Hollywood Just Printed a 8.8 going-in GRM
An 18-unit Hollywood property closed at an 8.8 GRM and broker stated 7.34% cap, giving me another data point for older multifamily product in Hollywood.
At a glance
closed May 22, 2026
3-parcel portfolio, Feb 2026
1 × 1BD · 17 × 2BD
per door
14,977 gross SF
at close, verified
at close
in-place, reported
LARSO applies
LARD2 zoning
1.1 per unit
vs. portfolio ask
What matters
- Investors are now accepting sub-9 GRMs again. This 18-unit traded at an 8.8 going-in GRM and a 7.34% cap rate. Just a few years ago those numbers would have been difficult to find in Hollywood. I'm watching closely to see if 8–9 GRMs become the new range for older apartment buildings.
- Two-bedroom unit mixes continue to attract buyers. 17 two-bedroom units (94%) 1 one-bedroom Average size: 797 SF
- Parking still matters. With 20 parking spaces for 18 units, this property avoids one of the biggest leasing challenges I continue to see across Los Angeles. Parking remains a meaningful competitive advantage for older multifamily assets.
- Track the buyers, not just the buildings. The buyer continues expanding a Los Angeles apartment portfolio. I spend as much time tracking who is buying as what is selling.
What an Operator Sees
This isn't the prettiest building in Hollywood, and that's exactly why I found the sale interesting. Despite its average appearance, it still traded at an 8.8 going-in GRM and a 7.34% cap rate—another sign buyers are willing to pay for stable cash flow in well-located Los Angeles apartments. Buildings like this also tend to have lower resident turnover than newer luxury product, creating more predictable operations and fewer costly unit turns. I'm watching to see whether more older apartment buildings begin trading in this range, because that's how new market pricing gets established.
Building something bigger.
I track every multifamily sale in Los Angeles so you don't have to.
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OMs: David@AtlasBrief.LA
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Write to David Safai at David@AtlasBrief.La
Appeared in the July 18, 2026 edition of The Tape.