This loan is a second deed of trust on an apartment building in Carson, CA. Carson is a city in Los Angeles County, specifically in the south bay region, located thirteen miles south of downtown Los Angeles and approximately fourteen miles from Los Angeles International Airport. While Carson is well known as an industrial center with unparalleled access to transportation and the Pacific Rim, it is also a culturally diverse community that is an attractive place to live and work. The subject property was built in 1973 and has a total of thirty-six units. There are six two-story apartment buildings, two auxiliary detached single-story laundry rooms, three detached and one attached carport structures. The net rentable area is 21,324 square feet. Many of the units have carpet and vinyl tile flooring. Over the last few years, the units have been renovated as they became vacant, with new kitchen and bath cabinets, upgraded granite countertops, and built-in microwave, a new range oven, dishwashers, and garbage disposals. The only vacant unit is currently being renovated. Parking adequacy is average, with sixteen tuck-under spaces and fifty-one carports located on the sides of the buildings. In addition, there is also a swimming pool and recreation room on site.
The landlord provides cold & hot water, trash collection, and sewer fee. The Borrower purchased the property in 2017 and will continue to hold it as a long-term rental. The property currently generates $55,683 per month in rental income with a YTD total income of $653,678.41. The first deed of trust on the property is with conventional lender JPMorgan Chase Bank at a 4.53% interest rate and matures in March 2048. The current unpaid principal balance of the first is $4,4585,249.82. The loan aims to consolidate the junior liens and provide cash out for business capital and minor property repairs. On or before maturity, the Borrower will refinance the total debt with a conventional lender.
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