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LOS ANGELES-Santa Rosa Developers Ltd. of Corona has acquired the 117-unit La Fayette Heights apartment complex from the Irvine-based Bascom Group for $18 million in an all-cash deal and stands to realize significant upside by upgrading all of the units, according to Hendricks & Partners. Dave Casper of the West Los Angeles office of Hendricks & Partners tells GlobeSt.com that the buyer plans to take all of the units in the complex "to a much higher level of finish and produce a value premium of an additional $7 million within three years."

Casper and Karoline Sauls of the West Los Angeles office of Hendricks & Partners represented both the buyer and the Bascom Group, which had owned the property for about four years. "The buyers made a bold move paying all cash for the deal. However, they'll be justly rewarded when they convert the existing 41% loss to lease into spendable rental revenue," Casper comments.

La Fayette Heights, located at 274 S. La Fayette Park Place in the Mid-Wilshire/Koreantown district, was built in 1972 and consists of a "California Chateau" façade, three-story wood-frame and stucco complex measuring approximately 98,262 gross sf. Its 117 units include three studios, 105 one-bedrooms and nine two-bedrooms.