I have a single family residential rental property in Inglewood that is about a block from the new SOFI stadium. The new Clippers Stadium is literally in my back yard. Investors are buying the property in the area and have bought the apartment complex next to my property and several houses down. The plan is to build a hotel I believe. I have recieved an offer for 700k for my property (which is about market value) for my property. I’m not sure if I should accept the offer and roll my equity in a new property or just sit tight and see what happens? My concern is, not being able to rent or sell the property in the future due to the Stadium in the backyard and possible Hotel next door. Advice please!!!
Investor · Long Beach, Ca. · Member since 2022 · 18 posts · 10 votes
2y
It really depends on what your goals are.
If you're in the market for a new property having that 700k sold using a 1031 exchange is a good way to get into something new. I'd recommend to first look at where you'd like to invest it to see if it's feasible or if you need to adjust your buying criteria.
If you're not in the market for something new then I'd look into adding an ADU on the lot and upgrading the windows on the main unit to triple pane glass so that the noise doesn't bother your future tenants. Live in one and rent the other while you collect rents. That will help your property sell for higher in the future and will also help increase your rental income. Or you can short term rent (STR) the ADU and start collecting now. That's a good location for most visitors to the area.
Investor · Long Beach, Ca. · Member since 2022 · 18 posts · 10 votes
2y
It really depends on what your goals are.
If you're in the market for a new property having that 700k sold using a 1031 exchange is a good way to get into something new. I'd recommend to first look at where you'd like to invest it to see if it's feasible or if you need to adjust your buying criteria.
If you're not in the market for something new then I'd look into adding an ADU on the lot and upgrading the windows on the main unit to triple pane glass so that the noise doesn't bother your future tenants. Live in one and rent the other while you collect rents. That will help your property sell for higher in the future and will also help increase your rental income. Or you can short term rent (STR) the ADU and start collecting now. That's a good location for most visitors to the area.
If you're in the market for a new property having that 700k sold using a 1031 exchange is a good way to get into something new. I'd recommend to first look at where you'd like to invest it to see if it's feasible or if you need to adjust your buying criteria.
If you're not in the market for something new then I'd look into adding an ADU on the lot and upgrading the windows on the main unit to triple pane glass so that the noise doesn't bother your future tenants. Live in one and rent the other while you collect rents. That will help your property sell for higher in the future and will also help increase your rental income. Or you can short term rent (STR) the ADU and start collecting now. That's a good location for most visitors to the area.
Good luck.
Thank you Rick! That is very good advice. Lots to think about. I appreciate your reply!
Real Estate Agent · Los Angeles · Member since 2017 · 107 posts · 33 votes
2y
I find that stadiums can be money-makers, depending on the area. You'll always find die-hard fans who pay good money to be close to their passion. If I were to sell the property, I would position it as a short-term-rental money-maker. Decorate it tastefully with team-specific memorabilia. If you look around, some teams will buy out blocks of SRTs for team use. I agree with upgrading the soundproofing. I've helped a few clients with similar problems in my area.
Real Estate Agent · Inglewood, CA · Member since 2015 · 294 posts · 150 votes
1y
Midterm and long term rentals in that area are doing well, we are midterming a 1 bedroom for $3000 and renting 2 bedrooms long term for $2700-3000. I vote hold, and build an ADU.