Confidential Broker Opinion of Value & Marketing Proposal
613 Westbourne Drive
West Hollywood, CA 90069 | 8-Unit Multifamily Investment
Confidential Broker Opinion of Value & Marketing Proposal
Ian, thank you for the opportunity to be considered. Your stated priorities, drawn from our conversation, shape the recommendation that follows: speed to a clean close, a fully covered 1031 exchange, and senior-level execution from the broker you hire.
The LAAA Team focuses exclusively on Los Angeles apartment buildings, concentrated in the A-level Westside cities of West Hollywood, Beverly Hills, and Santa Monica. This document is structured as a professional broker opinion of value. It covers the engagement team and our recent closings in this submarket, our reading of the West Hollywood market today, the marketing process we would run, the most relevant recent sale and rent comparables, a full financial analysis of the building, and a pricing recommendation. The valuation appears at the end, supported by the evidence that precedes it.
Glen and Filip personally run this engagement end to end. There is no associate hand-off. The two founding partners of the LAAA Team carry a combined 26 years in the business, supported by a team of ten on every listing.
Transaction volume in this size range is the most relevant qualification for pricing and selling an asset like 613 Westbourne. The figures below reflect the firm-wide career record of the LAAA Team. The submarket detail that follows shows where that volume is concentrated.
The team's work is concentrated in the prime, supply-constrained Westside cities most relevant to 613 Westbourne, West Hollywood, the Fairfax–Melrose corridor, Beverly Hills, Santa Monica, and the wider West LA / Brentwood / Westwood market. Across these submarkets the team has closed:
Each pin is an apartment building the team has closed across the prime Westside, a single, current body of work in the supply-constrained markets that matter for 613 Westbourne.
In January 2025 the team closed 1046 N Genesee Ave in prime West Hollywood, the same block as 1036 N Genesee, which traded in April 2026 at $2.85M and is one of the most relevant comparables in this report. Recent closings within blocks of the subject reflect direct, current relationships with the buyer pool active in this submarket, rather than a database estimate.
Demand is generated through a repeatable process the team has run across more than 460 closings. The objective is competitive tension: multiple qualified buyers evaluating the asset on the same timeline, which is what supports price.
The most probable buyer owns a similar building nearby. The team maintains confirmed contact records, name, mobile, and email, for essentially every apartment owner in West Hollywood, at roughly 95% accuracy. A full-time analyst keeps the database current on every LA County apartment sale.
10,000+ principals and 15,000+ brokers. Every 1031 buyer we uncover goes onto a tracked exchange list. With 26 active listings, we are in constant contact with today's most active buyers, not the buyers of two years ago.
Marcus & Millichap dominates the $1–25M private-capital market with offices in every state and Canada, plus international reach. For an A-location like WeHo, that national and international exposure matters.
We actively co-broke. We pursue outside brokers rather than hoard the listing, because the goal is finding every needle in the haystack, including the buyer from out of market we would never reach alone.
613 Westbourne Drive is a 1949-vintage, 8-unit apartment building in the heart of prime West Hollywood, walkable to Santa Monica Boulevard, the Design District, and the Beverly Hills border. The unit mix is split evenly between four one-bedroom and four two-bedroom homes, and the rent roll shows clear room to grow within the rules of West Hollywood rent stabilization.
Figures reflect the current pricing model and should be verified in due diligence.
West Hollywood is among the most desirable and resilient multifamily submarkets in Greater Los Angeles, and one of the most distinct. WeHo and Santa Monica operate under their own ordinances rather than the City of Los Angeles rules. Pricing and marketing the asset correctly within that framework requires a specialist who transacts here regularly.
Dubbed “The Creative City,” West Hollywood sits between Beverly Hills and Hollywood, anchored by the Sunset Strip, the West Hollywood Design District, the Pacific Design Center, and the boutiques of Robertson and Melrose. It is consistently ranked among the most walkable cities in California, drawing a dense, affluent base of young professionals and creatives.
For an apartment owner, what matters is the fundamentals beneath that lifestyle: roughly 80% of WeHo housing is renter-occupied, vacancy is historically low, and limited land plus strict zoning keep supply tight. Development demand remains strong, from The Harland's luxury residences to the $71M-financed 8850 Sunset project, which continues to support rising values and durable rental demand. This is a market where well-marketed, well-priced buildings still trade.
