Townhouse-Style Apartment
For Sale
$3,950,000
13915 Sherman Way, Van Nuys, CA 91405
Townhouse-style apartment property with varied unit layouts, individually metered utilities, a pool, laundry, and surface parking.
Property Size16,144 SF
Lot Size0.32 Acres
Price / SF$244.67
Days on Market110
Property Features for 13915 Sherman Way
General Information
Standard status
Active
Size
16,144 SF
Total Parking Spaces
28
Lot size
0.32 Acres
Property subtype
Multifamily
Occupancy
97%
Site & Location
Road Access
Yes
Public Transit
Yes
Utilities to Site
Yes
Units
Unit Mix
12 x 2BR/2.5BA, 3 x 1BR
Multifamily Units
15
Additional Details
Gross Income
$372,828
Amenities
community pool
on-site laundry
RSO Exempt — AB 1482 Only: Built 1989, the property sits outside the Los Angeles Rent Stabilization Ordinance and is subject only to AB 1482 (CPI + 5%, 10% max).
23.6% Rent Upside with Month-to-Month Rollovers: Current gross scheduled rent of $372,828 grows to $460,800 at pro forma market rents of $2,650 TH / $2,200 flat.
Premium Townhome Format, 12 of 15 Units: 12 two-story townhomes at ~1,100 SF with 2.5 baths command $100–$200/month premiums over valley flats.
First Offering in 30-Plus Years: Estate disposition following three decades of continuous ownership.
Supply-Constrained Class B Submarket: Van Nuys vacancy runs 4.7% vs 5.3% LA metro, and the 633-unit construction pipeline is concentrated in Class A that does not compete with the subject.
Building Details
Building Size
16,144 SF
Year Built
1989
Stories
2
Units
15
Construction
wood frame
Listing Agency:
Encino Office
(818) 212-2748
Listed By:
Filip Niculete · License #License(s): CA: 01905352
(818) 212-2748
Source:
Marcusmillichap
Added: May 14
Changed: Aug 30
Last Checked: Aug 30 at 1:16PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Encino Office
Investment Insights
Based on property information with market context.
Located at 13915 Sherman Way in Van Nuys, this 15-unit apartment property combines townhouse and flat layouts in a two-story wood-frame building constructed in 1989. The 16,144-square-foot property occupies a 13,998-square-foot lot and includes 12 two-bedroom, 2.5-bath townhomes alongside three one-bedroom flats. Individually metered gas and electric service, a community pool, on-site laundry, and 28 surface parking spaces support the existing configuration.
The property sits along Sherman Way’s transit corridor, with the planned East SFV Light Rail station identified 0.5 miles east and scheduled to open in 2031. The asset is RSO-exempt and subject only to AB 1482, and most leases are month-to-month. It also carries a TOC Tier 1 designation.
The property sits along Sherman Way’s transit corridor, with the planned East SFV Light Rail station identified 0.5 miles east and scheduled to open in 2031. The asset is RSO-exempt and subject only to AB 1482, and most leases are month-to-month. It also carries a TOC Tier 1 designation.
Key Highlights
- 15‑unit apartment property with 12 two‑bedroom/2.5‑bath townhomes and three one‑bedroom flats
- 16,144 SF building on a 13,998 SF lot
- Two‑story wood‑frame construction completed in 1989
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$259,770
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
6.58%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$5,195,400
$5.2M
Cap Rate 7%
$3,711,000
$3.7M
Cap Rate 9%
$2,886,333
$2.9M
Market Conditions
NOI Build-Up for 16,144 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$513.4K $31.80/SF
− Vacancy
−$41.1K −$2.54/SF
EGI
$472.3K $29.26/SF
− OpEx
−$212.5K −$13.17/SF
NOI
$259.8K $16.09/SF
Area
Los Angeles County, CA
Vacancy
8.00%
Lease Rate
$31.80 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$5,195,400
Cap Rate 7%
$3,711,000
Cap Rate 9%
$2,886,333
Alternative Uses
Best Use
Apartment 5plus
$3.71M
$3.25M – $4.33M
NOI $259,770 @ 7.0% cap · market cap 6.58%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$8.64M
$7.56M – $10.08M
NOI $605,040 @ 7.0% cap · market cap 15.32%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
15
Residential units
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
1,234
Businesses Nearby
Explore this area
Business Placement
Demographics for 91405, CA
55,319
Population
19,822
Households
2.8
Avg Household Size
36
Median Age
26%
College-Educated
75%
High-School Grad
3.4 sq mi
ZIP Area
16,270
Density / Sq Mi
$61,207
Median Household Income
$34,833
Median Earnings
$1,736
Median Rent
$698,100
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Townhouse-style apartment property with varied unit layouts, individually metered utilities, a pool, laundry, and surface parking.
Where is this apartment building located?
The property is located at 13915 Sherman Way Van Nuys, CA.
What is the asking price?
The asking price for this property is $3,950,000.
What are key features of this property?
This property features: 15‑unit apartment property with 12 two‑bedroom/2.5‑bath townhomes and three one‑bedroom flats; 16,144 SF building on a 13,998 SF lot; Two‑story wood‑frame construction completed in 1989
