K2 INVESTMENTSiamak Kalhor · Realtor
For Sale
Los Angeles, CA 90015 · Listing ID 40992429
15 units, 15,229 SF, on a signalized corner — four suites ready to lease and a decade of rent left on the table.
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A 15-unit mixed-use office and retail investment property on a corner lot at S Los Angeles Street and 11th Street, in the heart of the Downtown Los Angeles Fashion District. Originally constructed in 1922 and comprehensively rebuilt in 2009 with all new electrical, plumbing, HVAC, roof, structure, bathrooms and elevator — plans, permits, and final inspections are available for review.
Net operating income grew 4.4% year over year to $251,516 in 2025, and 2026 collections through June total $163,160. Four units are currently vacant — the current run-rate NOI is $163,621, while full lease-up at today’s (below-market) rents pencils to $264,421, a $100,800 annual lease-up upside before any rent growth. All 15 units feature individual electrical sub-meters, keeping owner-borne utility costs low.
The thesis is straightforward. Rents have been held roughly flat for about a decade and sit below current Fashion District market, and four units are available today. Lease the vacancies and reset rents to market on turnover — every active tenant is month-to-month — and income, NOI and value move well above the in-place figures, while in-place cash flow carries the asset through the transition. An owner-user can take space on their own timeline.
Ideal for 1031 exchange buyers, owner-users, international investors and private capital.
| Listing ID | 40992429 |
| Property type | Storefront Retail / Office |
| Building size | 15,229 SF · 15 units |
| Price per SF | $325.04 |
| Cap rate | 5.08% (2025 actuals) · 3.31% run-rate · 5.34% stabilized |
| NOI | $251,516 (2025) · $163,621 run-rate · $264,421 stabilized |
| Occupancy | 11 of 15 units occupied · 4 vacant (~27% lease-up upside) |
| Tenancy | All active tenants month-to-month |
| 2026 collections | $163,160 through June |
| Year built | 1922 · comprehensively rebuilt 2009 |
| Building class | C |
| Stories | 2 |
| Lot size | Corner lot · ±7,841 SF (0.18 AC) |
| Building FAR | 1.95 |
| Zoning | M2-2D |
| APN | 5145-020-005 |
Three cases shown for transparency — 2025 actuals per owner P&L, the current run-rate with four units vacant, and full lease-up at today’s below-market rents. Market rents are likely higher; a current rent survey is available on request.
| 2025 actuals | NOI $251,516 · 5.08% cap · 15 of 15 occupied |
| Current run-rate | NOI $163,621 · 3.31% cap · 11 of 15 occupied |
| Stabilized | NOI $264,421 · 5.34% cap · full lease-up at current rents |
| Lease-up upside | $100,800 per year — before any mark-to-market |
Owner-provided figures at the $4,950,000 asking price; unaudited — buyers should verify independently.
Most Downtown buildings of this vintage carry a hundred years of deferred maintenance. This one does not. The 2009 rebuild replaced every major system under permit, and the record below is documented with LADBS permit numbers rather than described in adjectives.
Permit and case numbers as recorded with LADBS. Buyers should verify independently as part of due diligence.
The Fashion District is Downtown LA's most active retail corridor — and this corner is at the center of it. Exceptionally walkable, exceptional public transit, and surrounded by national retail and banking: Starbucks, Grocery Outlet, Chase, Bank of America, U.S. Bank, plus Orangetheory, SoulCycle, and CorePower Yoga within the immediate trade area.
Downtown Los Angeles' Fashion District is one of the most heavily trafficked retail corridors in Southern California, and signalized corner positions within it are finite. This asset combines that location with something rarer: a building that has already absorbed its capital expenditure.
The economics are unusual in a good way. You acquire in-place income at a 5.08% cap on 2025 actuals — while inheriting two distinct sources of upside. Four of the fifteen units are vacant today, worth roughly $100,800 a year at current below-market rents once leased, taking the stabilized cap to 5.34%. On top of that sits roughly a decade of deferred rent growth: because every active tenant is month-to-month, the path to market rent does not require waiting out long lease terms, and an owner-user can take space on their own timeline.
That combination — current cash flow, completed capital work, immediate lease-up, and a documented gap between in-place and market rents — is what separates a value-add opportunity from a yield purchase. The upside here is not speculative; it is arithmetic.
Market context reflects Downtown Los Angeles reporting current to mid-2026 and is provided as general context, not as a forecast or an appraisal.
A 5.08% cap rate on $251,516 of 2025 net operating income at the $4,950,000 asking price — $325.04 per square foot across 15,229 square feet. On the current run-rate, with four units vacant, the cap is 3.31%; stabilized at full lease-up on today’s below-market rents it is 5.34%.
Two places. Rents have not been materially increased in about ten years, so the spread between in-place and market rents is the mark-to-market thesis — and four of the fifteen units are vacant today, worth roughly $100,800 a year at current rents once leased. Month-to-month tenancy means you do not have to wait out long leases to capture either.
Following a 2008 fire the property was comprehensively rebuilt in 2009 — new electrical, plumbing, HVAC, roof, structure, bathrooms and elevator. Plans, permits and final inspections are available for review.
Yes. Because tenancy is primarily month-to-month, an owner-user has unusual flexibility to take space over time while continuing to collect income on the balance of the building.
Yes. It is income-producing commercial property that qualifies as like-kind replacement property, and month-to-month tenancy makes the 45-day identification and 180-day closing timeline easier to manage.
Zoned M2-2D. The building is 15 units and 15,229 square feet over two stories on a ±7,841 SF (0.18-acre) corner lot, with a 1.95 FAR, originally built in 1922 and comprehensively rebuilt in 2009. APN 5145-020-005.
Exceptionally. The corner scores 100/100 for walkability and 100/100 for public transit, with a bike score of 80 — among the strongest mobility profiles in Downtown Los Angeles.
Varied, and that is part of the appeal. The ground-floor suites range from raw creative space with exposed wood truss ceilings and full street-front glass, to finished retail with fitting rooms and slat-wall fixturing, to a styled showroom suite. Several units retain original 1922 structure overhead while carrying modern HVAC, lighting, and flooring — the look tenants in this corridor actively want.
The heart of the Downtown Los Angeles Fashion District, on a signalized corner. National retail and banking in the immediate trade area include Starbucks, Grocery Outlet, Chase, Bank of America, U.S. Bank, plus Orangetheory, SoulCycle and CorePower Yoga.
K2 Investment, Inc. · Realtor & Investor · 35+ years in Napa Valley and Los Angeles
Co-listed with Bobak Kalhor, K2 Investment, Inc..
CA DRE #00908799
Direct (323) 541-6434 · Office (213) 624-0490
sk@k2investments.com · k2investments.com
Equal Housing Opportunity. All information is deemed reliable but not guaranteed and is subject to change, prior sale, or withdrawal without notice.
Financial information, including net operating income, cap rate, and lease terms, is provided by ownership and is deemed reliable but not guaranteed. Buyers should conduct their own due diligence and independently verify all figures, measurements, zoning, and permit documentation.