11700 Magnolia Blvd, Los Angeles

our representation of the buyer in the acquisition of Magnolia Nineteen, a striking mixed-use property in the heart of Valley Village. This transaction demonstrates how informed market insight and steady negotiation can produce exceptional outcomes.

Property Overview

Magnolia Nineteen, located at 11700 Magnolia Blvd, is a distinctive architectural property designed by the AIA Gold Medal winning firm Brooks + Scarpa. It includes 19 loft-style residential units with 18-foot ceilings and one ground floor retail space. The corrugated metal exterior, open air walkways, and thoughtfully planned rooftop areas set it apart from typical multifamily offerings and create an appealing living environment for residents.

Deal Story

We began working with the buyer, a tech executive who experienced a successful exit by way of acquisition, in late 2024. His goal was to use a 100% Bonus Depreciation strategy to offset a significant capital gain, which required closing before the end of the 2025 tax year. Early on, we ruled out ground-up development opportunities due to timing and risk, and instead targeted newer, stabilized properties that could reliably deliver full bonus depreciation.

Throughout 2025, we evaluated dozens of on- and off-market stabilized properties, but none met the buyer’s criteria until September, when Magnolia Nineteen (originally listed at $11,250,000) had been reduced multiple times to $8,600,000. It checked every box. We presented it the same day.

Our tour the next day confirmed that the building’s architectural quality and overall condition were a strong fit, and the buyer submitted an offer that same day. Working collaboratively with the listing agents, another experienced Marcus & Millichap team, we secured acceptance and moved into escrow shortly thereafter.

The escrow process proceeded smoothly, with only a few minor maintenance items identified. The seller addressed all of them prior to closing. We closed at $8,525,000 in December 2025, 33% below its July 2021 appraised value of $12,700,000 and well below its early-2025 asking price. We met an important tax-planning deadline and secured a high-quality asset at a price supported by current market conditions. With respect to the buyer’s 100% bonus depreciation objective, this acquisition is expected to generate approximately $2,000,000 of first-year depreciation through a cost segregation study.

To support the financial performance of the investment, we assisted the...