A newly developed apartment building in Chatsworth has recently been placed on the market with an asking price of $12.95 million, or about $404,687 per unit. According to the listing by All State Realty, the 32-unit multifamily asset was built in 2022 and includes modern, luxury finishes throughout.
The three-story building is located at 10247 Variel Avenue and totals 32,134 square feet. According to public records, the property was developed by the current owner, 10247 Variel Avenue LLC, an entity associated with Uzi Levy. Levy purchased the property in 2018 for just over $775,000.
The building includes a mix of unit types, including 20 two-bedroom units and 12 one-bedroom units. Additionally, initial plans for the project show that six of the units are reserved as affordable housing.
According to the listing, utilizing current average market rental rates would offer a cap rate of 4.51 percent as well as provide a net operating income of $584,126 per year.
The Chatsworth community is located northeast of downtown Los Angeles and directly south of Santa Clarita. Within the immediate vicinity, are a number of shopping and dining amenities. The Canoga/Devonshire metro station is also within walking distance of the property.
Chatsworth, along with neighboring communities Van Nuys, Canoga Park and Thousand Oaks, have also seen a significant amount of new development and transaction activity over the past several months. For instance, in December, Lincoln Avenue Capital purchased a 354-unit apartment building at 9901 Lurline Avenue in Chatsworth for $101.8 million, or about $287,570 per unit. Also, California Home Builders recently completed Q on Variel, a mixed-use development consisting of 241 residential units and 46,345 square feet of retail space, at 6200 Variel Avenue in Canoga Park.
“The area has undergone a major economic renaissance during the past decade with
development as the driving force. The new apartment and mixed use developments in the immediate area have provided an overwhelming increase in the demand for high end rental units and retail,” the listing states.
All State Realty did not respond to a request for comment.
