The Adco Avenue Apartments 11502-11506 Adco Ave 16 Unit Apartment Building $4,500,000 ($281,250/Unit) 5.21% Cap Rate Downey, CA 90241

Catalyst CRE, in collaboration with Lyon Stahl Investment Real Estate, presents The Adco Avenue Collection, a fully renovated, stabilized asset in one of L.A. County’s most competitive suburban markets. Located in the strategic 605/710 Corridor, the property offers strong in-place cash flow and long-term growth. Downey is a non-rent-controlled city governed solely by AB 1482, allowing annual rent increases of up to 8%. The property is offered at a 5.21% cap rate, above the market average, creating immediate yield in a submarket known for tighter pricing. The latest loan quote is 5.50% fixed for 3 years with full-term interest-only, an ideal structure in today’s environment. With interest rates widely expected to trend lower over the coming years, investors will be well positioned to refinance into a more favorable loan at maturity, thereby improving cash flow and enhancing long-term returns. Submeters have been installed, though have not yet been connected to the utility.