Arixa Capital provided financing in the amount of $870,000 for the acquisition of a property located in Los Angeles, CA in 9 days. The property is a fully occupied quadplex that produces a modest cash flow on an 8,023 square foot lot.
The current zoning of the lot is LAR3 and has a Transit Oriented Community (TOC) designation of Tier 4, which allow for the construction of up to 14 multifamily units. If the site is up-zoned to LAR4, up to 28 multifamily units can be built on the lot.
By right land for condo and multifamily construction trades at ~$85,000 per buildable unit, which implies a resale value of at least $2,240,000 after the up-zone to LAR4.
Loan Amount: $870,000
Term of Loan: 6 Months
Amortization: Interest Only