【California】
It has many world-famous cities, such as San Francisco, known for the Golden Gate Bridge, and Los Angeles, home to Hollywood.
Silicon Valley, the center of the IT industry, is a high-value investment region with high growth and innovation, attracting numerous technology companies.
The state also boasts a diverse range of attractive landscapes, from natural heritage sites like Yosemite National Park to beautiful beaches and vast deserts.
The abundant sunshine and mild climate make it a very popular place to live, not just for tourism.
【Los Angeles】
The City of Los Angeles is the largest city on the U.S. West Coast.
A world-famous entertainment hub.
Hollywood is home to numerous movie studios, Beverly Hills features mansions of celebrities, and the city’s warm climate, beaches, and diverse culture attract many tourists throughout the year.
In recent years, as the population continues to grow, new housing supply has not kept pace. This has led to an increase in real estate prices, creating high investment value.
The presence of key logistics hubs like Los Angeles International Airport and the Ports of Los Angeles and Long Beach, along with the active entry of companies from various sectors such as IT and finance, further enhances its appeal as an investment destination.
【Basic Information on Los Angeles】
Our Los Angeles Real Estate Investment Strategy
— Why Hollywood Rental Apartments Maintain “Strong Demand” and Asset Value —
Los Angeles is one of the most stable and in-demand rental markets in the United States.
Among its neighborhoods, Hollywood and the Westside stand out as hubs for the film and entertainment industry, tech companies, and world-famous tourist destinations.
Rental apartments in these areas often command high rents—even if they are decades old. The main reason is strict regulations on new construction in prime locations, which makes well-located properties extremely limited in supply. As a result, even older apartment buildings maintain strong value and consistent occupancy rates.
The Advantages of the Los Angeles Real Estate Market
◯Strong rental demand: Continued population growth and a lifestyle preference for renting
◯Scarce prime locations: New developments in central areas are highly restricted, keeping values stable
◯Consistent income: Long-term ability to maintain high occupancy rates and rents
According to U.S. Census Bureau data, rental housing demand in Los Angeles County has increased by approximately 12% over the past decade. This growth is driven not only by population gains, but also by lifestyle changes favoring flexibility and mobility.
Our Investment Strategy: The Value-Add Approach
We specialize in operating small-scale apartment buildings of 8 to 15 units located in the heart of Hollywood and the Westside.
These properties, typically built in the 1970s or 1980s, undergo extensive renovations after acquisition to significantly enhance their value.
Our renovation process includes:
◯Upgrading kitchens and bathrooms to modern specifications
◯Updating flooring, lighting, and interior design to contemporary styles
◯Improving building exteriors and common areas for aesthetics and safety
◯Retaining only the outer structure of each unit and rebuilding almost entirely, delivering a product with the quality of new construction
This comprehensive transformation ensures that, despite the original construction year, the living spaces meet modern standards and can command premium rental rates.
Before
After
Benefits of the Value-Add Strategy
- Increased rental income: Renovated units attract high-paying tenants in competitive markets
- Enhanced property value: Significant upgrades raise resale potential
- Stable occupancy rates: Modern, safe, and comfortable living spaces encourage long-term tenancy
Unlike short-term flipping, this approach focuses on medium- to long-term asset growth, making it well-suited for investors seeking stable, sustainable returns.
Why Hollywood Rental Apartments Maintain Strong Demand
◯Entertainment industry hub: Home to film, music, and television professionals
◯Excellent transportation access: Short commute to key business districts and attractions
◯Convenience: Restaurants, shopping, and cultural facilities within walking distance
These advantages create constant demand from a variety of tenant groups, minimizing vacancy periods. One- and two-bedroom units in particular see consistently high competition and strong lease renewals.
Stability as an Investment Asset
Rental properties in central Los Angeles are less vulnerable to economic fluctuations thanks to the city’s scale, employment opportunities, and cultural appeal.
Additionally, U.S. rental markets generally experience less downward pressure on rents compared to Japan, allowing for more stable lease terms over time.
Property Overview
●Location: Central Los Angeles (Hollywood & Westside)
●Size: 8–15 unit apartment buildings
●Unit Size: 70–140 m² (approx. 750–1,500 sq ft)
●Rental Range: ¥200,000–¥500,000 per month (approx. $1,500–$3,500 USD)
●Construction Era: 1970s–1980s
●Management Approach: Acquisition of well-located older apartments, near-total reconstruction retaining only the outer frame to achieve new-construction quality, enabling premium rental pricing through the value-add strategy
In major cities like Los Angeles, where new construction supply is extremely limited, combining prime location with comprehensive quality upgrades is the key to maximizing asset value.
Our approach leverages this strategy to provide investors with both stable returns and long-term capital growth.