| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 63rd | Good |
| Demographics | 13th | Poor |
| Amenities | 0th | Poor |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 1950 Palm Ave, Wasco, CA, 93280, US |
| Region / Metro | Wasco |
| Year of Construction | 2005 |
| Units | 52 |
| Transaction Date | 1999-10-20 |
| Transaction Price | $207,600 |
| Buyer | CITY OF WASCO HOUSING AUTHORITY |
| Seller | PME MORTGAGE FUND INC |
1950 Palm Ave Wasco CA Multifamily Investment
This 52-unit property built in 2005 enters a market showing strong income growth and improving occupancy fundamentals. Neighborhood-level occupancy reaches 100% according to CRE market data from WDSuite, indicating tight rental conditions in the Bakersfield metro area.
The property sits in a neighborhood ranking 2nd among 247 metro neighborhoods for safety metrics, placing it in the 95th percentile nationally for low crime rates. Built in 2005, this asset represents newer construction compared to the neighborhood average of 1976, potentially reducing near-term capital expenditure needs and providing competitive positioning among area rental stock.
Demographics within a 3-mile radius show household income growth momentum, with median household income increasing 22.4% over five years to $48,086. Forecasted data suggests continued income expansion, with median household incomes projected to reach $86,375 by 2028 - a 79.6% increase that could support rental pricing power. The area maintains 41.2% renter-occupied housing units, providing a stable tenant base for multifamily properties.
Current median contract rents of $745 reflect a 21.5% increase over five years, with projections indicating further growth to $1,181 by 2028. The neighborhood's rent-to-income ratio of 0.17 suggests manageable affordability conditions for tenants. However, amenity density ranks in the bottom quartile nationally, with limited retail and dining options that may impact tenant retention considerations.
Population growth trends show 9.1% expansion over five years, with forecasts projecting 13% growth through 2028. Household formation is expected to increase 31.2% over the next five years, expanding the potential renter pool. The area's average household size of 3.6 people, projected to grow to 4.1 by 2028, indicates family-oriented housing demand that aligns with the property's average unit size of 1,105 square feet.
The neighborhood demonstrates exceptional safety metrics, ranking 2nd among 247 metro neighborhoods and achieving the 95th percentile nationally for low crime rates. Property offense rates have declined dramatically by 95.3% year-over-year, while violent crime rates dropped 91.5%, placing the area in the top tier nationally for safety improvements.
These safety trends represent a significant competitive advantage for tenant attraction and retention. The neighborhood's violent offense rate of 1.8 per 100,000 residents ranks 4th lowest among metro neighborhoods, contributing to a stable residential environment that supports occupancy fundamentals and lease renewal rates.
The immediate Wasco area provides limited major corporate employment anchors, with most significant job centers concentrated in the broader Bakersfield metropolitan region. Local employment consists primarily of agricultural operations and small-scale commercial businesses serving the community.
- Agricultural Operations - farming and food processing throughout Kern County
- Kern County Government - public sector employment in nearby Bakersfield
- Healthcare Services - medical facilities serving the Central Valley region
This 52-unit property offers exposure to strong demographic fundamentals in a safety-focused neighborhood with 100% occupancy rates. Built in 2005, the asset provides newer construction advantages in a market where average building vintage is 1976, potentially reducing capital expenditure requirements while maintaining competitive positioning. Household income growth of 22.4% over five years, with projections indicating continued expansion to $86,375 by 2028, supports rental pricing power in a market where current rents appear positioned for growth.
Population and household formation trends indicate expanding rental demand, with 13% population growth and 31.2% household increase projected through 2028. The area's 41.2% renter occupancy rate provides a stable tenant base, while the neighborhood's exceptional safety ranking addresses a key tenant priority. However, investors should consider limited amenity density and the property's location in a smaller Central Valley market when evaluating long-term appreciation potential.
- Neighborhood achieves 100% occupancy with 95th percentile national safety ranking
- Strong income growth momentum with 79.6% median household income increase projected by 2028
- Newer 2005 construction compared to 1976 neighborhood average reduces near-term capital needs
- Population and household formation growth supports expanding rental demand
- Risk consideration: Limited amenity density and smaller market size may constrain long-term appreciation