331 Hobron Ln Honolulu, HI 96815

Property Details for 331 Hobron Ln

Year built

1949

Property type

Commercial real estate

APN

1-2-6-12-45 & 46

Description

This exceptional 18-unit apartment building presents a compelling investment opportunity in the heart of Waikiki, Honolulu, HI. The property, located at 331-333 Hobron Lane (APN: 1-2-6-12-45 & 46), boasts a prime location just minutes from the beach and a vibrant array of shops and restaurants. Built in 1949, this three-story building sits on a 12,914 square foot lot and features 18 parking spaces, a significant advantage in this high-demand area. The building comprises 13 one-bedroom units (428 sq ft each), three two-bedroom units (ranging from 850 to 1000 sq ft, with one featuring two bathrooms and another a lanai), and two studios (311 sq ft each). All units are solid concrete construction and have undergone renovations, showcasing granite countertops, air conditioning, dishwashers, and vinyl hardwood flooring. The building also includes secured access, lush landscaping, courtyards, a management office, and a coin-operated laundry room. The property is separately metered for electricity, with tenants billed back for water usage. A new roof installed in 2023 comes with a warranty. This leasehold property has a ground lease expiring December 31, 2064, providing a substantial remaining term of 40 years. The ground rent is fixed for the next five years (through December 31, 2029). The asking price is $2,700,000 ($150,000 per unit), offering an 8.1% cap rate based on in-place rents. The property generates a net cash flow of $220,600 after accounting for the ground lease. The property is zoned APART and consists of two separate tax map keys (TMKs), both eligible for Bill 7 development, presenting potential for future expansion, particularly given the 350-foot height limit and the possibility of developing the parking lot. Five years of known rent history is available. This is a rare opportunity to acquire a well-maintained, high-cash-flow generating multifamily property in one of the world's most desirable locations.