Variel Court Apartments, a 72-unit apartment building in Canoga Park, has sold for $9.85 million, according to commercial real estate brokerage Sperry Van Ness - Rich Investment Real Estate Partners in Los Angeles.
Sunnycrest Real Properties of Los Angeles bought the two-story complex at 8305-8325 Variel Ave. from Mitchell Burger of Variel Investors.
The buyer bought the 53-year-old complex because it believes it may be able to increase rents at the apartment complex, according to Sperry, especially given the 7 percent rise in apartment rents citywide. Sunnycrest’s plans for the complex include common area improvements and interior renovations.
“The reality is that most of the value in the existing inventory of available apartment opportunities in Los Angeles has been fully realized and priced accordingly,” said Dan Baird, a managing partner of Sperry, who negotiated the deal on behalf of both the buyer and seller along with Brian Heller and Michael Chang. “Variel Court was a rare Los Angeles opportunity to capitalize on a 70-plus unit complex that had all of the value-add upside levers still intact.”