The Addison Arms Apartments, a 57-unit apartment building in Sherman Oaks, has sold for $21 million, or $375,893 per unit.
Institutional Property Advisors, a division of Marcus & Millichap, handled the transaction. IPA Executive Director Kevin Green and IPA’s Joseph Grabiec and Greg Harris represented the seller, a private Los Angeles owner, and procured the buyer, a private family.
Originally constructed in 1969, the previous owners of Addison Arms spent $2.2 million on capital expenditures to upgrade property systems, common area amenities, and 45% of the unit interiors.
“The property’s mechanical systems and building improvements that have been addressed include a new roof, new commercial air conditioning system, and upgrades to the landscaping, signage, exterior paint, leasing office, clubhouse, hallways, exterior lighting, and the addition of one accessory dwelling unit,” Green said in a statement. “These renovations have significantly increased the asset’s value, creating an incredibly attractive property within the San Fernando Valley.”
Addison Arms’ location offers easy access to the 405 and 101 freeways, both of which are within a mile of the property.
Grabiec added, “Given the property’s renowned location in the submarket and strong nearby demographics, including a five-mile population of 583,075 with an average annual household income of $113,220, we held a highly competitive sales process to acquire Addison Arms, which has consistently produced great returns throughout previous ownership.”