The LAAA Team of Marcus & Millichap is pleased to present 1142-1144 16th St, a very well located duplex in Santa Monica, CA. Situated just North of Wilshire Blvd, this primely located property is right next to the beautiful UCLA Santa Monica Medical Center.

This duplex sits on a large 7,513 square foot lot with an alley behind where the tenants will find convenience access to a 3-car garage and a back entrance to the property. Both units offer the tenants a private and separate outdoor area, giving each unit the feel of a single family house. The front house is a large 1,748 square foot, 3 Bed / 2 Bath unit with a private front yard. The back house is a large 945 square foot, 2 Bed / 1 Bath unit with a private backyard and back entrance to the unit. Also, the property's exterior has been significantly updated over the years with a recent new roof, electrical, and plumbing systems. 

This property offers a great owner-occupy and/or a great value add opportunity. Both of the units are currently occupied and paying lower than market rents. We estimate over 35% upside in current rent potential. Furthermore, a very exciting and straight forward way to add value to this property would be to convert the existing 3-car garage into a 495sf 1-bedroom ADU.

This ADU conversion is estimated to cost $150,000 ($300 / sqft) for all construction costs, engineering fees, and permit fees, which is significantly less than the value that the ADU will create. To demonstrate the ADU's finished value, recent sale comparables of nearby triplexes in Santa Monica are selling for an average of $1,000 per SqFt. This suggests the ADU would be worth around $495,000 in value, giving the buyer a $345,000 net value-add opportunity. Also, this ADU is expected to bring in$3,700 per month in gross rental income. Taking away some expenses for that unit, we assume the ADU will bring in $39,000 in net income each year. If our assumptions are correct, converting the garage to an ADU will give the buyer a 26% Return-on-Investment  ($39,000 NOI / $150,000 costs).

To summarize, the Buyer can own a primely located triplex in Santa Monica for about $2,800,000 after buying the current duplex and adding the ADU. Reach out to the listing agents for a financial summary of what the buyer's total costs and returns would look like after finishing the ADU conversion.

This property at 1142 16th St, Santa Monica, is perfect for families, located in a highly sought-after area renowned for its excellent schools. Franklin Elementary School (K-5) and Lincoln Middle School (6-8) are both highly rated and within a mile of the property. Santa Monica High School (9-12), also nearby, ensures quality education through all school levels.
For private education, Garden Of Angels School (PK-1) and Pacifica Christian High School (9-12) are just a short distance away, with Lighthouse Church School (K-12) also conveniently close. The variety of excellent schools within such close proximity makes this Santa Monica location ideal for families seeking a top-notch educational environment for their children.