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Key Details
Sold Price $6,000,000
Property Type Multi-Family
Sub Type Mixed Use
Listing Status Sold
Purchase Type For Sale
MLS Listing ID OC21104814
Sold Date 12/10/21
Construction Status Additions/Alterations,Fixer,Repairs Cosmetic
HOA Y/N No
Year Built 1963
Lot Size 1.080 Acres
Lot Dimensions Assessor
Property Description
The asking price assumes the completion of a $1,832,012.00 construction contract with Serve All Contracting, Inc. Rents are very low and there are many vacancies due to the remodeling work. It’s reasonable to assume that the value will approach $9-million with the completion of a remodel.
The current construction contract is a settlement with the city of South Lake Tahoe. Included is the complete remodel of 6 units. A rough estimate by the contractor is that all units could be brought to the level of the 6 for $750k. At the time of this writing, only $824,405 of the contract is left to complete. Completion is expected by the end of summer. If a sale is consummated before the contract is complete, the remaining funds could be held in escrow. According to the settlement agreement with the city of South Lake Tahoe, if construction is not complete, approval by the city manager will be required before close of escrow.
Comparables show that the 21-2bd units could rent for $1,795, the 12-1bd at $1,495, the 2 studios at $1,200, and the one 3bd 2ba managers unit, for $2,095. The potential rent roll is $62,350. CoStar shows a 1.8% vacancy in the area. Assuming 2% vacancy and 38% expenses, NOI would be $454,606. The average cap rate of 20 comparables from CoStar is 5.4% or an $8,420,000 value. A 5% cap rate = $9,092,000.
The location of these apartments are excellent. They are roughly half way between the lake and the ski lifts with public transportation within a block. There are wonderful restaurants and shopping within a few blocks, and it’s only 1.4 miles to the casinos in Stateline. The property is surrounded by beautiful trees and mountains.
Location
State CA
County El Dorado
Area Taho - Lake Tahoe Area
Rooms
Ensuite Laundry None
Interior
Interior Features Balcony, Elevator, Laminate Counters, Tile Counters
Laundry Location None
Heating Wall Furnace
Cooling None
Flooring Carpet, Vinyl
Fireplaces Type None
Fireplace No
Appliance Free-Standing Range, Gas Cooktop, Gas Oven, Gas Range, Gas Water Heater, Refrigerator, Water Heater
Laundry None
Exterior
Garage Assigned, Carport, Detached Carport
Carport Spaces 36
Fence None
Pool None
Community Features Biking, Gutter(s), Hiking, Mountainous, Water Sports
Utilities Available Cable Available, Cable Connected, Electricity Available, Electricity Connected, Natural Gas Available, Natural Gas Connected, Phone Available, Phone Connected, Sewer Available, Sewer Connected, Water Available, Water Connected, Overhead Utilities
View Y/N Yes
View Hills, Mountain(s), Trees/Woods
Roof Type Asphalt,Flat
Parking Type Assigned, Carport, Detached Carport
Total Parking Spaces 36
Private Pool No
Building
Lot Description 36-40 Units/Acre, Corner Lot, Front Yard, Lot Over 40000 Sqft, Landscaped, Near Public Transit, Paved, Rectangular Lot, Street Level, Trees
Story 3
Entry Level Three Or More
Sewer Public Sewer
Water Public
Level or Stories Three Or More
New Construction No
Construction Status Additions/Alterations,Fixer,Repairs Cosmetic
Others
Senior Community No
Tax ID 027323011000
Acceptable Financing Cash, 1031 Exchange
Listing Terms Cash, 1031 Exchange
Financing Cash
Special Listing Condition Standard, Trust
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Bought with David Washburn • Mountain Luxury Properties
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