CBRE announced the sale of an eight-unit multifamily property located on Bermuda Street in Long Beach, California to a private investor for $2.7 million. The selling price represents $337,500 per unit and $323 per square foot, marking the property’s first sale since it was built nearly 40 years ago.
CBRE’s Executive Vice President Dan Blackwell, Senior Associate Trey Mitchell, and Associate Jack O’Connor represented the all-cash, non-exchange buyer based in Los Angeles County. The seller was also based in Los Angeles County.
“This was our third closing with our investor client,” said Blackwell. “Based upon our client’s financial goals, we sourced a great value-add multifamily investment opportunity in an ideal neighborhood, secured the winning bid over multiple competitive offers, and closed in 21 days.”
According to Mitchell, “The buyer was attracted to the property’s desirable Belmont Heights location, its townhome layouts, and 1980s construction. Additionally, the buyer could increase the rent roll by nearly 50%, resulting in a 7.86% cap rate, through the implementation of a comprehensive renovation plan aimed at capturing the strong market rents for luxury rentals in the immediate neighborhood.”
The Bermuda Street apartment community features primarily two-bedroom, townhouse-style units with oversized balconies or patios for every unit and excellent on-site parking. The property also has remote-controlled garage parking, which is generating additional income. The property also features secured entry at the front and back, as well as a shared laundry room.
