fbpx
1551-1557 S. Orange Grove, Los Angeles, California

Offer Summary

Net Return:

45%

Annualized Return:

15%

Investment Term:

36 Months

Offer Open Date:

March 8th, 2019

Offer Close Date:

July 31st, 2020

Expected Completion:

2023

Investment Information

Investment Objective

The purpose of this Offer is to raise capital which will be used to acquire land for the Orange Grove property development project, and partially pay the required costs of undertaking the project.

For investors, this investment offers indirect exposure to real estate in Los Angeles and intends to pay regular returns at a fixed level, providing investors with regular, consistent income.

Investment Structure

A Special Purpose Entity LLC has been established to undertake this Development: 1551 S. Orange Grove, LLC. This LLC will be owned by Lion Property Group and Ketter Group. Lion Property Group and Ketter Group will be Managing Members and all Investors will be Members. Any assets used in the Development, such as the land site, will be owned by the LLC.

Delay Compensation

Not applicable to this offer.

Exit Strategy

Sufficient revenue from the sale of completed properties to facilitate investor payout.

Capital Raise

Stage 1: USD$2,500,000
Stage 2: USD$3,200,000

Key Financial Info

Land Acquisition4,086,360
End Sales Price24,300,000
Expenses17,200,000
Profit7,100,000

A full feasibility study is included in the Information Memorandum for this offer.

Project Information

Project Overview

Our plans for Orange Grove incorporate a total of 30 units with seven different configurations. 

These Units feature Frigidaire kitchen appliances, walk-in closets, included washer and dryer, quartz countertops, 9+ foot ceilings, Nest learning thermostats, and a FOB security key system.

The building includes a fitness center, barbecue area, rooftop deck, secure parking, and storage.

Zoning & Permits

The Orange Grove project falls within a ‘by rights’ zoning area, meaning that developments in the area are subject to a streamlined approval process. The plans for Orange Grove will be checked to ensure they are compliant with City Application and Code but do not require a Planning Commission or City Council Vote. The plans proposed for Orange Grove are compliant with TOC Tier 3 zoning.

Suburb Overview

The Development site is located in the Faircrest Heights submarket of Los Angeles (Mid-Wilshire Area), near the intersection of Fairfax Avenue and Pico Boulevard. Business Insider has ranked Faircrest Heights as number three on it’s list of Top 10 Hottest Neighbourhoods in the entire United States.

This area’s growth and renaissance has been driven by the influx of the observant Jewish community moving east from the Pico Robertson, Beverlywood, and South Beverly Hills submarket who have been priced out of both homes and apartments in those neighborhoods; and its close proximity to strong employment hubs in downtown Culver City (two miles), Century City (three miles), the Mid-Wilshire District (one mile), Beverly Hills, Cedars Sinai Medical Center, and West Hollywood (each two to three miles).

The Santa Monica Freeway (I-10) runs from from Santa Monica on the Pacific Ocean east through California to the border with Arizona. In the Greater Los Angeles area, it is known as the Santa Monica Freeway.

Faircrest Heights is serviced by a variety of bus routes, including the 7/R7, 33, 105, 217, 705, 733, and 780.

Configurations

122 x 2 x 936-1382 sq. ft
123 x 2 x 1300 sq. ft
61 x 1 x 1143 sq. ft

Key Market Data

Avg. Rent Growth5.1%
Avg. Vacancy6.4%
Avg. Net Absorption151
Avg. Completions168

Share this opportunity

Share it with your friends and family

Share on facebook
Share on linkedin
Share on email

More Like This:

Wealth Creation - Lion Property Group

Make an
Informed Decision

View our property development info pack to kickstart your property development journey. All the information you need about Lion, our models, and our expert team, in one convenient place, so you can make an educated decision.