Executive Summary
Era Living is rental accommodation company in Los Angeles. Our target market is students and young professionals in Los Angeles. We have properties in Westwood, close to the UCLA campus, and across West Hollywood. We aim to launch a new building in downtown Los Angeles next year. Tenants can choose from unfurnished, semi-furnished, and fully furnished units. The rental market for students and young professionals has ample opportunity for growth. An 8% growth is expected in the next three years. Market trends include a demand for high-quality, affordable housing, proximity to businesses and learning institutions. We were founded in 2015 by Sarah Coltman, Jesse Kreef, and Jac Dennings. They are the principal investors and owners. Era Living has taken the market by storm and is one of the top preferred accommodations by students and young professionals alike. We grew from having one property in 2015 to having five almost nine years later in 2024. Our mission is to change the rental market. Tenants are being taken advantage of under the guise of high demand. Rental units are grossly overcharged. Era Living aims to provide an accommodation solution for any budget without sacrificing a good quality of life. Our varied offerings, along with our all-inclusive services, continue to attract people like bees to honey.
Era Living is seeking $500,000 in start-up or growth capital to fund operations, marketing, and staffing in the first 12 months.
Financial highlights:
| Metric | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Revenue | $210,000 | $310,000 | $430,000 |
| Gross margin | 68% | 68% | 68% |
| Net profit / (loss) | $98,700 | $148,800 | $210,700 |
Company Overview
Era Living - entering the best era of your rental life. Our mission is to make renting feel like a luxury experience. If you opt for our fully furnished unit, you can experience the full extent of that mission. Sarah Coltman, Jesse Kreef, and Jac Dennings are the founders and primary investors of this Limited Liability Corp based in Los Angeles, California. Era Living is a rental company serving students and working professionals in proximity to the UCLA campus. We also have buildings throughout Hollywood. The now dominating housing company started as an accommodation solution for students, but quickly turned into more. The first Era Living building was established almost in 2015 around the corner from the UCLA campus in Westwood, Los Angeles. It came at a time when off-campus student living was a grim affair. We presented a modern alternative amongst outdated buildings. Our selling ticket is how customizable everything is. You choose your unit, term of stay, how furnished you want it and you can even choose who your neighbor is if you book at the same time as them. Staying in an Era Living building is meant to feel like you’re in a hotel - without needing to go home the next morning. This concept is what skyrocketed Era Living’s success. We expanded to include the graduates who loved their Era Living student lodgings and wished for something similar in their young professional lives. Almost ten years later we have buildings across Los Angeles filled to the brim with happy tenants. We are accredited by most major scholarships and are a preferred partner for student lodging.
Legal structure: LLC
Mission: To deliver exceptional residential rental company services to clients in Los Angeles, California, USA, building long-term relationships through quality, reliability, and deep expertise.
Objectives:
- Year 1: Establish operations, reach initial revenue target of $210,000, and build a loyal client base
- Year 2: Expand service capacity, grow revenue to $310,000, and hire additional staff
- Year 3: Achieve operational profitability, strengthen market position, and evaluate expansion opportunities
Market & Customer Analysis
Los Angeles is a prime city for the rental market. The rental market has grown by 2.1% over the past five years. There is a disparity between the demand and supply for rental units, allowing lessors to charge high rates because people are desparate. Most residents are not native and find themselves renting when they move to the city. The housing market is of such a nature that buying is impossible for most middle-class people. The market for high-quality yet affordable rental units has grown by 8% in the last year alone. Many rental properties are run down, and landlords take advantage of people’s need to stay close to the university or their workplaces in the city. Additionally, the entertainment industry is picking up again, and more people are moving to Los Angeles, but they are stuck choosing between bad and worse accommodations— the noise of downtown at an affordable price or a cottage in the suburbs far from everything. Era Living is capitalizing on this situation and has two new buildings opening next year. One is just on the outskirts of downtown. This means it is still affordable but away from chaos. The other is yet another student accommodation to add to our strong portfolio of student accommodations.
