New Co-Ownership Opportunity:
EXCEPTIONAL VALUE IN PRIME LOCATION: Discover this beautifully renovated one-bedroom (900 sq ft) in the historic Robinson Residences for just $295,000, an incredible value with comparable units in the area selling for $500,000+! This top-floor corner unit showcases a recent $50K renovation with premium stainless steel appliances and designer finishes throughout.
INVESTMENT OPPORTUNITY: Currently tenant-occupied at $2,295/month with projected upside potential to $2,995/month. Keep the existing tenant for immediate cash flow or take possession for your own residence. Monthly income breakdown for investors: Incoming rent: $2,295, HOA fee: $200, Seller financing payment: $568.75, Monthly balance to owner: $1,526.25.
FLEXIBLE FINANCING OPTIONS: All cash buyers preferred; seller financing available at 3% interest-only for qualified buyers with 700+ FICO score. Financing term runs 12 months or until TIC conversion completion (anticipated within 8-10 months). Down payment of 50% required for financing.
PRIME LOCATION & AMENITIES: Ideally situated minutes from Silver Lake, Echo Park, and Downtown LA. The Robinson Residences features stable HOA fees ($200/month) covering common area maintenance and shared utilities.
SEAMLESS OWNERSHIP TRANSITION: This co-ownership opportunity transitions to TIC ownership within 8-10 months, offering: Direct ownership of your specific unit. Ability to refinance with traditional TIC lendersFreedom to sell without LLC approval. Proportional responsibility (1/8th) for property taxes and building insurance. Protection from other owners’ defaults.
Q: How is the seller financing structured?
A: The seller financing is structured as interest-only, meaning your monthly payments cover only the interest portion without reducing the principal balance during the term.
Q: What is the interest rate on seller financing?
A: The interest rate is 3%, which is significantly below market rates for co-op properties (typically 5-7%).
Q: Why choose an interest-only loan structure?
A: This structure provides lower monthly payments during the transition period to TIC ownership, making the property more affordable during this interim phase.
Q: What is the balloon payment and when is it due?
A: The balloon payment is the remaining principal amount due at the end of the loan term. For example, on a $295,000 property with 50% down payment, the balloon payment would be $147,500.
Q: What happens if the TIC conversion takes longer than 12 months?
A: If conversion takes longer than 12 months, the seller will extend the financing under the same terms until conversion is complete. This provision can be added to your contract.
Q: What if conversion happens earlier than expected?
A: If conversion happens earlier than 12 months, the financing will terminate at conversion, as you would then be eligible for traditional TIC financing.
Q: How is rental income handled during the co-op period?
A: The property management calculates your monthly income as follows:
Q: How stable is the HOA fee?
A: The HOA fee has remained stable at $200 for the past three years, with only one $25 increase during that period. Any future increases would be voted on by all owners.
Q: Can I sell my property during the co-op period?
A: During the co-op period, selling requires LLC approval. After TIC conversion, you will have full rights to sell your unit independently without LLC approval.
Q: What utilities does the HOA fee cover?
A: The HOA fee covers common area utilities only (hallway lighting, water for landscaping, common area maintenance).
Q: What utilities am I responsible for as the buyer?
A: You will be responsible for electricity, trash, and gas for your unit, plus 1/8th of water and sewage usage for the building.
Q: How are property taxes and insurance handled?
A: You will pay exactly 1/8th of the property tax and insurance regardless of occupancy in other units. This proportional division continues after TIC conversion.
Q: Am I responsible if another owner defaults?
A: No. The TIC agreement includes specific language that limits each owner’s liability to their proportional share. If another owner defaults, you will not be responsible for covering their obligations.
Q: What happens to the current tenant after conversion?
A: The current lease requires the tenant to vacate upon TIC conversion with 60 days’ notice. However, if you wish to keep the tenant, you can negotiate a new lease directly with them after conversion.
Q: What changes after converting from co-op to TIC?
A: The primary changes will be:
Q: How long will the conversion process take?
A: The conversion is already underway with an anticipated completion within 8-10 months.
Q: What does the conversion process include?
A: The process includes final legal documentation and recording of TIC agreement, individual owner notifications, tenant notifications, transfer of utility responsibilities, and new insurance arrangements.