Perpetually vacant property revisited.
Our client had invested in the business of a tenant of a two-unit building in downtown San Pedro. The business had been at the location for over 70 years, but the current owners eventually made the decision to abandon the space. Our client managed to convert their interest in the business to a partial ownership of the building. In the meanwhile, their new partner in the building had been attempting to open a new business in the other unit, but without success. This left the now unfinished property completely vacant and unattended to for a few years. Our client wanted to change this.
We were first approached to provide a cursory valuation of the property based on market comparables and the client used this information to make an offer for full ownership of the property. After they had full control, we were then asked to find suitable tenants for the space, but with the catch that the tenants would be responsible for bringing the building to code with modest assistance from the landlord. We marketed the property, screened multiple offers and prospective tenants for the two units, and successfully leased out both units.