Year Built: 1925
Units: 172 Rooms
- 725 S Westlake Ave, The Olympic is a unique 172-room apartment building and hotel located in the heart of Westlake between 7th and 8th Street, adjacent to MacArthur Park; a location just over one mile to Downtown Los Angeles that is surrounded by new developments, employment and education opportunities that contribute to significant rent growth year-over-year in this rapidly gentrifying neighborhood.
- Built in 1925, the Olympic was originally a hotel which has been partially converted to include 31 apartment units and 141 weekly rentals. 82% of the building is rented weekly for a rate of $225 per week plus a $25 key deposit, with up to three weeks stay. All 172 rooms are 150 square foot singles with private bathrooms.
- The building is comprised of four-story reinforced brick that features a massive lobby, two large basement areas, a courtyard, and the original Olympic Hotel signage. The north basement area has access to the back alley, this space could potentially be leased for additional income.
- Prime opportunity to acquire a 172-room building in Westlake with a projected 7.69% CAP rate when fully occupied at market rates. Very low price per unit of $104,360.
- This offering presents the investor the opportunity to acquire a hotel with the potential to continue operating as a hotel with weekly or daily rentals. Alternatively, a complete apartment complex lease-up has the potential to yield the highest net income with lower expenses than operating a hotel.
- The original certificate of occupancy from 1926 declares the property as a “Four-story, Class C, 172 Rooms Hotel”. Prospective buyers are responsible for evaluating the legality of running short term rental and hotel operations.
- This historic hotel has been features in movies, television commercials, and shows which provide an additional source of income for the current owner when leased for filming.
- The subject property has an incredible walk score of 96, a “Walker’s Paradise” recognized for its unparalleled access to dining, shopping, parks, schools, amenities and entertainment; and is a two-minute walk to the Metro Purple and Red Line.
- Westlake is the second-most dense neighborhood in Los Angeles County, according to the Los Angeles Times; its rental market continues to thrive as it is in the center of high-growth neighborhoods such as Pico-Union, Koreatown, Echo Park and Downtown Los Angeles