1Capital Markets | Investment Properties
OFFERING MEMORANDUM
BALBOA GARDENS3.68AC VACANT SITE PROPOSED SENIOR CARE/INDEPENDENT LIVINGGRANADA HILLS, CALIFORNIA 91344
AFFILIATED BUSINESS DISCLOSURE AND CONFIDENTIALITY AGREEMENT
CBRE, Inc. Operates within a global family of companies with many subsidiaries and related entities (each an “Affiliate”) engaging in a broad range of commercial real estate businesses including, but not limited to, brokerage services, property and facilities management, valuation, investment fund management and development. At times different Affiliates, including CBRE Global Investors, Inc. Or Trammell Crow Company, may have or represent clients who have competing interests in the same transaction. For example, Affiliates or their clients may have or express an interest in the property described in this Memorandum (the “Property”), and may be the successful bidder for the Property. Your receipt of this Memorandum constitutes your acknowledgment of that possibility and your agreement that neither CBRE, Inc. nor any Affiliate has an obligation to disclose to you such Affiliates’ interest or involvement in the sale or purchase of the Property. In all instances, however, CBRE, Inc. And its Affiliates will act in the best interest of their respective client(s), at arms’ length, not in concert, or in a manner detrimental to any third party. CBRE, Inc. and its Affiliates will conduct their respective businesses in a manner consistent with the law and all fiduciary duties owed to their respective client(s).
Your receipt of this Memorandum constitutes your acknowledgment that (i) it is a confidential Memorandum solely for your limited use and benefit in determining whether you desire to express further interest in the acquisition of the Property, (ii) you will hold it in the strictest confidence, (iii) you will not disclose it or its contents to any third party without the prior written
authorization of the owner of the Property (“Owner”) or CBRE, Inc., and (iv) you will not use any part of this Memorandum in any manner detrimental to the Owner or CBRE, Inc.
If after reviewing this Memorandum, you have no further interest in purchasing the Property, kindly return it to CBRE, Inc.
This Memorandum contains select information pertaining to the Property and the Owner, and does not purport to be all-inclusive or contain all or part of the information which prospective investors may require to evaluate a purchase of the Property. The information contained in this Memorandum has been obtained from sources believed to be reliable, but has not been verified for accuracy, completeness, or fitness for any particular purpose. All information is presented “as is” without representation or warranty of any kind. Such information includes estimates based on forward-looking assumptions relating to the general economy, market conditions, competition and other factors which are subject to uncertainty and may not represent the current or future performance of the Property. All references to acreages, square footages, and other measurements are approximations. This Memorandum describes certain documents, including leases and other materials, in summary form. These summaries may not be complete nor accurate descriptions of the full agreements referenced. Additional information and an opportunity to inspect the Property may be made available to qualified prospective purchasers. You are advised to independently verify the accuracy and completeness of all summaries and information
contained herein, to consult with independent legal and financial advisors, and carefully investigate the economics of this transaction and Property’s suitability for your needs. ANY RELIANCE ON THE CONTENT OF THIS MEMORANDUM IS SOLELY AT YOUR OWN RISK.
The Owner expressly reserves the right, at its sole discretion, to reject any or all expressions of interest or offers to purchase the Property, and/or to terminate discussions at any time with or without notice to you. All offers, counteroffers, and negotiations shall be non-binding and neither CBRE, Inc. nor the Owner shall have any legal commitment or obligation except as set forth in a fully executed, definitive purchase and sale agreement delivered by the Owner.
© 2019 CBRE, Inc. All Rights Reserved.
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ASSET OVERVIEW
A large raw land development site located at approximately 12011 Balboa Blvd. in Granada Hills, California. Granada Hills is a low-density, affluent community at the northern end of the San Fernando Valley in Los Angeles County. The site is a wooded assemblage with a mix of sloping and flat topography.
