Stepp Commercial, a leading multifamily brokerage firm in the Los Angeles market, has completed the $5.5 million sale of an 11-unit apartment property located at 917 6th Street in Santa Monica, Calif. The property, which sold for $500,000 per unit, is situated just north of Wilshire Boulevard in one of the most desirable rental areas of Santa Monica, and is just two blocks from the shopping and dining amenities along Montana Avenue.
Principal Kimberly Stepp represented the seller, a Los Angeles-based private investor, and the buyer, a Los Angeles–based investment group. The cap rate was 3.1 percent and the gross rent multiplier (GRM) was 19.
“This very well-maintained property had been owned by the seller for more than 60 years and provides the buyer with a substantial rental upside potential of approximately 54%,” said Stepp. “After just one week of being on the market, it sold for full asking price.”
Built in 1961, the property includes four two-bedroom units and seven one-bedroom units. Five of the units were recently renovated. The property also includes laundry facilities, a security gate, and 12 parking spaces.
The property is close to the beach, 3rd Street Promenade and employment opportunities with a plethora of media and technology companies within a three-mile radius.