: Parking, 2 heated pools, full gym, tennis court
649 S Prospect Ave, Redondo Beach, CA12
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: El Segundo Rent: $4,000
Type: Condo (2 bedroom, 2 bathroom) Square Footage: 1,450 sqft
Other: Updated Condo, roof top deck, convenient location in El Segundo
127 Richmond St, El Segundo, CA13
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: El Segundo Rent: $3,100
Type: Condo (2 bedroom, 2 bathroom) Square Footage: 1,315 sqft
Other: Balcony, walking distance to downtown El Segundo
227 E Oak Ave, El Segundo, CA14
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: El Segundo Rent: $3,795
Type: Single family home (2 bedroom, 2 bathroom) Square Footage: 1,000 sqft
Other: Private yard with new deck
1225 E Mariposa Ave, El Segundo, CA15
RENT COMPS
411 W Franklin Ave., El Segundo, CA
Location: Venice Beach Rent: $6,250
Type: House (2 bedroom, 2 bathroom) Square Footage: 700 sqft
Other: Fully furnished, studio cottage
648 San Juan Ave, Los Angeles, CA16
411 W Franklin Ave., El Segundo, CA
MARKET OVERVIEW
El Segundo Multi-family Market Place consists of 431 Units, 354 of which where built between 1940 and 1980. There is
with very limited available renovated or contemporary apartments.
EL SEGUNDO MULTI-FAMILY MARKET PLACE
El Segundo Multifamily Market Place:
• Total Multifamily Units: 431
• Total Units in area A: 127
• Total Units in area B: 116
• Total Units in area C: 108
A
BC D
• Total Units in area D: 80
• Total Units built after 1990: 7
El Segundo Zoning Map
A
B C
D
Multifamily Residential buildings are
located in 4 Areas, colored in Brown
The project is located is one of the most desirable locations in El
Segundo. This area (zone B in map), is 2 blocks away from Main Street,
and 3 minute bike-ride to the beach.
In the area, there are 41 Multi Family Units, of similar size and unit mix to
the project, in need of renovation.
411 W Franklin Ave., El Segundo, CA
MARKET OVERVIEW
EL SEGUNDO MICRO MARKET OVERVIEW
B
YearAddress Nº Units Sqft
411 W Franklin Ave., El Segundo, CA
MARKET OVERVIEW
221 Concord St, El Segundo, CA
• Multifamily Residence• Year Built: 1920• Year Renovated: 2016• Preferred location in El Segundo,
close to Main Street and 3 minute bike-ride to the beach.
MICRO MARKET OVERVIEW – Case Study
Unit For Rent Overview:• 1 Bed• No Kitchen and Shared Bathroom• Room Rent: $1,225-1,400 /month
Bedroom for Rent Shared Bathroom
Mai
n S
t
W Grand Ave
PRESENTED EXCLUSIVELY BY:
411 W Franklin Ave., El Segundo, CA
ECONOMICS
ECONOMICS
$1.2M
$2.5M
Investor EquityYields a 4% preferred return, 75/25 cash-flow split w/ manager
Senior Loan
68% Loan To Cost
$2.5 MM in proceeds
8.125% all-in, interest only for 9 month term
with extensions
1.5 pts
411 W Franklin Ave., El Segundo, CA
• CAPITAL STACK
ECONOMICS
411 W Franklin Ave., El Segundo, CA
Rent PSF $2.78/sqft
ECONOMICS
411 W Franklin Ave., El Segundo, CA
Contingency
ECONOMICS
411 W Franklin Ave., El Segundo, CA
411 W Franklin Ave., El Segundo, CA
PRESENTED EXCLUSIVELY BY:
411 W Franklin Ave., El Segundo, CA
SPONSORSIP OVERVIEW
• BEACH CITY CAPITAL MANAGEMENT
Beach City Capital is a Los Angeles based real estate investment firm focused on the acquisition
and development of residential and commercial properties, founded by 3 USC graduates and joined
by an incredible team of investors, advisors and Partners.
The firm utilizes in-house associates who have a deep background in Acquisition, Finance,
Entitlements and Development. Each project is adequately supervised by our staff to mitigate
entitlement and development risk.
Our company mission is to improve the quality of life and community one project at a time. We plan
to help enhance and enrich the urban fabric of the city and in doing so, we design our projects to be
affordable, well-integrated, and positively impactful.
Greg CullenBeach City Capital
Development Principal
Matt StewartHFF
Capital Markets Advisor
KEY ADVISORS
Anna SporrongDevelopment Intern
Maria PerezDevelopment Coordinator
Peter LarrDevelopment
Associate
Jason MullerManaging Principal
Clinton AbramsManaging Principal
Mark H.Carpenter Jr.Development
Associate
Serena ShlomofDevelopment
Associate
Lindsey MillsDevelopment
Associate
SPONSORSHIP OVERVIEWBEACH CITY CAPITAL
12763 - 12767 MITCHELL AVE
Beach City Capital is a private real estate investment firm headquartered in Manhattan Beach,
California. Beach City Capital focuses on executing the development and repositioning of multi-
family, luxury housing, and commercial assets, targeting value-add and opportunistic returns. Beach
City Capital is a vertically integrated investment company with the ability to source, underwrite,
acquire and develop all projects. Our investments capitalize on a broad platform, utilizing in-house
real estate professionals whose expertise span all phases of the real estate life cycle. Our staff is
made up of experienced professionals in Acquisition, Finance, Entitlement and Development, all
seasoned to pursue a consistent investment process that combines local market knowledge and
hands-on expertise, creating value for our shareholders.
As Beach City Capital reviews deals in coastal locations throughout Southern California, we strive to
look for underutilized properties that lack their highest and best use. We focus on assets that are
underperforming, mispriced, and mismanaged to add value and improve efficiencies. We use
structured finance, an experienced team and government relations to find the true land residual
throughout our acquisition. The firm is able to quickly find these opportunities by consistently
analyzing key markets and being willing to compete against others using good sportsmanship. While
Beach City Capital has extensive experience, what makes us successful is acknowledging that the
real estate itself and best in-class service to our investors are the key factors in our Investment
Platform’s growth.
Beach City Capital has a long-standing presence in key markets throughout the United States with a
decade of hands-on experience, intimate local market knowledge, and an extensive network of
relationships with institutional and local banks, private equity firms, and family offices. This depth of
experience and relationships with capital providers gives Beach City Capital a competitive
advantage in identifying and closing attractive investments both on and off market. Our reputation
has afforded us the opportunity to work with the best leaders in the industry, receiving attractive
interest rates and optimal service with certainty.
Once acquired and financed, we thoroughly manage the Development Process from Entitlements,
Permit Management, Preconstruction and through Construction using a strategic bidding process
with the most experienced General Contractors and subcontractors in the industry. We minimize
construction risk and manage all jobs to be on time and within budget. We leverage industry
knowledge, experience and technology to monitor, report on and manage the delivery of this project
from construction to disposition. Our customer service entails monthly reports and thorough
communication to our investors. Each project is crafted with pristine excellence and perfection with
hopes to create spaces that inspire and modernize everyday life. Our company mission is to
improve the quality of life and community one project at a time. We plan to help enhance and enrich
the urban fabric of the city and in doing so, we design our projects to be affordable, well-integrated,
and positively impactful.
Additional Investment Opportunities:
37 Unit CondosFor sale• Location: 12763 Mitchell Ave- Mar Vista• Deal Size: $26.5M
30 Unit Mixed Use Development and 15,000 sf Retail For Sale• Location: 132 N Catalina- Redondo Beach• Deal Size: $53M
411 W Franklin Ave., El Segundo, CA
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