The subject sits in the heart of prime West Hollywood, walkable to Santa Monica Boulevard, the Design District, and the Beverly Hills border. The map below shows the property alongside recent LAAA closings nearby.
The team's current view of the market and its likely direction, stated plainly.
The all-time peak was the end of 2022, when money was nearly free and deals traded at 4% cap rates. The market corrected 15–25% depending on submarket. West Hollywood, as an A-location, sits at the lower end of that correction, closer to 15%.
2024 and the first half of 2025 were genuinely tough. Since then the market has recovered meaningfully. We are not just listing deals, we are opening escrows and closing them. Right now we have 11 deals in escrow and 15 closed this year.
We expect status quo for the foreseeable future. There are no signs from our boots on the ground, or from Marcus & Millichap's national research, of a major move up or down. We do not have a crystal ball, and we will not pretend to.
Conditions favor buyers more than in 2022, though the balance is close. Outcome comes down to execution: correct pricing, full exposure, and multiple offers arriving on the same timeline. Those are the variables the engagement controls.
The most likely buyer is a private-capital investor or 1031 exchange buyer who already owns on the Westside and is seeking a well-located, manageable building in a city that holds value. These buyers are largely known to the team. The points below anticipate where they will press, and how each is addressed before it becomes a retrade.
True, and that is the upside, not a problem. We frame the in-place income as a floor, document the achievable rents within RSO rules, and let the buyer underwrite the growth they are paying a fair price to capture.
Every comparable building here is. We price to RSO, market to RSO-savvy buyers, and present clean, accurate financials so nobody discovers a surprise in diligence and tries to chip the price.
We prepare the due-diligence folder up front, reports, rent roll, and operating history, so the buyer can move quickly and cannot manufacture reasons to retrade late in escrow.
At the suggested price the building covers debt service at today's rates with room to spare. That keeps lenders comfortable and the buyer pool wide, which protects your price through close.
Six recent closed sales of comparable rent-controlled apartment buildings in and around prime West Hollywood. The subject is shown in gold for direct comparison. On the metrics that drive value: price per unit, price per square foot, cap rate, and gross rent multiplier, 613 Westbourne at the suggested price sits squarely within the range and right at the median.
| # | Address | Units | Built | SF | Closed | Sale Price | $/Unit | $/SF | Cap | GRM |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | 1027 N Ogden Dr | 10 | 1963 | 9,303 | Mar 2026 | $2,038,234 | $203,823 | $219 | 5.22% | 11.83 |
| 2 | 525 N Sweetzer Ave | 6 | 1959 | 6,120 | Jan 2026 | $1,950,000 | $325,000 | $319 | 5.39% | 12.12 |
| 3 | 948 Palm Ave | 8 | 1909 | 4,904 | Jan 2026 | $2,400,000 | $300,000 | $489 | – | 13.01 |
| 4 | 1036 N Genesee Ave | 10 | 1960 | 8,190 | Apr 2026 | $2,850,000 | $285,000 | $348 | 5.65% | 12.26 |
| 5 | 1425 N Hayworth Ave | 11 | 1951 | 10,235 | May 2026 | $2,820,000 | $256,364 | $276 | 5.16% | 12.48 |
| 6 | 1241 N Fairfax Ave | 14 | 1958 | 10,378 | Apr 2026 | $3,076,000 | $219,714 | $296 | – | 12.13 |
| ★ | 613 Westbourne Dr (Subject) | 8 | 1949 | 7,442 | List | $2,150,000 | $268,750 | $289 | 5.00% | 11.88 |
| Comp Average | $2,522,372 | $264,984 | $325 | 5.36% | 12.30 | |||||
| Comp Median | $2,610,000 | $270,682 | $308 | 5.30% | 12.20 | |||||
1. 1027 N Ogden Dr A 10-unit 1963 building that closed March 2026 at $2,038,234, or $203,823 per unit and $219/SF on a 5.22% cap and 11.83 GRM. It is the lowest per-unit and per-foot data point in the set, reflecting a larger, less-renovated asset further east. The subject's smaller unit count and prime Westbourne location support pricing above Ogden's per-unit basis.
2. 525 N Sweetzer Ave The closest match in size: 6 units, built 1959, closed January 2026 at $1,950,000, or $325,000 per unit and $319/SF on a 5.39% cap and 12.12 GRM. With a Walk Score of 93 it sets the high end on a per-unit basis. The subject's $268,750 per unit sits comfortably below Sweetzer despite a comparable location, underscoring achievable upside.