Customer analysis:
Era Living’s primary customer segment is students from UCLA and other tertiary institutions in the city. They actively seek out our buildings because they are technologically advanced, aesthetically pleasing, safe, and affordable. The university has a larger intake each year. That coupled with our new building in the area, this customer segment is projected to grow approximately 20% next year. Furthermore, we have seen an increase in the number of working professionals interested in our apartments. It makes sense because our units are priced similarly to apartments with unconventional building setups but offer so much more. “A furnished one-bedroom apartment for the same price as an unfurnished small studio is a sweet deal,” one new tenant said. Since our launch in 2015, we have shifted our customer base to include young professionals, too. They are individuals who have been out of college for less than five years and identify more with the lifestyles of college students than homeowners. We offer everything a young professional could need: security, internet access, utility bill included in rent, and an aesthetically pleasing apartment. Our customer base is segmented as follows: College students aged 19-22 are the consumers of the student accommodations. There are outliers, but the vast majority of the customer group falls within this age range. Our other properties serve recent graduates and young professionals between the a Students and young professionals make up a large portion of the rental customers in Los Angeles. The customer segments have their own demographics, housing preferences, budget considerations, neighborhood preferences, lifestyle and amenity preferences, and challenges and points.
Competitor analysis:
| Competitor | Strengths | Weaknesses |
|---|---|---|
| Essex Property Trust | Established brand, wide reach | Higher price point, less personalised |
| Aimco | Strong marketing, national presence | Generic offering, less specialist focus |
| Equity Residential | Competitive pricing | Lower service quality, limited expertise |
Era Living's competitive edge: Specialist expertise, personalised service, and a clear focus on the underserved segment of the market set us apart from the established players listed above.
SWOT analysis:
| Positive | Negative | |
|---|---|---|
| Internal | Strengths: Specialist expertise; experienced founder; strong client relationships; differentiated positioning | Weaknesses: Limited brand recognition as a new entrant; single location; reliance on founder capacity in early years |
| External | Opportunities: Growing market demand; underserved niche segments; digital marketing reach; referral network growth | Threats: Established competitors with greater resources; economic downturn reducing discretionary spend; regulatory changes |
Sales & Marketing Plan
Era Living has five operating apartment buildings and two new ones opening in a year. Four out of the five open buildings are in the Westwood area. One building is in North Hollywood. The new buildings are in Westwood and Downtown, respectively. The existing buildings are all charming high-rise style. They have five floors each and about 40 units per floor. The units range from bachelor units to four-bedroom units. Bachelor units start at $, and the multi bedroom units range between $ and $. The new building in Westwood will follow a cluster living layout. The inspiration was taken from South African estates. It features houses next to one another in a gated community setup. It’s more of a complex than an apartment building - much different than what we’ve been doing. We will be marketing this building to young and small families or people looking to downsize. Our sales plan is letting the business talk for itself. We have reached a point where our buildings are constantly at 85% occupancy. This is because we laid the groundwork years ago when we launched Era Living.
Pricing strategy: Pricing is set to be competitive within the Los Angeles, California, USA market while reflecting the quality and specialist nature of the services delivered. All pricing is reviewed annually against market benchmarks.
Marketing channels:
- Digital presence (website + SEO) — professional website with content marketing to attract organic search traffic from clients searching for residential rental company services in Los Angeles, California, USA
- Social media — active presence on relevant platforms to build brand awareness and engage prospective clients
- Referral programme — incentivised referral programme for existing clients; target 30% of new clients via referral by end of Year 2
- Local networking and partnerships — attendance at industry events and partnerships with complementary businesses in Los Angeles, California, USA
- Google Ads — targeted paid search campaigns for high-intent keywords during launch phase
Marketing budget Year 1: $10,500 (5% of projected revenue)
Additional marketing notes:
Since our launch in 2015, social media has been our only marketing tool. Our target market at the time, exclusively university students, used social media to do all their research anyway. Utilizing marketing methods that our target market didn’t find valuable wasn’t worth it to us. Outside our social media pages, we have a website so that we can be found via a web browser search. Era Living has Twitter, Tiktok, Instagram and Pinterest pages. The first three are for publishing short and long-form content about our buildings and doing customer service queries. The Pinterest page features a collection of submissions from our tenants. An aesthetically pleasing space is a major part of our marketing, and the Pinterest pages drive that home. Potential residents are able to envision their lives in our buildings.
