Mark borman
1451-1473 E 4th Street, Los Angeles, CA 90033
ADDRESS
1451-1473 E 4th Street, Los Angeles, CA 90033
LOCATION
Boyle Heights
HISTORY
Two adjacent, one and two story brick and concrete buildings totaling 45,000 square feet on 42,423 square feet of land, built in 1924 and expanded in 1956. The property was owned from 1983-2015 by the Tanner & Fricke Paper Company.
DESCRIPTION
Change of use from warehouse to creative office and full renovation of the buildings, including a complete mechanical upgrade, restoration of the original doors and windows, and reconfiguring the interior space to appeal to a range of creative office users.
SQUARE FOOTAGE
45,000 sf building / 42,423 sf land
GENERAL FEATURES
Complete mechanical upgrade including 2,000 amp electrical vault, plumbing, high efficiency heating and air conditioning systems, fiber optic / Converted a rail spur into an elevated walkway and multi functional surface lot / Converted a freight elevator into a passenger elevator / Polished concrete floors / Restoration of the original doors and windows / Custom monumental door and window system / Restoration of original building elements / Custom kitchens, executive offices, conference rooms and restrooms
CASE STUDY
Located at the edge of the 4th Street Bridge and just east of the Los Angeles River in Boyle Heights, 1451-1473 E 4th Street, constructed in 1924 and expanded in 1956, is a combination of one and two story brick and concrete buildings totaling 45,000 square feet on 42,423 square feet of land.
As an active developer of creative offices in downtown Los Angeles, The Borman Group saw the opportunity to provide a high quality offering at a discounted rental rate to the neighboring Arts District.
In an off market transaction in June 2015, The Borman Group acquired the property from the Taverner & Fricke Paper Company, a longstanding owner / user of the property since 1933.
At the time of purchase the property had been subdivided into 23 units, occupying uses ranging from storage to light industrial. The building and property condition needed substantial improvements to bring it up to current building and safety code.
The Borman Group facilitated the relocation of all tenants and reconfigured the property for greater efficiency of space and greater appeal to the creative office market.
Work included change of use from warehouse to creative office, replacing all of the doors and windows, upgrading the utilities including a power upgrade, fiber optics, HVAC and plumbing. They converted an old railway spur into an elevated sidewalk and patio, a multi functional surface level lot that serves as the storm water drainage system for the property, parking and recreation use for private events. Fit and finish for each unit was unique to each space, and included at a minimum: a custom kitchen, bathrooms, executive offices and conference rooms.
The Borman Group branded the property The Bridge and Corner and fully leased the units to a mix of creative office users including an international creative advertising agency, a fashion company, a social impact company, a transportation technology company and a high-end audio equipment company.
FINANCIAL RESULTS
Acquired: 2015
Purchase Price: $8,670,000 / $193 psf bldg / $205 psf lnd
CAPEX, TI, LC Costs: $3,719,042 / $83 psf bldg
Total Cost: $12,389,042 / $275 psf bldg / $292 psf lnd
Annual Rental Income: $1,400,000 (11% ROC)
PHOTOS
BEFORE
AFTER
