Westlake Plaza | Value-Add Los Angeles Strip Center

Highlights:

• Established Multi-Tenant Roster: Currently 89.64% leased to 19 service-oriented and food tenants, providing immediate cash flow. Nine leases are either month-to-month or set to expire by 2027, offering near-term repositioning and rent growth potential.
• Significant Value-Add Opportunity: In-place rents average $1.44/SF NNN compared to market rents of $2.00–$2.75/SF NNN, creating a clear path to increased NOI through lease-up of two vacant units and re-tenanting at market rates.
• Prime Retail Location: Located along high-traffic Paramount Boulevard (±21,000 VPD), and the ±36,000 VPD intersection of Paramount Boulevard & Candlewood Street. The property benefits from monument signage, excellent visibility, and convenient access for customers.
• Ample On-Site Parking: 87 surface parking spaces (3.98/1,000 SF ratio) support customer convenience and tenant operations.
• Proximity to Dense Population Base: Situated in a dense infill trade area with over 230,000 residents within a three-mile radius and exceptional consumer spending power, including $2.6 billion in annual retail expenditures.
• Stable Market Fundamentals: Located in the Mid-Cities submarket, known for below-average vacancy rates, stable leasing demand, and limited new retail development, supporting long-term occupancy stability.

Description:

Graystone Capital Advisors is pleased to present a compelling value-add investment opportunity at 5237–5263 Paramount Boulevard, Lakewood, CA. This ±21,882 square foot, multi-tenant retail center is situated on 69,696 SF (±1.60 AC) in a dense, infill Los Angeles County location. Positioned along the high-traffic corridor of Paramount Boulevard (±21,000 VPD), and the ±36,000 VPD intersection of Paramount Boulevard & Candlewood Street. The property offers strong visibility, monument signage, and 81 onsite parking spaces (3.7/1,000 SF).

Offered at a list price of $5,950,000, Westlake Plaza delivers a 5.82% current cap rate and price per square foot of $271.91, supported by stable in-place income and significant upside potential. The property is currently 89.64% leased to 19 tenants, with 13 leases set to expire or on month-to-month terms by 2027, including two vacant suites. Current in-place rents average $1.47/SF NNN, substantially below estimated market rates of $2.00–$2.75/SF NNN, providing an opportunity to capture mark-to-market rental growth. Pro forma stabilization projects a 7.36% cap rate through lease-up and rent increases.

The NNN lease structure minimizes landlord responsibilities, ensuring predictable cash flow. Short-term lease rollover provides the ability to re-tenant at market rates, with projected pro forma annual rental income increasing from $378,590 (current) to $488,937 upon stabilization.

Situated in the heart of the Mid-Cities retail submarket, the property benefits from exceptional consumer spending power, over 230,000 residents within a three-mile radius, a daytime population of over 7,500 within one mile, and proximity to national retailers and the Lakewood Center mall. The Mid-Cities submarket is known for its below-average vacancy rates, strong tenant retention, and limited new development, providing a stable foundation for neighborhood-serving retail.

With its dense infill location, strong leasing fundamentals, and substantial mark-to-market potential, Westlake Plaza offers investors a rare opportunity to acquire a well-located retail asset in one of Southern California’s most supply-constrained submarkets. This investment combines in-place cash flow, operational stability, and clear upside through strategic leasing and repositioning—ideal for both seasoned and first-time investors seeking long-term returns.

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