LOS ANGELES, Jan. 25, 2019 – Institutional Property Advisors (IPA), a division of Marcus & Millichap (NYSE: MMI), announced today the sale of Morton Gardens, a 66-unit multifamily property in the Echo Park neighborhood of Los Angeles. The property sold for $25.5 million, which equates to $386,364 per unit.
“Morton Gardens is one of just a handful of apartment communities in the hills of Echo Park, an affluent and supply-constrained Eastside neighborhood north of Sunset Boulevard,” said Joe Grabiec, IPA senior managing director. “The property combines abundant open space with urban walkability to create a distinctive experience for residents.”
Grabiec, along with IPA executive managing director Greg Harris, IPA senior managing director Kevin Green, and Marcus & Millichap first vice president investments Paul Darrow represented the seller, a regional private investor, and procured the buyer, an institutional investment fund.
“This transaction is a great example of a current trend in Los Angeles where institutional investors are purchasing smaller communities from local owners to participate in the region’s impressive rent growth,” noted Darrow. “Many neighborhoods that are seeing the most rent growth lack communities with the size and scale institutional investors typically purchase. As a result, we are seeing institutions who believe and want to own in Los Angeles grow their footprints by acquiring smaller communities.”
Morton Gardens’ central location near four major freeways — the 101, 110, 5, and 2 — gives residents a 15-minute commute to Hollywood, Downtown Los Angeles, Glendale, and Burbank. Built on 2.9 acres in 1972, the property has views of Echo Park Lake and Downtown Los Angeles, a mix of one-, two- and three-bedroom layouts, two courtyards, controlled entry and covered parking.