Operating Plan
The main goal we are focusing on this year is the launch of our two new buildings. All organizational activities outside of business will be directed to ensure that the launches are successful. This business plan is being designed for those buildings, so the operating plan will focus on them. Quarter one is dedicated to finalizing all the permits related to the two buildings. Leah LeBlanc will be responsible for that. Quarter two is just waiting for the marketing cycle to begin as construction will be complete at this point. In quarter three, the marketing campaign for the buildings will begin. We’ll send emails informing current residents of Era Living and offering them extra benefits if they sign a lease or refer a friend before the official launch date. The marketing team is responsible for this. The sales team along with the leasing department will then process any applications that come in before quarter four ends.
Staffing plan:
| Role | Year 1 | Year 2 | Year 3 |
|---|---|---|---|
| Sarah Coltman, Jesse Kreef, (Owner / Director) | Full-time | Full-time | Full-time |
| Operations / Senior Staff | Part-time | Full-time | Full-time |
| Support / Junior Staff | — | Part-time | Full-time |
Legal & compliance:
- All required licences and permits for residential rental company operations in Los Angeles, California, USA
- Professional liability and general liability insurance
- Data protection compliance in accordance with applicable laws
- Health & safety policies and risk assessments in place before trading begins
Management Team
Sarah Coltman, Jesse Kreef, and Jac Dennings met at Harvard Business School. They each have degrees in business management. Sarah went on to get her real estate license and has been in the industry for 12 years. The three founders and principal investors have a large investment portfolio, featuring international stocks and some of the biggest businesses in America. All the management work that they cannot do is outsourced.
Sarah Coltman, Jesse Kreef, — Founder & Director
Advisory support: The business will engage an experienced accountant and a business mentor through the local enterprise support network to provide financial oversight and strategic guidance during the first three years of trading.
Financial Plan
Projected Profit or Loss Statement
Year 1 Year 2 Year 3 Sales $4,200,000 $170,000 $300,000 Direct Cost of Sales $2,000,000 $30,000 $82,000 Production Payroll $0 $0 $0 Other $0 $0 $0 Total Cost of Sales $2,000,000 $30,000 $82,000 Gross Margin $2,200,000 $140,000 $218,000 Gross Margin % 52% 82% 73% Operating Expenses
Sales and Marketing Expenses
Sales and Marketing Payroll $90,000 $40,000 $40,000 Advertising/Promotion $5,000 $1,000 $1,000 Travel $0 $0 $0 Miscellaneous $5,000 $500 $500 Total Sales and Marketing Expenses $1,000,000 $41,500 $41,500 General and Administrative Expenses
General and Administrative Payroll $1,350,000 $40,250 $100,250 Sales and Marketing and Other Expenses $0 $0 $0 Depreciation $150,000 $1,000 $1,000 Dues and Subscriptions $2,000 $200 $200 Professional Fees $0 $300 $300 Rent $0 $2,000 $2,000 Software Purchases $2,000 $15,000 $0 Insurance $2,000 $2,000 $2,000 Telephone and Internet Access $2,000 $2,000 $2,000 Utilities $400 $400 $400 Miscellaneous $0 $0 $0 Payroll Taxes $500 $1,200 $3,000 Other General and Administrative Expenses $0 $0 $0 Total General and Administrative Expenses $28,400 $64,350 $111,150 Other Expenses:
Other Payroll $0 $0 $0 Consultants $0 $0 $0 Contract/Consultants $0 $0 $0 Total Other Expenses $0 $0 $0 Total Operating Expenses $28,400 $64,350 $111,150 Profit Before Interest and Taxes $19,800 $102,840 $225,410 EBITDA $19,800 $103,860 $226,430 Interest Expense $800 $3,632 $2,957 Taxes Incurred $0 $24,802 $56,540 Net Profit $19,000 $34,150 $65,350 Net Profit/Sales 21% 20% 22%
