440 e san jose - loopnet€¦ · 440 east san jose avenue burbank, ca 91501 all information...

For more information contact:

440 E SAN JOSE440 East San Jose AvenueBurbank, CA 91501

Price: $3,250,000

Cindy Hill, CCIMSenior Vice [email protected]

Phone: 818-432-1500 ● Fax: 818-432-1501 ● 4061 Laurel Canyon Blvd. ● Studio City, CA 91604 ● www.valleyapartmentsales.com

PROPERTY HIGHLIGHTS

Pride of ownership Burbank 8plex●

Located on one of the best streets in Burbank●

Tremendous upside in rentsnot subject to rent control●

Excellent unit mixlarge units●

Walking distance to the Burbank mall●

INVESTMENT DETAILS

440 East San Jose AvenueBurbank, CA 91501

All information furnished regarding property for sale, rental or financing is from sources deemed reliable, but no warranty or representation is made tothe accuracy thereof and same is submitted subject to errors, omissions, change of price, rental or other conditions, prior sale, lease or financing orwithdrawal without notice. No liability of any kind is to be imposed on the broker herein.

ANALYSIS

Analysis Date May 2019

PROPERTY

Property 440 E San Jose

Property Address 440 East San Jose AvenueBurbank, CA 91501

Year Built 1960

FINANCIAL INFORMATION

All Cash

PURCHASE INFORMATION

Property Type MultiFamily

Purchase Price $3,250,000

Units 8

Total Rentable Sq. Ft. 8,501

LOANS

Type Debt Term Amortization Rate Payment LO Costs

All Cash

INCOME & EXPENSES

Gross Operating Income $161,953

Monthly GOI $13,496

Total Annual Expenses ($51,497)

Monthly Expenses ($4,291)

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EXECUTIVE SUMMARY



ACQUISITION COSTS

Purchase Price, Points and Closing Costs $3,250,000

Investment - Cash $0

INVESTMENT INFORMATION

Purchase Price $3,250,000

Price per Unit $406,250

Price per Sq. Ft. $382.31

Income per Unit $20,858

Expenses per Unit ($6,437)

INCOME, EXPENSES & CASH FLOW

Gross Scheduled Income $166,860

Total Vacancy and Credits ($4,907)

Operating Expenses ($51,497)

Net Operating Income $110,456

Debt Service $0

Cash Flow Before Taxes $110,456

FINANCIAL INDICATORS

Debt Coverage Ratio N/A

Capitalization Rate 3.40%

Gross Rent Multiplier 19.48

Gross Income / Square Feet $19.63

Gross Expenses / Square Feet ($6.06)

Operating Expense Ratio 31.80%

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PRO FORMA SUMMARY



INCOME

Description Actual Per Unit Market Per Unit

Gross Potential Rent $163,560 $20,445 $195,000 $24,375

Less: Vacancy ($4,907) ($613) ($5,850) ($731)

Misc. Income $3,300 $413 $3,300 $413

Effective Gross Income $161,953 $20,244 $192,450 $24,056

OPERATING EXPENSES

Description Actual Per Unit Market Per Unit

Property Taxes $34,653 $4,332 $34,653 $4,332

Phone $600 $75 $600 $75

Gardener $1,200 $150 $1,200 $150

Pest Control $564 $71 $564 $71

Gas $1,780 $223 $1,780 $223

DWP $4,300 $538 $4,300 $538

Insurance $3,400 $425 $3,400 $425

Misc $1,500 $188 $1,500 $188

Maintenance $3,500 $438 $3,500 $438

Total Expenses ($51,497) ($6,437) ($51,497) ($6,437)

NET OPERATING INCOME $110,456 $13,807 $140,953 $17,619

p. 4

PRO FORMA SUMMARY



UNIT MIX & MONTHLY SCHEDULED

Type Units Actual Total Market Total 1+1 2 $1,573 $3,145 $1,725 $3,4502+1 2 $1,858 $3,715 $2,100 $4,2002+1.5 4 $1,693 $6,770 $2,150 $8,600TOTALS 8 $13,630 $16,250

ANNUALIZED INCOME Description Actual Market

Gross Potential Rent $163,560 $195,000Less: Vacancy ($4,907) ($5,850)Misc. Income $3,300 $3,300Effective Gross Income $161,953 $192,450Less: Expenses ($51,497) ($51,497)Net Operating Income $110,456 $140,953

ANNUALIZED EXPENSES Description Actual Market

Property Taxes $34,653 $34,653Phone $600 $600Gardener $1,200 $1,200Pest Control $564 $564Gas $1,780 $1,780DWP $4,300 $4,300Insurance $3,400 $3,400Misc $1,500 $1,500Maintenance $3,500 $3,500Total Expenses $51,497 $51,497Expenses Per RSF $6.06 $6.06Expenses Per Unit $6,437 $6,437

INVESTMENT SUMMARY

Price: $3,250,000

Year Built: 1960

Units: 8

Price/Unit: $406,250

RSF: 8,501

Price/RSF: $382.31

Lot Size: 8,844 sf

Floors: 1

APN: 2455-036-010

Cap Rate: 3.4%

Market Cap Rate: 4.34%

GRM: 19.48

Market GRM: 16.39

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PROPERTY DESCRIPTION



8-Unit Apartment Complex in Burbank

KW Commercial is proud to represent this 8-unit apartment building. The building was constructed in 1960. Its unit mix consists of (2) one-bedroom, one-bathroom units, (2) two-bedroom, one-bathroom units, and (4) two-bedroom, one-and-a-half bathroom units. With a lot size of 8,444 squarefeet, the property has a total of 8,501 rentable square feet. The property is located in Burbank, which is a highly desirable rental market and is known as the media capital ofthe world. It is home to Disney Studios, Warner Brothers, and NBC. The city has over 80 restaurants, 30 moviescreens, and 200 stores; its residents enjoy top ranked schools, easy access to the 5 and 134 freeways, and closeproximity to the Burbank Metro Link. Burbank is not subject to rent control.

