Two-Story Transitional Housing
For Sale
$1,299,000
Pending
5061 W Sunset Boulevard, Los Angeles, CA 90027
Two-story building with 14 rooms, meeting rooms, and multiple bathrooms previously configured for transitional housing.
Property Size3,330 SF
Days on Market365
Property Features for 5061 W Sunset Boulevard
General Information
Standard status
Pending
Size
3,330 SF
Property subtype
Commercial/Industrial
Building Details
Year Built
1915
Stories
2
Listing Agency:
Wilshire Advisory Group, Inc
(310) 266-0592
Listed By:
Brad Kesner · License #00986769
(310) 266-0592
Source:
Exitrealty
Added: Aug 31, 2025
Changed: Aug 23
Last Checked: Aug 22 at 11:17AM
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 Wilshire Advisory Group, Inc
Investment Insights
Based on property information with market context.
This unique two-story, 3,330 SF building was previously used for transitional housing and is now offered for sale with an owner-user or redevelopment mindset. The first floor includes six rooms and four bathrooms, along with a meeting room, laundry room, kitchen, dining area, and storage room. The second floor features eight rooms and two bathrooms, plus a meeting room and sitting area.
Located at 5061 W Sunset Blvd in Los Angeles, the property’s configuration supports a variety of possible uses, subject to approval. Public remarks note that a small company could be accommodated, and the building may also be considered for potential motel/hostel/SRO use; interested parties should confirm permitted uses with the City.
Overall, the property offers a clear internal layout across two floors with dedicated common and utility spaces, including meeting, laundry, kitchen, and dining areas, as well as storage.
Located at 5061 W Sunset Blvd in Los Angeles, the property’s configuration supports a variety of possible uses, subject to approval. Public remarks note that a small company could be accommodated, and the building may also be considered for potential motel/hostel/SRO use; interested parties should confirm permitted uses with the City.
Overall, the property offers a clear internal layout across two floors with dedicated common and utility spaces, including meeting, laundry, kitchen, and dining areas, as well as storage.
Key Highlights
- Two‑story 3,330 SF building previously used for transitional housing
- First floor includes 6 rooms and 4 bathrooms, plus meeting room, laundry room, kitchen, dining area, and storage room
- Second floor features 8 rooms and 2 bathrooms, with meeting room and sitting area
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
$42,707
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
3.29%
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%
$854,140
$854.1K
Cap Rate 7%
$610,100
$610.1K
Cap Rate 9%
$474,522
$474.5K
Market Conditions
NOI Build-Up for 3,330 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
$99.9K $30.00/SF
− Vacancy
−$10.0K −$3.00/SF
EGI
$89.9K $27.00/SF
− OpEx
−$47.2K −$14.18/SF
NOI
$42.7K $12.83/SF
Area
Los Angeles, CA
Vacancy
10.00%
Lease Rate
$30.00 /SF/Yr
Expense Ratio
52.50%
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%
$854,140
Cap Rate 7%
$610,100
Cap Rate 9%
$474,522
Alternative Uses
Best Use
Hotel Hospitality
$610.1K
$533.8K – $711.8K
NOI $42,707 @ 7.0% cap · market cap 3.29%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$67.46M
$59.03M – $78.71M
NOI $4,722,466 @ 7.0% cap · market cap 363.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
6,788
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 90027, CA
44,471
Population
24,267
Households
1.8
Avg Household Size
39
Median Age
58%
College-Educated
92%
High-School Grad
8.1 sq mi
ZIP Area
5,490
Density / Sq Mi
$90,532
Median Household Income
$53,526
Median Earnings
$1,904
Median Rent
$1,747,200
Median Home Value
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Motel - Two-story building with 14 rooms, meeting rooms, and multiple bathrooms previously configured for transitional housing.
Where is this motel located?
The property is located at 5061 W Sunset Boulevard 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: Two‑story 3,330 SF building previously used for transitional housing; First floor includes 6 rooms and 4 bathrooms, plus meeting room, laundry room, kitchen, dining area, and storage room; Second floor features 8 rooms and 2 bathrooms, with meeting room and sitting area
