Stepp Commercial, a leading multifamily brokerage firm in the Los Angeles market, has completed the $5.2 million sale of a 16-unit apartment property located at 640 Stanley Avenue in the Rose Park neighborhood of Long Beach. The Rose Park neighborhood is ideally situated just blocks from the trendy Fourth Street/Retro Row area and is just seven minutes from downtown Long Beach.
Principal Robert Stepp and Senior Vice President Michael Toveg of Stepp Commercial represented the seller, Long Beach-based Keely Partners, LP, and the buyer, a group of private investors. The property sold for $325,000 per unit and at a cap rate of 3.6 percent.
Built in 1973, the two-building property is situated on a 12,529-square-foot lot and is composed entirely of two-bedroom, 1.5-bathroom townhome units.
“The asset was owned for more than 15 years by several investors who were looking to pursue other opportunities,” said Stepp. “This property is unique for this area of Long Beach as it offers 16 spacious townhouse-style units and ample parking. The new ownership plans to modernize the units and make exterior improvements.”
Toveg added, “With its townhouse-style units and proximity to the Fourth Street/Retro Row area, this property presented the buyer with a prime opportunity to reposition this property. Once that is complete, it will be able to achieve an estimated 30 percent rental upside.”