Marina Pointe is just off Lincoln Boulevard at 13603 Marina Pointe Drive, one block from the marina and across the street from the Villa Marina Shopping Center. It is also adjacent to the Regatta, where condominiums sell for up to $2 million.
Marina Pointe consists of four four-story buildings atop a two-level underground parking garage. Apartments average 854 square feet with an average rent of $1,671 per month. Moran says SSR is planning to update the complex, which includes a fitness center, a lounge, a recreation room and heated swimming pool with sauna and spa.
Although the property commanded the highest overall price ever paid for an L.A. County apartment complex, other properties have sold for more on a per-unit basis. In May of 2001, a partnership of SSR and the California Public Employees' Retirement System paid $270,000 per unit, or $48 million, for the 178-unit Sea Castle apartment building on the beach in Santa Monica, Calif.
Such large deals are relatively rare in Los Angeles County, however, because most apartment complexes in the county are smaller buildings that do not appeal to large institutional investors seeking to place large sums of capital.
Moran brokers Mary Ann King and Scott Davis said the Marina Pointe property had additional appeal for the buyer because the property was financed with tax-exempt bonds on which the interest rate has averaged less than 1.5%. The bond financing required that 20% percent of the units be rented to low-income households.
"The bidding was extremely aggressive for this property, due to its location on L.A.'s prestigious west side as well as the appetite of institutional investors for the higher, more stable returns generated by West Coast apartment properties versus the lower, more volatile returns delivered by the stock market," King said.
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