CBRE Arranges Sale of 17-Unit Townhome Development in the City of Arcadia

CBRE negotiated the sale of a 17-unit townhome development in LA County’s city of Arcadia. The property, built in 2016 and located at 135-139 W. Live Oak Avenue, sold for $14.35M.

CBRE’s Eric Chen and Joyce Goldstein represented the building’s buyer, 139 Live Oak LLC, and seller, Cyts USA LLC.

“This development presents an incredibly unique opportunity, with the ability to sell all 17 townhomes individually in the future,” said Mr. Chen, Executive Vice President, CBRE. “The location is highly desirable, with a short drive to downtown Los Angeles and Pasadena, and is surrounded by an array of nearby restaurants and shopping centers.”

With vast experience in multifamily sales in and surrounding LA County, Chen and Goldstein were able to overcome the challenges of today’s rising interest rate environment, successfully closing escrow on the townhome property at a higher value compared to market rents. The capitalization rate, or cap rate, of the townhome property was closed at 3.19 percent, compared to a five percent rate for market rents. Cap rates measure a property’s value by dividing its annual income by its sale price, with a lower cap rate generally indicating a higher value.

The property includes 17 individually parceled townhomes that are modern in design, with open floorplans, recessed lighting, stainless-steel appliances, designer back splash tile, and upgraded flooring, cabinets, and countertops. Each unit also comes equipped with in-unit laundry, central air conditioning and heating, and attached two-car garage.

The city of Arcadia has an affluent demographic and nationally ranked public education system, with an average household income estimated at over $130,000 and an average housing price of $1.3M. Nearby attractions include Arcadia County Park, Westfield Santa Anita Mall, Santa Anita Racetrack, and the Los Angeles County Arboretum. The townhome property also offers easy access to neighboring cities within the San Gabriel Valley, LA County, and San Bernardino County via the I-210, 605 and I-10 freeways.