Current ownership believes the site is conducive to a senior and/or memory care development and has received previous support from City Planning within the 12th District and a citizen advisory council. The site also received conditional use approval in 2004 to permit the construction and use of a church and preschool. There is an existing stream that runs along the required setback for any development on the property. California Fish and Game has issued a Mitigated Negative Declaration with regard to previously proposed projects.
Knollwood Country Club, a public golf and tennis facility, is located directly across the street from the site along with a Los Angeles Fire Department Station with paramedic and bus stops on each end of the block. Providence Holy Cross Medical Center is located just 3.5 miles east of the site, UCLA’s Porter Ranch Primary and Specialty Care Facility is just under 5 miles away as well. The site includes four Los Angeles County APNs zoned LARS (Residential Estate). Please visit 12011balboa.com to access the Virtual Deal Room with additional documentation available.
PROPERTY SUMMARY
160,283 SF(3.68 AC)
LOT SIZE
$21.84LOT PRICE/SF
$3,500,000LIST PRICE
2606-024-0242606-001-0132606-002-0152606-002-016
APN
LARSZONING
VACANT RESIDENTIALCOUNTY LAND USE
4
W
*NOT TO SCALE
BALBOA BLVD
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5
*NOT TO SCALE
N
6
SALES COMPARABLES
12011 BALBOA BLVD. 19000 RINALDI ST. 17540 KINGSBURY ST.17925 INDIAN MEADOW RD.
10650 RESEDA BLVD.15530 SAN FERNANDO
MISSION BLVD.
CITY Granada Hills Porter Ranch Granada Hills Granada Hills Northridge Mission Hills
STATE CA CA CA CA CA CA
ZIPCODE 91344 91326 91344 91344 91326 91345
SALE PRICE $3,500,000 $1,900,000 $1,300,000 $1,200,000 Unpriced $3,795,000
LAND SF 160,283 66,503 45,085 328,568 82,764 42,428
LAND AC 3.680 1.527 1.035 7.543 1.900 0.974
SALE DATE Proposed 11/20/2017 In-Escrow On-Market On-Market On-Market
PROPOSED USEAssisted Living/Memory
CareOffice/HQ Residential/Senior Care Residential Subdivision Residential Subdivision
Assisted Living/Memory Care
$/SF $21.84 $28.57 $28.83 $3.65 $40.00 $89.45
ZONING LARS LAC2 LAR1 LARE40 LARE11 LARS
1 2 3 4 5
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SALES COMPARABLES
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O'Melveny ParkO'Melveny Park
Van Nuys AirportVan Nuys Airport
Pacific Hospitalof the Valley
Pacific Hospitalof the Valley
Mission CommunityHospital
Mission CommunityHospital
Dignity HealthNorthridge
Dignity HealthNorthridge
NorthridgeFashion Center
NorthridgeFashion Center
Whiteman AirportWhiteman Airport
Knollwood Country ClubKnollwood Country Club
Porter Valley Country ClubPorter Valley Country Club
Porter RanchTown CenterPorter RanchTown Center Hansen DamHansen Dam
Los Angeles Mission CollegeLos Angeles Mission College
Providence Holy CrossMedical Center
Providence Holy CrossMedical Center
UCLA Health Porter RanchPrimary & Specialty Care
UCLA Health Porter RanchPrimary & Specialty Care
Veterans Memorial County ParkVeterans Memorial County Park
PACOIMA
SAN FERNANDO
PANORAMA CITY§̈405
§̈210§̈5
§̈405
Roscoe Blvd
Lassen St
Rinaldi St
dvlB
