Santa Monica 10 unit DEAL !!?
Why would anyone want to purchase a rent-controlled Santa Monica apt building?
Consider this deal…
10 unit building, built ~ 1950, class C, in a prime Santa Monica location !
Under rent control !
Huge upside in rents (assuming you can actually get current tenants to leave) !
Decades of deferred maintenance !
Well, we are getting unsolicited offers to purchase said building at a GRM of ~ 21.
cap rate ~ 3% !!
Seems like a good time to sell… perhaps we are nearing peak pricing for the area...
Ay thoughts?