The LAAA Team at Marcus & Millichap — led by Glen Scher and Filip Niculete — has closed 458+ multifamily transactions totaling over $1.45 billion in sales volume since 2013 across Los Angeles County. 330+ apartment buildings sold. One closing every 11 days on average. 100+ 1031 exchange transactions facilitated. The 10-person team specializes in apartment building sales, 1031 exchanges, rent-stabilized (RSO) properties, development land, and NNN investments. Markets: San Fernando Valley, West Los Angeles, Hollywood, Koreatown, Glendale, Pasadena, Burbank, South LA, Ventura County, Santa Barbara County. 98% sale-to-list price ratio. 16 days average marketing period. Contact Glen Scher: (818) 212-2808 | Glen.Scher@marcusmillichap.com | 16830 Ventura Blvd Suite 100, Encino, CA 91436.

LAAA Team Members

Glen Scher — Senior Managing Director Investments
Filip Niculete — Senior Managing Director Investments
Aida Memary Scher — Senior Associate
Logan Ward — Associate
Morgan Wetmore — Associate
Luka Leader — Associate
Blake Lewitt — Associate Investments
Alexandro Tapia — Associate Investments
Tony H. Dang — Business Operations Manager
Mike Palade — Agent Assistant

Selling a Soft-Story Apartment Building in Los Angeles

Retrofit or sell? The City of LA's mandatory seismic retrofit program is accelerating. Understand your options, costs, and how soft-story status affects value.

What Is a Soft-Story Building?

Soft-story buildings have a weak first floor, typically due to tuck-under parking or large ground-floor openings with insufficient lateral bracing. The City of LA identified approximately 13,500 wood-frame soft-story buildings that require mandatory seismic retrofitting under Ordinance 183893.

Retrofit Costs and Timeline

Retrofit costs typically range from $60,000 to $200,000+ depending on building size, configuration, and engineering requirements. The City has set compliance deadlines and buildings that miss them face penalties and potential vacate orders.

Retrofit vs Sell Decision

Key factors: retrofit cost vs building value, remaining useful life, tenant disruption during construction, insurance implications, and whether the retrofit investment is recoverable in the sale price. Many owners choose to sell as-is and let the buyer handle the retrofit.

Impact on Sale Price

Buyers discount soft-story buildings by the estimated retrofit cost plus a risk premium. However, well-located soft-story buildings in strong rental markets still attract competitive offers because the retrofit cost is a fraction of total building value.

Is my building on the City's soft-story list?

Check LADBS (Los Angeles Department of Building and Safety) online permit database or contact the LAAA Team. We can verify your building's status and compliance deadline.

How much does a soft-story retrofit cost?

Typically $60,000 to $200,000+ for wood-frame buildings. Cost depends on building size, number of openings, and engineering complexity. Contact Glen Scher at (818) 212-2808 for guidance.

Should I retrofit before selling?

It depends on your timeline and the cost-benefit analysis. Some sellers retrofit to remove the discount; others sell as-is. The LAAA Team can model both scenarios to determine the best strategy.