ao
bla
B
Foothill Blvd
Nordhoff St
Glenoaks Blvd
Devonshire St
Re
sed
a B
lvd
Chatsworth St
Polk
St
evA ll
eksa
H
Laurel Canyon Blvd
Osb
orne S
t
Van Nuys
Blvd
Woodm
an Ave
evA
akte
nni
W
evA
esiu
oL
evA
hazl
eZ
Branfo
rd S
t
Sheld
on St
evA tsr
uh
nevy
aH
San Fernando Rd
Lin
dle
y A
ve
Saticoy St
Roxf
ord
St
San Fernando Mission Blvd
Bradley Ave
Tam
pa Ave
Sesnon Blvd
Lan
kers
him
Blv
d
N Macla
y Ave
evA k
aO
etih
W
Parthenia St
Sepulveda Blvd
Eldridge Ave
Co
ldw
ate
r C
an
yon
Ave
Hubbard S
t
Hubba
rd S
t
dvlB
ad
evlu
pe
S
Saticoy St
Nordhoff St
Plummer St
Saticoy StSaticoy St
12011 Balboa Blvd
170
U118
UV170
NMOS#372097
POINTS OF INTEREST
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NMOS#372097
ANAHEIM
SANTA ANA
LONG BEACH
DOWNEY
POMONA
IRVINE
ORANGE
NORWALK
BURBANK
GLENDALE PASADENA
EL MONTE
TORRANCE
FULLERTON
INGLEWOOD
WEST COVINA
SIMI VALLEY
GARDEN GROVE
THOUSAND OAKS
SANTA CLARITA
EAST LOS ANGELES
CARSON
TUSTIN
COMPTON
LYNWOOD
WHITTIER
LA VERNE
ROSEMEADALHAMBRA
ALTADENA
MOORPARK
LAKEWOOD
HAWTHORNE
SOUTH GATE
BELLFLOWER
MONTEBELLO
BUENA PARK
SAN GABRIEL
YORBA LINDA
CHINO HILLS
CULVER CITY
WESTMINSTER
SANTA MONICA
BEVERLY HILLS
REDONDO BEACH
WEST HOLLYWOOD
FOUNTAIN VALLEY
§̈¦5
§̈¦405
§̈¦5
12011 Balboa Blvd
REGIONAL MAP
10
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1250
12-MONTHDELIVERED UNITS
7112-MONTH
ABSORPTION UNITS
2.0%VACANCY RATE
4.8%12-MONTH
ASKING RENT GROWTH
Q3 TOTALS
INDUSTRY EMPLOYMENT*
Management 15%
Office Admin 13%
Sales 12%
Healthcare 8%
Education 6%
Business and Financial 6%
Transportation and Moving 5%
Other 35%
DEMOGRAPHICS:
2019 BUSINESSES 1 Mile: 331 businesses 3 Miles: 3,409 businesses 5 Miles: 10,508 businesses
2019 EMPLOYEES 1 Mile: 2,231 employees 3 Miles: 36,408 employees 5 Miles: 114,463 employees
2019 POPULATION 1 Mile: 14,129 3 Miles: 129,866 5 Miles: 426,493
2019 # OF HOUSEHOLDS 1 Mile: 4,517 3 Miles: 40,212
2019 AVERAGE HOUSEHOLD INCOME 1 Mile: $140,285 3 Miles: $114,363
LA JOBSwithin 1 Mile-Radius
AREA OVERVIEW
Vacancies spiked in the North San Fernando Valley Submarket during the recession, but fundamentals have substantially improved since the start of the economic recovery. The vacancy rate has held at or below 3% for several consecutive years, largely because this is one of the more affordable submarkets in the metro. High rents in LA’s Central and Westside submarkets are pushing renters into peripheral areas like the North San Fernando Valley, and that upswing in demand is driving healthy rent growth. This area tends to be overlooked by multifamily developers, although the largest new community to be built in more than a decade broke ground in the second half of 2019. The area’s relatively low rents tend to deter new construction, and only a handful of new communities were built here this cycle. A single large trade accounted for the majority of multifamily sales volume over the first half of 2019.
CONTACT US
ADAM PETERSONFirst Vice President+1 310 550 [email protected]. 01815802
Capital Markets | Investment Properties
ALEX FRAPECHAssociate+1 310 228 [email protected]. 02026469
DANNY VENEGASAssociate+1 310 550 [email protected]. 02091905