3. 948 Palm Ave An 8-unit building in the Norma Triangle that closed January 2026 at $2,400,000, or $300,000 per unit and a 13.01 GRM. Built in 1909 on a tight 4,904 SF footprint, its high $489/SF reflects small units and land value. It matches the subject's unit count exactly and trades at $300,000 per unit, well above the subject's suggested $268,750.
4. 1036 N Genesee Ave A fully RSO 10-unit that closed April 2026 at $2,850,000, or $285,000 per unit and $348/SF on a 5.65% cap and 12.26 GRM, seismic retrofit complete. It sits on the same block as our own January 2025 closing at 1046 N Genesee. A strong, recent, professionally marketed Westside trade that brackets the subject above on per-unit pricing.
5. 1425 N Hayworth Ave An 11-unit, separately metered 1951 building with on-site laundry, closed May 2026 at $2,820,000, or $256,364 per unit and $276/SF on a 5.16% cap and 12.48 GRM. The most recent sale in the set and a close fundamental comp; its per-unit figure and sub-5.2% cap closely frame the subject's pricing on the most current data available.
6. 1241 N Fairfax Ave A 14-unit all-2BR/2BA RSO building that closed April 2026 at $3,076,000, or $219,714 per unit and $296/SF on a 12.13 GRM. Its lower per-unit figure reflects scale and a 263-day marketing period. The subject's smaller, mixed-unit profile in a quieter prime-residential pocket supports a higher per-unit basis than Fairfax's larger-building discount.
Source: TheMLS closed-sale records, compiled by Glen Scher (CA DRE #01962976). Cap rate shown where reported by the listing source.
A market rent survey within a half-mile of the subject. The broad market spans new construction and non-rent-controlled product, so the medians below run well above what an RSO building like 613 Westbourne can charge a sitting tenant. We use them as context: they confirm the direction of rent growth and underscore the long-term upside, while our pro-forma rents stay conservative and defensible within rent-stabilization rules.
| Unit Type | Subject Pro-Forma Rent | Market 25th–75th Pctile | Market Median | Market Mean | Samples |
|---|---|---|---|---|---|
| 1 Bed / 1 Bath | $1,618 | $2,448 – $3,555 | $2,974 | $3,002 | 44 |
| 2 Bed / 2 Bath | $2,494 | $3,443 – $4,714 | $3,875 | $4,079 | 42 |
Source: Rentometer market survey, 0.5-mile radius, pulled 2026-05-28. Subject pro-forma rents from the LAAA pricing model.
The current rent roll alongside achievable pro-forma rents. The spread between current and pro-forma is the income upside a buyer is acquiring, documented, unit by unit.
| Unit | Type | SF | Current Rent | Rent/SF | Pro-Forma Rent | PF/SF |
|---|---|---|---|---|---|---|
| 1 | 2BR / 2BA | 950 | $2,400 | $2.53 | $2,729 | $2.87 |
| 2 | 1BR / 1BA | 800 | $1,995 | $2.49 | $1,995 | $2.49 |
| 3 | 1BR / 1BA | 800 | $1,000 | $1.25 | $1,066 | $1.33 |
| 4 | 2BR / 2BA | 950 | $1,650 | $1.74 | $2,066 | $2.17 |
| 5 | 2BR / 2BA | 950 | $1,850 | $1.95 | $2,238 | $2.36 |
| 6 | 1BR / 1BA | 800 | $1,400 | $1.75 | $1,371 | $1.71 |
| 7 | 1BR / 1BA | 800 | $1,995 | $2.49 | $2,040 | $2.55 |
| 8 | 2BR / 2BA | 950 | $2,795 | $2.94 | $2,944 | $3.10 |
| Totals / Mo. | 7,442 | $15,085 | $16,449 | |||
| Income | Annual | Per Unit | $/SF | % EGI |
|---|---|---|---|---|
| Gross Scheduled Rent | $181,020 | $22,628 | $24.32 | 103.1% |
| Less: Vacancy (3%) | ($5,431) | $-679 | $-0.73 | -3.1% |
| Effective Gross Income | $175,589 | $21,949 | $23.59 | 100.0% |
| Expenses | Annual | Per Unit | $/SF | % EGI |
|---|---|---|---|---|
| Real Estate Taxes [1] | $26,875 | $3,359 | $3.61 | 15.3% |
| Insurance [2] | $9,042 | $1,130 | $1.21 | 5.1% |
| Utilities [3] | $9,000 | $1,125 | $1.21 | 5.1% |
| Repairs & Maintenance [4] | $6,000 | $750 | $0.81 | 3.4% |
| Contract Services [5] | $4,800 | $600 | $0.64 | 2.7% |
| General & Admin [6] | $1,600 | $200 | $0.21 | 0.9% |
| Operating Reserves [7] | $2,000 | $250 | $0.27 | 1.1% |
| Management Fee (5%) [8] | $8,779 | $1,097 | $1.18 | 5.0% |
| Total Operating Expenses | $68,096 | $8,512 | $9.15 | 38.8% |
| Net Operating Income | $107,493 | $13,437 | $14.44 | 61.2% |
[1] Real Estate Taxes: Reassessed at the suggested list price under Prop 13 (approx. 1.25% of value). A new buyer should budget to this reassessed basis, not the seller's lower legacy assessment.
