Nearly every competing five-unit building in this submarket was built between 1912 and 1961 and carries Los Angeles rent stabilization for life. This one was delivered in 2018 and does not. That single distinction — the right to reset every unit to market on turnover, permanently — is the rarest attribute a small Los Angeles income property can hold, and it is the reason this asset underwrites differently from everything around it.
Against the fourteen post-2015, non-rent-controlled 4–6 unit buildings that have closed in the East Hollywood cluster since July 2024, the median trade is $706,250 per unit and even the 25th percentile is $620,833. At $2,795,000 this asset asks $559,000 — below both. Per square foot it prices at $512 against a $492 median, essentially at market. That gap is the whole argument: a fair price per foot, a 21% discount per door, because these units are roughly double the size of a typical East Hollywood one-bedroom.
First certificate of occupancy after October 1, 1978 — outside the LA Rent Stabilization Ordinance. Costa-Hawkins governs, so ownership sets the initial and every subsequent rent, with vacancy decontrol at each turnover.
No soft-story retrofit exposure, no galvanized supply lines, no knob-and-tube. Central heat and air, in-unit washer/dryer, dishwasher, assigned parking — insurance and near-term capex underwrite like new product because it is new product.
Four one-bedroom/two-bath homes of 1,010–1,073 SF plus a 1,291 SF two-bedroom — close to double a typical East Hollywood one-bedroom. The achieved rents prove the market pays for the difference.
$195,079 of scheduled income, fully occupied, from credit-screened professional households with one to seven renewals each. A lender-friendly, diligence-clean stream backed by the manager's own ledger.
One unit is month-to-month and may convey vacant — an immediate mark-to-market reset for an investor, or a residence for an owner-user buying four income units alongside it.
Complete 2018 plan set and entitlement history, all leases and screening files, rent ledger, and a 242-work-order maintenance record. Faster lender and appraiser sign-off, de-risked diligence.
Regulatory status is presented from ownership and management records and is believed accurate. Buyers should verify independently during diligence.
| Unit | Type | SF | Current Rent | $/SF | Market | Lease Status |
|---|---|---|---|---|---|---|
| 4635 | 1BD / 2BA | 1,010 | $3,274.12 | $3.24 | $3,500 | Month-to-month |
| 4635½ | 1BD / 2BA | 1,073 | $3,034.12 | $2.83 | $3,500 | Expiring 7/31/2026 |
| 4637 | 1BD / 2BA | 1,017 | $3,097.83 | $3.05 | $3,500 | Expiring 7/31/2026 |
| 4637½ | 1BD / 2BA | 1,067 | $3,225.38 | $3.02 | $3,500 | Expiring 7/31/2026 |
| 4637¼ | 2BD / 2BA | 1,291 | $3,625.12 | $2.81 | $4,000 | Fixed into 2027 |
| Total | 5 units | 5,458 | $16,256.57 | $2.98 | $18,000 | 5 of 5 occupied |
Rents per leases of record. Resident identities are withheld from public marketing; the full rent roll, leases and screening files release with the diligence package. Residency across the roll is entertainment, media and creative-economy professionals — Very Good credit tier, one to seven renewals each, documented incomes at roughly three times rent.
| Operating Summary | Current | At Market |
|---|---|---|
| Gross scheduled income | $195,079 | $216,000 |
| Less vacancy & collection (3%) | ($5,852) | ($6,480) |
| Effective gross income | $189,226 | $209,520 |
| Operating expenses | ($39,354) | ($40,571) |
| NOI before property taxes | $149,873 | $168,949 |
| Less taxes reassessed on price (1.25%) | ($34,938) | ($34,938) |
| NOI to buyer | $114,935 · 4.11% cap | $134,011 · 4.79% cap |
Expenses: insurance $8,500 · water/sewer/trash $9,600 · gardening $2,400 · repairs & maintenance $6,000 · management · reserves $1,500. Property taxes are modeled on the buyer's reassessed basis rather than the seller's, so the cap rate shown is the one a buyer actually receives. At this yield the natural buyer is all-cash, a 1031 exchanger, or an owner-user — financed buyers will face DSCR constraints, and we would rather say so here than discover it in escrow.
East Hollywood's employment base is the hospital corridor — Kaiser Sunset, Children's Hospital Los Angeles and Hollywood Presbyterian — collectively employing thousands of nurses, technicians and support staff: well paid, stable, and overwhelmingly renting. Add the creative-economy households drawn to the Virgil Village amenity strip and you have exactly the renter who pays for an oversized one-bedroom.
ZIP 90029 demographics: U.S. Census ACS 5-Year (2018–2022). Rate and labor figures: FRED/BLS, July 2026. Compiled by the Bauhaus Group intelligence desk.
The full OM includes the complete rent roll, operating detail, comparable sales set, the 2018 plan package and our market intelligence. Released on request to qualified buyers.
Email eric@bauhaus.la (310) 850-4139