From $13K to $38K: How GM Properties Increased Monthly Net Income by 192% at a Whittier Industrial Property

When a family-owned commercial property in Whittier, California needed more active management, GM Properties implemented a strategy that significantly improved operations and financial performance. Within 18 months, monthly net income increased by 192%, generating more than $250,000 in additional annual income for the owners.

The Challenge: Managing a Family-Owned Commercial Property

In 2021, GM Properties was engaged to manage a 41,000 sf multi-tenant light industrial and office property situated on a 2.5-acre lot in Whittier. The property had been managed by the family for years, but as the parents stepped back from daily responsibilities and their daughter relocated out of state, they needed an experienced commercial property management partner.

Several operational challenges were affecting the property’s performance. Much of the parking lot was occupied by RVs, boats and storage containers under existing lease arrangements, leaving limited parking for building tenants. Below-market rents further constrained the property’s income potential.

The Strategy: Improving Operations and Repositioning the Property

GM Properties began by addressing parking conditions, freeing up space for tenants and improving the property’s functionality. Our team then identified and coordinated important capital improvements, including repairs to the main waterline and resurfacing of the parking lot. With these improvements underway, we implemented a strategic lease renewal program, bringing desirable tenants up to market rental rates while creating opportunities to attract new tenants.

The Results: A 192% Increase in Monthly Net Income

Within 18 months, the property’s monthly net income increased from approximately $13,000 to $38,000—a 192% improvement. The family realized more than $250,000 in additional annual income through the combined impact of proactive property management, capital improvements and strategic leasing. The results were so meaningful that, after filing the family’s tax return, their CPA personally contacted GM Properties to thank the team.

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