[2] Insurance: (Units x $200) plus building square footage at $1.00/SF, the LAAA benchmark for a building of this vintage and size.
[3] Utilities: Owner-paid common-area utilities (water, sewer, trash, common electric). Units are individually metered for in-unit gas and electric.
[4] Repairs & Maintenance: Routine repairs, turnover, and ongoing maintenance for an 8-unit building of this age in West Hollywood.
[5] Contract Services: On-site services including landscaping, pest control, and periodic vendor work.
[6] General & Admin: Licenses, the West Hollywood rental registration, bookkeeping, and miscellaneous administrative costs.
[7] Operating Reserves: A prudent capital reserve carried at the property level for components and deferred items.
[8] Management Fee (5%): Professional management at 5% of collected income, in line with full-service management for a building of this size.
The complete picture at the suggested list price, current in-place and on a conservative pro-forma basis, with financing modeled at a 55% loan-to-value, 6.00% fixed loan amortized over 30 years.
| Operating Data | |
|---|---|
| Suggested List Price | $2,150,000 |
| Down Payment (45%) | $967,500 |
| Number of Units | 8 |
| Price / Unit | $268,750 |
| Price / SF | $289 |
| Gross Building SF | 7,442 |
| Year Built | 1949 |
| Returns | Current | Pro Forma |
|---|---|---|
| Cap Rate | 5.00% | 5.70% |
| GRM | 11.88x | 10.89x |
| Cash-on-Cash | 2.32% | 3.88% |
| DCR | 1.26 | 1.44 |
| Financing | |
|---|---|
| Loan Amount | $1,182,500 |
| Loan Type | Fixed, Amortizing |
| Interest Rate | 6.00% |
| Amortization | 30 years |
| Loan Constant | 7.19% |
| Loan-to-Value | 55% |
| Income | Current | Pro Forma |
|---|---|---|
| Gross Scheduled Rent | $181,020 | $197,388 |
| Less: Vacancy (3%) | $-5,431 | $-5,922 |
| Effective Gross Income | $175,589 | $191,466 |
| Cash Flow | Current | Pro Forma |
|---|---|---|
| Net Operating Income | $107,493 | $122,576 |
| Debt Service | $-85,076 | $-85,076 |
| Net Cash Flow | $22,417 | $37,500 |
| Principal Reduction (Yr 1) | $14,521 | $15,417 |
| Total Return | 3.82% | 5.47% |
| Expenses | Current | Pro Forma |
|---|---|---|
| Real Estate Taxes | $26,875 | $26,875 |
| Insurance | $9,042 | $9,042 |
| Utilities | $9,000 | $9,000 |
| Repairs & Maintenance | $6,000 | $6,000 |
| Contract Services | $4,800 | $4,800 |
| General & Admin | $1,600 | $1,600 |
| Operating Reserves | $2,000 | $2,000 |
| Management Fee (5%) | $8,779 | $9,573 |
| Total Expenses | $68,096 | $68,890 |
| Expense Ratio (% EGI) | 38.8% | 36.0% |
How the key return metrics move across a range of prices. The highlighted row is our suggested list price.
