Prana Investments Buys 3 in LA for $18M
- Mar 21, 2018
Prana Investments has acquired a three-property multifamily portfolio in Los Angeles, for $18.1 million. Urban Smart Growth sold the Artiste Portfolio, comprising 108 units across all three assets. Berkadia represented the seller.
The following communities are all located in northeast Los Angeles, within a few minutes drive of each other:
5406 Lexington Ave. traded for $7.6 million with a 4.5 percent cap rate and 12.8 GRM. This building was constructed in 1928 and received a renovation in 1995. It comprises 42 units across a total of 25,048 square feet.
109 S. Normandie Ave. changed hands for $5.8 million at a 4.5 percent cap rate and 12.1 GRM. The 36-unit community has a total of 23,084 square feet and was built in 1929, last receiving renovations in 1969.
The community at 245 N. Kenmore Ave. was sold for $4.8 million with a 4.8 percent cap rate and 12.1 GRM. The 15,408-square-foot community has a total of 30 one-bedroom units, was constructed in 1925 and renovated in 1969.
Residents of the communities are near several major thoroughfares, including routes 101, 10 and 110. Koreatown is within 10 minutes by car, as well as multiple restaurants, bars and shops. The nearby Santa Monica Boulevard also presents multiple attractions.
Prana Investments plans to invest in renewing the apartment communities. “The properties were heavily renovated approximately 15 years ago, but the renovations are dated, and the buildings are ready for cosmetic upgrades that will allow the new owner to achieve not only higher lease rates but also improved operations and occupancy,” said Brent Sprenkle, senior managing director at Berkadia’s Los Angeles office, in a prepared statement.
Image courtesy of Berkadia