Los Angeles—Skya Ventures and joint venture partner Gelt Ventures LLC have acquired a 60-unit non-rent-controlled apartment community in the historic Los Angeles neighborhood of Highland Park. The property, sold by Azusa Pacific University, fetched $14.25 million.
The 60-apartment property includes 32 two-bedroom units, 26 one-bedroom units and two studios. It is located at 5800 to 5820 Marmon Way, and was 91 percent occupied at the close of escrow. Located across the street from a Metro station, it provides residents with quick access to destinations in downtown Los Angeles, South Pasadena, San Gabriel Valley, San Fernando Valley and Culver City/Santa Monica.
Within walking distance are a number of shopping and dining venues, including Civil Coffee, Good Girl Dinette, Kitchen Mouse, Pop Physique and Highland Park Bowl.
The acquisition followed a two-year extensive market research study of the area conducted by Skya Ventures. The company is currently building a ground-up apartment development nearby, scheduled for completion in the autumn of 2018. Skya Ventures saw this property as a value-add endeavor.
“The property had several pluses,” Skya Ventures President Gelena Skya-Wasserman told MHN. “It is newer construction—built in 1987—offers sufficient parking, is situated directly in front of public transit, has an excellent walk score and featured good floor plates. There were several competitive offers for this property. We believe we were selected by the seller due to our previous track record for acquiring multifamily assets, and reputation.”
The property has open hallways, outstanding floor plans and “an unbeatable location,” Skya-Wasserman said. “Highland Park is an up-and-coming neighborhood that is experiencing a very exciting renaissance, as we are seeing new restaurants, nightlife and artist studios opening at a rapid pace.”
The joint venture partners plan to give the exterior a new façade, add resident-friendly amenities and security throughout and deliver interior unit upgrades, with the intention of a long-term hold on the property. The objective is to enhance the property’s attractiveness to residents and make it a perfect fit for the neighborhood and culture.
“Our design inspiration for this property will be culled from surrounding architecture as well as design themes incorporated within the local restaurants and shops,” Skya-Wasserman said.