Projected Cash Flow Statement Cash Received Year 1 Year 2 Year 3 Cash from Operations
Cash Sales $90,000 $170,000 $300,000 Cash from Receivables $0 $0 $0 Subtotal Cash from Operations $90,000 $170,000 $300,00 Additional Cash Received
Sales Tax, VAT, HST/GST Received $0 $0 $0 New Current Borrowing $20,000 $0 $0 New Other Liabilities (interest-free) $0 $0 $0 New Long-term Liabilities $0 $0 $0 Sales of Other Current Assets $0 $0 $0 Sales of Long-term Assets $0 $0 $0 New Investment Received $0 $0 $0 Subtotal Cash Received $110,000 $170,000 $300,000 Expenditures
Expenditures from Operations
Subtotal Spent on Operations $48,900 $94,350 $111,150 Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $800 $0 $0 Principal Repayment of Current Borrowing $10,000 $10,000 $0 Other Liabilities Principal Repayment $0 $0 $0 Long-term Liabilities Principal Repayment $0 $0 $0 Purchase Other Current Assets $0 $0 $0 Purchase Long-term Assets $0 $0 $0 Dividends $0 $0 $0 Subtotal Cash Spent $59,700 $104,350 $193,150 Net Cash Flow $50,300 $65,650 $106,850 Cash Balance $19,000 $34,150 $65,350 Projected Balance Sheet Assets Year 1 Year 2 Year 3 Current Assets
Cash $90,000 $170,000 $300,000 Accounts Receivable $0 $0 $0 Other Current Assets $0 $0 $0 Total Current Assets $90,000 $170,000 $300,000 Long-term Assets $10,000 $9,000 $8,000 Accumulated Depreciation $1,000 $1,000 $1,000 Total Long-term Assets ($1,000) ($1,000) ($1,000) Total Assets $100,000 $179,000 $308,00 Liabilities and Capital
Current Liabilities
Accounts Payable $0 $0 $0 Current Borrowing $20,000 $10,000 $0 Other Current Liabilities $0 $0 $0 Subtotal Current Liabilities $20,000 $10,000 $0 Long-term Liabilities $0 $0 $0 Total Liabilities $20,000 $10,000 $0 Paid-in Capital $30,000 $30,000 $30,000 Retained Earnings ($20,000) ($30,000) $41,000 Earnings ($12,000) $44,000 $160,000 Total Capital ($2,000) $44,000 $231,000 Total Liabilities and Capital $18,000 $54,000 $231,000 Net Worth $80,000 $169,00 $308,000
Wrapping up the Housing Rental Business Plan
Whew! That was thrilling. We hope that everything you just learned has inspired you to get your business plan in print in no time.
3-year profit & loss projection:
| Year 1 | Year 2 | Year 3 | |
|---|---|---|---|
| Revenue | $210,000 | $310,000 | $430,000 |
| Property maintenance and management costs | $67,200 | $99,200 | $137,600 |
| Gross profit | $142,800 | $210,800 | $292,400 |
| Gross margin | 68% | 68% | 68% |
| Salaries and wages | $21,000 | $31,000 | $43,000 |
| Marketing and advertising | $10,500 | $15,500 | $21,500 |
| Other operating costs | $12,600 | $15,500 | $17,200 |
| Total operating expenses | $44,100 | $62,000 | $81,700 |
| Net profit / (loss) | $98,700 | $148,800 | $210,700 |
Break-even analysis:
- Estimated fixed monthly costs: $2,800
- To cover fixed costs, Era Living needs to generate approximately $4,100 in monthly revenue
- Break-even is projected to be reached in Month 5 of trading
Key financial assumptions:
- Revenue growth of 47% in Year 2 and 38% in Year 3 based on planned capacity expansion and marketing investment
- Property maintenance and management costs estimated at 32% of revenue throughout the forecast period, consistent with industry benchmarks
- Staffing costs set at 10% of revenue, scaling incrementally with new hires in Year 2 and Year 3
- Marketing budget fixed at 5% of revenue; reviewed quarterly and adjusted based on channel performance
- No bad debt assumed; payment terms enforced from day one
Funding requirements:
Era Living is seeking $500,000 to fund the following:
| Use of funds | Amount |
|---|---|
| Equipment and fit-out | $200,000 |
| Working capital (6 months) | $175,000 |
| Marketing launch | $75,000 |
| Legal, licences, and professional fees | $50,000 |
| Total | $500,000 |