100 N Sycamore Ave

Los Angeles, CA 90036

$5,450,000C-

17 bd · 16.9 ba · 16,588 sqft · Built 1929 · MultiFamily · Active · 135 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $46,456/mo
• Mortgage (P&I): −$28,580
• Tax + insurance: −$9,083
• HOA: −$0
• Vac / Maint / Mgmt: −$9,756
• Net cashflow: $-963/mo
• Annual: $-11,562/yr
• Cap rate: 6.08%
• Cash-on-cash: -0.76%
• DSCR: 0.97
• 1% rule: 0.85%
• Cash to close: $1,526,000

Investor read

• This is a 13 × 1-bed/1-bath units multifamily listed at $5.45M. Condition is rated excellent.
• At list price, monthly cash flow is $-963 ($-12k/yr) — negative. Per door: $-74/mo.
• To cash-flow at today's rent, offer at most $5.31M (2.6% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $4.65M (14.8% below list).
• It's been on market 135 days — a 12% lower offer ($4.80M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $4.65M (14.8% below list) — sets the bar for 1% rule.
• In year one you build about $177k of equity ($38k loan paydown + $139k appreciation (2.5% local appreciation)).
• Location reads 68/100 on livability (#273 in CA) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, employment B; Watch: health & safety C-, crime F, cost of living F.
• Los Angeles Unified (urban): math 29% / reading 54% proficiency, ranked #223 of 517 in CA (top 43%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases; 67% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Third Street Elementary (662 students, 23% FRL); John Burroughs Middle (reading 39%, 1,373 students, 82% FRL); Fairfax Senior High (math 40% / reading 61%, grade D+, #324 of 1,170 statewide, top 28%, 1,632 students, 81% FRL).
• Watch-outs: built in 1929 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: Rents soft (-1.1%/yr); 109 active listings in the ZIP; 4 comparable units currently listed for rent nearby; rentals lingering (median 93d on market — plan ~5-8 weeks vacancy on turnover, expect pricing pressure); 100% of comp listings sitting > 30 days — soft ceiling on asking rent; solid renter incomes; 19,697 units permitted in Los Angeles County in 2024 (9,426 in 5+ unit buildings).
• Los Angeles County population projected at +9% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• 2 sale attempts since 23y ago with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Current owner paid $1.96M; list at $5.45M implies a 178% gain — meaningful room to come down on a strong offer.
• By year 3, paydown + projected appreciation supports a ~$443k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Climate carrying-cost: extreme-heat days projected 7→21/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.
• Cap rate 6.1% vs local median 2.1% in Los Angeles — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Questions for listing agent

• What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
• It's been on market 135 days. Have you received any prior offers? Is the seller open to a 15% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1929 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?