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Redondo Tower, just west of Granada Avenue at 425 W. Paseo Redondo, was built in 1961 and has 96 units in the nine-story structure.

bought the building in 2022 for $27 million and is making extensive renovations to the units as they are vacated.

Earlier this year, real estate investment company secured a $26 million refinancing on behalf of the owner for renovations.

As single-family home values have remained steadfast and rent prices have leveled out, VSV decided to convert the tower into condominiums instead of continuing to operate them as rentals, Berkadia said.

“The market continues to evolve – as apartments struggle to retain or grow value in the face of higher interest rates and slower growing rental income, some apartment properties are better suited to exit as condominiums, which can be a mutually beneficial solution in areas with housing supply constraints and or lack of affordability,� said Joseph Dietz, consultant to the project on behalf of Vertical Street. “Redondo Tower checked a lot of boxes for viability as a condo.�

The units are selling with a starting price of around $289,000 for studios and up to $550,000 for two-bedroom units on the ninth floor. They range in size from 890 square feet to 1,186 square feet.

The monthly homeowner’s association fee will be $250 for a studio, $350 for a 1-bedroom and $450 for a 2-bedroom. That includes water, gas, trash, high-speed internet and access to an exercise room, meeting rooms and pool with outdoor grills.

As leases expire and tenants move out, the units are coming online for sale, said Louis Parrish, with , who is heading the sales team for Redondo Tower.

There are currently 14 vacant units and over 40 homebuyers in the queue interested in a condo since the project began accepting inquiries at the end of May, Parrish said.

Interest has come from downtown professionals who want to live near their jobs, retirees, and parents of university students who see it as a good investment that can be sold after graduation.

“There’s something to be said about off-campus living to focus on studies,� Parrish said.

Both streetcar and city bus stops are steps from the complex.

The average price of an existing home for sale in the ÃÛèÖÖ±²¥ market was $426,225 in May, and for new homes it was $471,471.

And homebuilders who want to keep prices down are building homes far from the city’s core, in the outskirts of the county to the northwest, southeast and southwest areas.

Redondo Tower is working with the on a special financing package that offers reduced payments for the first two years with a temporary buydown to 4.99% in the first year and 5.99% in the second year.

Condominium purchases require 20% down, so for a $400,000 purchase ($320,000 loan amount), the monthly mortgage would be $1,715.87 the first year, $1,915.50 the second year and $2,126.82 for the remaining 28 years with a locked rate of 6.99%.