LOS ANGELES, CA 90036 | MULTIFAMILY SALE TRANSACTION | MIRACLE MILE SUBMARKET
Overview
314 S. Cloverdale Avenue is located in the highly sought after Miracle Mile apartment community mainly due to its superior location in one of the LA’s most dynamic rental communities. The property is considered a “Trophy” quality asset which had been professionally restored and upgraded in every manner. The owner, who owns over 50 similar apartment buildings, hired The Apartment Expert Group at KW Commercial to liquidate the asset along with another complex in this same community. The ownership had countless relationships with other brokers, however, when he decided to sell, he called only The Apartment Expert Group because of their exceptional market knowledge, highly focused marketing expertise and their tireless dedication to their clients. The ownership engaged The Apartment Expert Group to reevaluate the asset’s potential pricing and marketability in a very tight luxury rental market.
Results
The Apartment Expert Group’s strategic and comprehensive marketing campaign generated 4 qualified and competing offers within a short period. Through The Apartment Expert Group’s all-inclusive and exhaustive marketing campaign they reached every conceivable qualified buyer in his personal database of principals, direct presentations with investors, a strategic cold calling campaign, a 2,000 piece postcard mailer and an e-mail marketing campaign to investor/principals/agents. They fielded hundreds of inquiries from potential buyers and apartment brokers. The Seller was very specific about what terms that would be acceptable and he had numerous concerns about how a potential buyer would perform during the escrow period.
Value Added
The Apartment Expert Group required each potential buyer to provide proof of liquid funds and a schedule of real estate owned. The Apartment Expert Group also conducted historical background checks on each buyer to determine their specific qualifications and to determine if the buyer was the right “fit” for the property. Lastly, The Apartment Expert Group personally interviewed potential buyers, which enabled him to ask important, yet somewhat difficult questions about their motivation level, degree of ownership expertise and their ability to perform during the escrow period. After consulting with the Seller and selecting the right buyer, The Apartment Expert Group negotiated a very precise and exacting ALL-CASH purchase agreement that allowed for a very short due diligence period and a 40 day close of escrow. Additionally, The Apartment Expert Group negotiated a release and pass-through of the buyer deposit after the short due diligence period … this means that the Buyer deposit was no longer in escrow however, was deposited in the Sellers own bank account, thus guaranteeing an on-time closing.