CBRE announced the acquisition of five multifamily properties in Torrance and Long Beach, California, on behalf of an exchange buyer. The five transactions fulfilled the buyer’s 1031 exchange requirement following the sale of a 3.82-acre property in Torrance.
Executive Vice President Dan Blackwell and Senior Associate Trey Mitchell of the CBRE Multifamily SoCal Team exclusively represented the San Diego-based exchange buyer.
Blackwell noted, “Our exclusive relationship with the buyer enabled us to identify both on- and off-market opportunities that aligned with the investor’s criteria, meeting both short-term and long-term investment objectives.”
The CBRE Multifamily SoCal Team was introduced to the buyer through the CBRE team that represented the investor in the sale of his Torrance property, CBRE’s Senior Vice President John Read, First Vice President Greg Sullivan and Associate Trent Steeves. The collaboration showcases CBRE’s ability to facilitate seamless transactions across its multi-discipline platform.
The five multifamily properties, sourced from different private sellers in Southern California, include:
1751 Cabrillo Avenue, Torrance
In Torrance, Blackwell and Mitchell represented the exchange buyer in the acquisition of an 11-unit multifamily property at 1751 Cabrillo Avenue in the desirable Old Town Torrance neighborhood (Walk Score: 90, “Walker’s Paradise”) for $4.81 million. The sale price represents $437,272 per unit and $562 per square foot. Built in 1964, the property sits on over 0.18 acres and features an 8,555-square-foot, two-story apartment building offering a mix of one-, two- and three-bedroom units. Community amenities include an on-site laundry facility. Notably, the front two-bedroom unit has a large, gated, grassy yard. Over the past two years, the building exterior and most units have been substantially upgraded, including plumbing and drain lines, electrical, windows, exterior paint and repairs, upgraded lighting and new mailboxes. The buyer has the potential to renovate two units and increase rents; one of the units has a rental rate that is 30% below the prevailing market rate, according to Mitchell.
Located adjacent to the vibrant East Village Arts District and Downtown Long Beach, Blackwell and Mitchell sourced a 16-unit apartment community acquisition opportunity for the exchange buyer. The property is located at 927 Daisy Avenue in Long Beach (Walk Score: 83, “Very Walkable”). The sale price of $3.8 million represents $237,500 per unit and $279 per square foot. Built in 1964 on 0.174 acres, the controlled-access, all-electric, separately metered building features all two-bedroom, one-bath units. Two units are fully remodeled with new flooring, kitchens, stainless steel appliances, new bathrooms and modern fixtures and finishes. Double-pane windows are installed throughout the 13,641-square-foot building for additional energy efficiency. An on-site laundry/storage room provides extra income, and the eight garages offer the opportunity for accessory dwelling unit (ADU) conversion for additional income.
908 Roswell Avenue, Long Beach
Blackwell and Mitchell sourced a six-unit value-add opportunity at 908 Roswell Avenue with ADU potential and attractive seller financing in the highly sought-after Greenbelt Heights area of Long Beach, behind Wilson High School and around the corner from Recreation Park and Golf Course. The sale price of $2.375 million represents $395,833 per unit and $410 per square foot. This was the first time the property had been up for sale. Built in 1965 on 0.134 acres, the property had a newer roof and exterior paint, both of which were done within the last five years. The 5,799-square-foot apartment building features two- and three-bedroom units, including a townhome unit with garage direct access. The community amenities include ample parking, including garage parking and an on-site laundry room. The property’s ideal eastside location (Walk Score: 82, “Very Walkable”) allows tenants to have close proximity to the many restaurants and shops in Traffic Circle and California State University, Long Beach, and Recreation Park.
1512 E. Florida Street, Long Beach
In a desirable Alamitos Beach location (Walk Score: 94, “Walker’s Paradise”), within walking distance to Bixby Park and Downtown Long Beach, Blackwell and Mitchell sourced a seven-unit multifamily property at 1512 E. Florida Street in Long Beach. The property sold for $2.38 million, representing $340,000 per unit and $408 per square foot. Built in 1964 on 0.128 acres, the 5,834-square-foot apartment building features six two-bedroom units and one three-bedroom unit. The amenities include security doors, private patios, a private balcony (select unit), garage parking and on-site laundry. According to Mitchell, the multifamily investment offers the buyer the opportunity to potentially add up to two ADUs.
477 E. South Street, Long Beach
In North Long Beach, Blackwell and Mitchell sourced an off-market opportunity, a 16-unit apartment community acquisition opportunity for the exchange buyer. The property is located at 477 E. South Street, near the Bixby Knolls area (Walk Score: 80, “Very Walkable”). The sale price of $3.597 million represents $224,813 per unit and $366 per square foot. Built in 1961 on 0.239 acres, the 9,840-square-foot apartment building features all two-bedroom units. The building also offers tenants access to a tree-lined community courtyard with drought-resistant landscaping, an on-site laundry facility and off-site parking. It also offers easy access to 91, 710, and 405 freeways and nearby Atlantic Avenue restaurants and shops. Mitchell also noted that the property offered substantial rental upside.
Blackwell underscores the team’s approach: “We thoroughly analyze numerous multifamily properties to pinpoint the best value and growth potential for our clients, whether the unit count is small or large. We closely engage with clients, strategically positioning them for success and providing ongoing support, including assistance with refinancing and guidance through transitions to larger properties.”
“Coastal communities such as Torrance and Long Beach offer prime locations with proximity to amenities, entertainment and employment centers. This enhances the long-term appeal of multifamily properties to both tenants and investors,” Mitchell explained.