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UNIT RENT ROLL



Unit Description Current Rent Pro Forma Rent Comments

1 1+1 $1,450 $1,725

2 2+1.5 $1,675 $2,150

3 2+1.5 $1,675 $2,150

4 1+1 $1,695 $1,725

5 2+1.5 $1,675 $2,150

6 2+1.5 $1,745 $2,150

7 2+1 $1,720 $2,100

8 2+1 $1,995 $2,100

p. 7

UNIT MIX REPORT



Units Type Approx. SqFt Avg. Rents Monthly Mkt Rents Monthly

2 1+1 0 $1,573 $3,145 $1,725 $3,4502 2+1 0 $1,858 $3,715 $2,100 $4,2004 2+1.5 0 $1,693 $6,770 $2,150 $8,6008 0 $13,630 $16,250

UNIT MIX UNIT MIX SQUARE FEET

● 1+1

● 2+1

● 2+1.5

● 1+1

● 2+1

● 2+1.5

UNIT MIX INCOME UNIT MIX MARKET INCOME

● 1+1

● 2+1

● 2+1.5

● 1+1

● 2+1

● 2+1.5

p. 8

Landscaped Front Facade Landscaped Side Facade

Laundry Rear Facade, with Covered Parking

Street View (East) Street View (West)

PROPERTY PHOTOS



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MAPS AND AERIALS



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City of Burbank

www.ValleyApartmentSales.com

Throughout its 100 year history, Burbank has been home to a crea ve, forward‐

thinking community. Its residents enjoy a high quality of life, with close proximity

to recrea onal ac vi es like the Chandler Bike‐way and Stough Canyon Nature

Center; its library, the Buena Vista Branch Library, is newly expanded and state

of the art. The city also boats strong local non‐profit and community service

projects, as it was named one of the na on’s 100 Best Communi es for Young

people. Burbank is known as the media capital of the world, as it is home to

Disney Studios, Warner Bros, Nickelodeon, and NBC.

The city has over 80 restaurants, 30 movie screens, and 200 shops, and its

residents enjoy top ranked schools – making it a highly desirable rental market.

Addi onally, residents have easy access to the 5 and 134 freeways, the

Burbank Metro link, and the Hollywood‐Burbank airport.

SALE COMPARABLES



Subject 1 2 3 4 5

1%

2%

3%

4%

5%

6%

7%

8%

Avg.

3.938

Cap Rate

Subject 2 3 4 5

3.0

6.0

9.0

12.0

15.0

18.0

21.0

24.0

Avg.

17.7

Gross Rent Multiplier

Subject 1 2 3 4 5 6

$55,000

$110,000

$165,000

$220,000

$275,000

$330,000

$385,000

$440,000

Avg.

$364,242

Price per Unit

Subject 1 2 3 4 5 6

$63

$126

$189

$252

$315

$378

$441

$504

Avg.

$449.77

Price per Sq. Ft.

p. 12

SALE COMPARABLES



S 440 E San Jose 440 East San Jose AvenueBurbank, CA 91501

Sale Price $3,250,000Units 8Price/Unit $406,250Price/SqFt $382.31Cap Rate 3.4%Year Built 1960GRM 19.48

# Units Unit Type2 1+1

2 2+1

4 2+1.5

1 2514 W Clark Ave2514 W Clark AveBurbank, CA 91505

Sale Price $2,170,000Units 5Price/Unit $434,000Price/SqFt $499.19Cap Rate 3.7%Year Built 1944Sale Date 9/25/2018GRM N/A

# Units Unit Type5 Two Bedroom One Bath

2 1412 N Keystone St1412 N KeystoneBurbank, CA 91506

Sale Price $2,725,000Units 7Price/Unit $389,286Price/SqFt $435.03Cap Rate 3.8%Year Built 1961Sale Date 6/14/2018GRM 16.3

# Units Unit Type7 Two Bedroom One Bath

p. 13

SALE COMPARABLES



3 632 E MagnoliaBurbank, CA 91501


# Units Unit Type2 One Bedroom One Bath

1 Two Bedroom One Bath

1 Studio/Efficiency

4 724 E Magnolia Blvd724 E Magnolia BlvdBurbank, CA 91501


# Units Unit Type2 Studio/Efficiency

2 One Bedroom One Bath


5 1920 W Verdugo Ave1920 W Verdugo AveBurbank, CA 91506




p. 14

SALE COMPARABLES



6 4114 Warner Blvd4114 Warner BlvdBurbank, CA 91505

Sale Price $2,800,000Units 8Price/Unit $350,000Price/SqFt $414.69Cap Rate N/AYear Built 1947Sale Date 8/28/2018GRM N/A



p. 15

SALE COMPARABLES



S 440 East San Jose AvenueBurbank, CA, 91501$3,250,000

1 2514 W Clark AveBurbank, CA, 91505$2,170,000

2 1412 N KeystoneBurbank, CA, 91506$2,725,000

3 632 E MagnoliaBurbank, CA, 91501$1,700,000

4 724 E Magnolia BlvdBurbank, CA, 91501$1,615,000

5 1920 W Verdugo AveBurbank, CA, 91506$2,095,000

6 4114 Warner BlvdBurbank, CA, 91505$2,800,000

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440 e san jose - loopnet€¦ · 440 east san jose avenue burbank, ca 91501 all information...

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