R4 Mixed-Use Redevelopment
For Sale
Contact for pricing
427 S Gramercy Place, Los Angeles, CA 90020
Vacant, fire-damaged structure suited to restoration, conversion, or new construction in an urban Los Angeles setting.
Property Size5,814 SF
Lot Size0.18 Acres
Price / SF$223.43
Days on Market82
Property Features for 427 S Gramercy Place
General Information
Standard status
Active
Size
5,814 SF
Lot size
0.18 Acres
Property subtype
Land, Mixed Use, Special Purpose
Zoning
R4
Investment Type
Value Add
Property Condition
Severity
Major Repairs Needed
Evidence
fire-damaged
Additional Details
Public Transit
Yes
Building Details
Year Built
1920
Buildings
1
Stories
2
Units
1
Construction
wood-frame
Listing Agency:
I & J Properties, Inc
(213) 718-3333
Listed By:
Julie Lee · License #00977271
Source:
Crexi
Added: Jun 12
Changed: Aug 30
Last Checked: Aug 30 at 9:58PM
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 I & J Properties, Inc
Investment Insights
Based on property information with market context.
Located at 427 S. Gramercy Place in Los Angeles, this vacant wood-frame property was built in 1920 and contains 13 rooms and 5 bathrooms across approximately 5,814 square feet. The structure is fire-damaged and boarded, creating a redevelopment scenario that may accommodate restoration, conversion, or new construction. The parcel measures 7,996 square feet and carries R4 zoning, which supports high-density residential or mixed-use development.
The property is positioned in the Koreatown and Mid-Wilshire area near Wilshire Blvd, shopping, dining, and public transit. A Walk Score of 94 reflects the area's pedestrian accessibility. The address is within the 3rd Street Elementary School District.
The property is positioned in the Koreatown and Mid-Wilshire area near Wilshire Blvd, shopping, dining, and public transit. A Walk Score of 94 reflects the area's pedestrian accessibility. The address is within the 3rd Street Elementary School District.
Key Highlights
- R4 zoning supports high‑density residential or mixed‑use development
- Vacant, fire‑damaged, and boarded structure for restoration, conversion, or new construction
- 13 rooms and 5 bathrooms in approximately 5,814 sq. ft.
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
$117,734
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
9.06%
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%
$2,354,680
$2.4M
Cap Rate 7%
$1,681,914
$1.7M
Cap Rate 9%
$1,308,156
$1.3M
Market Conditions
NOI Build-Up for 5,814 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
$209.3K $36.00/SF
− Vacancy
−$20.9K −$3.60/SF
EGI
$188.4K $32.40/SF
− OpEx
−$70.6K −$12.15/SF
NOI
$117.7K $20.25/SF
Area
Los Angeles, CA
Vacancy
10.00%
Lease Rate
$36.00 /SF/Yr
Expense Ratio
37.50%
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%
$2,354,680
Cap Rate 7%
$1,681,914
Cap Rate 9%
$1,308,156
Alternative Uses
Best Use
Apartment 5plus
$102.79M
$89.94M – $119.92M
NOI $7,195,139 @ 7.0% cap · market cap 553.90%
Second Best
Mixed Use
$1.68M
$1.47M – $1.96M
NOI $117,734 @ 7.0% cap · market cap 9.06%
Theoretical Best
Multifamily LT 5
$117.79M
$103.06M – $137.42M
NOI $8,245,170 @ 7.0% cap · market cap 634.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
5,584
Businesses Nearby
Explore this area
Business Placement
Demographics for 90020, CA
38,694
Population
19,119
Households
2
Avg Household Size
37
Median Age
46%
College-Educated
84%
High-School Grad
1.1 sq mi
ZIP Area
35,176
Density / Sq Mi
$55,832
Median Household Income
$37,718
Median Earnings
$1,734
Median Rent
$826,500
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Vacant, fire-damaged structure suited to restoration, conversion, or new construction in an urban Los Angeles setting.
Where is this mixed-use property located?
The property is located at 427 S Gramercy Place Los Angeles, CA.
What is the asking price?
The asking price for this property is $1,299,000.
What are key features of this property?
This property features: R4 zoning supports high‑density residential or mixed‑use development; Vacant, fire‑damaged, and boarded structure for restoration, conversion, or new construction; 13 rooms and 5 bathrooms in approximately 5,814 sq. ft.
