Apartment, SOLD

East Vancouver 51-Suite Apartment Building Sells for $21 Million

A 51-suite apartment building at the corner of Knight Street and East 15th Avenue, across from Clark Park has sold for $21,000,000.

The 5-storey concrete building was completed in 2017 by Conwest Developments, the vendor. It has 31,225 SF of rentable area in a mix of one studio, 32 one-bedroom and 18 two-bedroom suites. It also has 25 secured underground parking stalls, 38 storage lockers, in-suite laundry and a private garden. It sits on a corner lot in Kensington-Cedar Cottage zoned CD-1.

The property was marketed at $24,500,000 and sold about 14% below that ask. At $411,765 per unit, the price lines up with what newer, well-located East Van purpose-built rentals are trading for. The 5.1% cap rate is based on the marketing net operating income of $1,070,896. A buyer of a 2017 concrete building is paying for low near-term capital needs. The vendor’s materials noted good physical condition and no significant capital expenditures.