As the multifamily market across Southern California continues to show signs of relative year-over-year strength, investors keep looking for opportunities to own a piece of the sizable opportunity. A 90-unit multifamily residential building in Santa Monica called the San Vicente Tower recently sold for $39,669,500 or $440,772 per unit, according to a Kidder Mathews 4Q22 Market Trends Los Angeles Multifamily report. The property, located at 220 San Vicente Boulevard, is in the heart of the city’s sought-after North of Montana neighborhood. The property was purchased by 220 San Vicente Holdings LLC, a Beverly Hills, Calif.-based entity located at 345 N Maple Dr., according to public documents. The seller was an entity associated with Deutsche Asset Management, which owned the asset since June of 2015, when it purchased the property for $45.8 million.
San Vicente Tower is a collection of high-end, newly renovated one- and two-bedroom luxury apartments and two-story penthouses that include all of the modern amenities such as hardwood floors and stainless steel appliances, and private balconies. Further features of the building include a heated pool and a sundeck, rooftop lounge with ocean views, and a secure underground parking garage with direct elevator access and ample parking spaces for guests.
The pet-friendly building is situated in close proximity to the beach, with residents having easy access to the 4th Street steps and a variety of bike paths, the popular Palisades Park and Santa Monica Pier. The North of Montana neighborhood provides its residents with the best combination of urban and coastal life. Located steps away from the ocean, Montana Avenue and open-air 3rd Street Promenade are features of this trendy neighborhood and are home to a variety of chic cafes, boutiques and restaurants for the San Vicente residents to enjoy. Aero Theater is well known for featuring independent films, while the farmers markets, street performers and the craft cocktail bars add the stylish element to the whole area.
According to the Kidder Mathews 4Q22 Market Trends Los Angeles Multifamily report, the multifamily market in Los Angeles is showing signs of stability. Although vacancies seem to have gone up in the fourth quarter of 2022, rental rates have also increased due to improving macroeconomic factors such as reduced unemployment and lower construction deliveries. The latest noteworthy property sale in Los Angeles was THEA at Metropolis in South Park, a 685-unit building, which was purchased by a real estate private equity firm Northland for $504 million or approximately $735,000 per unit. Some of the other transactions in the last quarter include the sale of The Vermont in Koreatown, a 464-unit property, which was sold to Harbor Group International for $235 million, or just over $506,000 per unit. 86-unit San Pasqual in South Lake sold for $38 million or just under $442,000 per unit; and 85-unit LA1440 & LA1446 in Tujunga sold for $38 million or around $447,000 per unit.