| Purchase Price | Current Cap | Pro-Forma Cap | Cash-on-Cash | $/SF | $/Unit | PF GRM |
|---|---|---|---|---|---|---|
| $2,400,000 | 4.48% | 5.11% | 1.16% | $322 | $300,000 | 12.16x |
| $2,350,000 | 4.57% | 5.22% | 1.37% | $316 | $293,750 | 11.91x |
| $2,300,000 | 4.67% | 5.33% | 1.59% | $309 | $287,500 | 11.65x |
| $2,250,000 | 4.78% | 5.45% | 1.82% | $302 | $281,250 | 11.40x |
| $2,200,000 | 4.89% | 5.57% | 2.06% | $296 | $275,000 | 11.15x |
| $2,150,000 | 5.00% | 5.70% | 2.32% | $289 | $268,750 | 10.89x |
| $2,100,000 | 5.12% | 5.84% | 2.58% | $282 | $262,500 | 10.64x |
| $2,050,000 | 5.24% | 5.98% | 2.86% | $275 | $256,250 | 10.39x |
| $2,000,000 | 5.37% | 6.13% | 3.15% | $269 | $250,000 | 10.13x |
| $1,950,000 | 5.51% | 6.29% | 3.46% | $262 | $243,750 | 9.88x |
| $1,900,000 | 5.66% | 6.45% | 3.78% | $255 | $237,500 | 9.63x |
This is an investment sale, not a home sale. The buyer is solving for return: price per unit, price per square foot, cap rate, GRM, and cash-on-cash at today's low-6% interest rates. The subject is valued against the appropriate comparable set: rent-controlled, pre-1978, comparable in size, and the most recent sales available, since the market has moved.
At $2,150,000, 613 Westbourne pencils to $268,750 per unit, $289 per square foot, a 5.00% in-place cap rate, and an 11.88x in-place GRM. Every one of those figures lands within the range of the six recent comparable sales and right at the median on price per unit and GRM. The slightly lower cap and GRM versus the comp set reflect the building's clear path to higher income, which a buyer pays a fair price today to capture. Our recommendation is to list at this number, which establishes the price we are confident the building will sell at while leaving appropriate room for negotiation. The trade range above reflects where we expect the building to transact in the current environment.
Live within a week of signing, offers in the first two to three weeks, escrow opened by week four, and a 45 to 60-day escrow. That sequence closes well ahead of the late-summer slowdown.
Assumptions & conditions: This Broker Opinion of Value is not an appraisal. Financial figures are based on information from the owner and the LAAA pricing model and should be verified in due diligence. Returns assume the financing terms stated above; actual terms will vary with the buyer and lender. Pro-forma rents reflect achievable income within West Hollywood rent-stabilization rules and are not guaranteed.
Our recommendation is to establish the number we are confident it will sell at, list there, and then create real competition through full, simultaneous exposure. The goal is multiple qualified offers on the table at the same time, that is what moves price, not a high asking number that sits.
Terms matter as much as price in a 1031. Every prospective buyer is asked a direct question: what is the rationale for the purchase. The team almost always knows the buyer or broker and their reputation, and provides a candid assessment of whether a given offer will actually close.
The vast majority of our deals involve a 1031 exchange on the buy side, the sell side, or both. We have navigated well over 100 of them, and every one is documented as a case study on LAAA.com.
Exchanging from Westbourne into a Bay Area home is fully doable, the replacement simply has to be held for investment. We will make sure your timeline and documentation line up so the exchange holds.
If you find the new property first, a reverse exchange lets you acquire before you sell. It is only nominally more expensive, often just a few thousand dollars that blend into closing costs, and it removes the pressure of a fire sale. A real option worth keeping open.
Renting the replacement home to family can work, but the details matter. We will point you to the right 1031 accommodator and counsel so it is structured cleanly from day one. (We coordinate the real estate; your tax and legal advisors confirm the structure.)
We structure timelines, deposits, and contingencies specifically to protect your exchange windows, something a residential agent simply is not set up to do.
Broker competence is the priority you identified, and we welcome the diligence. We are glad to connect you with current and recently-closed clients, including sellers who have completed their own 1031 exchanges, so the team can be assessed directly on reliability, capability, and the day-to-day experience of the engagement.
On engagement, the offering memorandum is drafted for review and the property is fully live within roughly a week. The team coordinates photography, the due-diligence folder, and the simultaneous marketing launch so the asset reaches the full buyer pool at once.