| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 69th | Poor |
| Demographics | 5th | Poor |
| Amenities | 46th | Fair |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 1218 E Avenue Q, Palmdale, CA, 93550, US |
| Region / Metro | Palmdale |
| Year of Construction | 1986 |
| Units | 24 |
| Transaction Date | 1999-02-19 |
| Transaction Price | $518,000 |
| Buyer | FAME INVESTMENTS LLC |
| Seller | ATLANTIC STATES LLC |
1218 E Avenue Q Palmdale Multifamily Investment
Neighborhood occupancy remains high and renter demand is durable, according to WDSuite’s CRE market data, suggesting stable cash flow potential for a well-managed 24-unit asset in Palmdale.
Livability drivers point to everyday convenience with investor relevance. The neighborhood shows strong grocery and dining density (high among U.S. neighborhoods), while parks, pharmacies, and cafes are limited locally. For operators, this mix supports daily needs but may shift more lifestyle demand to in-unit or property-level amenities.
Occupancy at the neighborhood level is elevated versus many U.S. areas and has improved over the past five years, supporting leasing stability. A renter-occupied share near the majority indicates a deep tenant base for multifamily, which can help sustain absorption and reduce downtime between turns when managed proactively.
Within a 3-mile radius, recent years show population growth alongside an increase in households, and forecasts call for further household expansion with smaller average household size. This points to a larger tenant base and more renters entering the market, which can support occupancy stability and steady leasing velocity.
Home values in the area are elevated relative to local incomes, a pattern that often reinforces reliance on rental housing and can support pricing power when units are positioned effectively. Median contract rents have trended upward in the 3-mile area, though rent-to-income levels suggest some affordability pressure, making renewal strategy and unit mix positioning important for retention.
The property’s 1986 vintage is slightly newer than the neighborhood average stock (early 1980s), positioning it competitively versus older assets. Investors should still plan for targeted modernization and systems updates to enhance rentability and reduce near-term capital risk while leveraging larger average unit sizes typical of suburban formats.
Safety trends warrant balanced underwriting. Compared with U.S. neighborhoods overall, the area sits below average on safety indicators, yet both property and violent offense rates have improved year over year, indicating a favorable directional trend. Within the Los Angeles-Long Beach-Glendale metro (1,441 neighborhoods), the neighborhood’s crime standing is below the metro median rather than competitive with top subareas.
For investors, this calls for pragmatic measures: emphasize lighting, access controls, and community standards, and underwrite security-related operating expenses in line with comparable assets. Track continued year-over-year improvement as a potential tailwind to leasing stability and resident retention.
Nearby employers span aerospace, environmental services, pharmaceutical distribution, medical devices, and manufacturing, providing a diversified employment base that supports renter demand and commute convenience for workforce housing. Specifically: Lockheed Martin Aeronautics, Waste Management, AmerisourceBergen, Boston Scientific Neuromodulation, and Avery Dennison.
- Lockheed Martin Aeronautics Co. — defense & aerospace (1.7 miles)
- Waste Management - Palmdale — environmental services (2.8 miles)
- AmerisourceBergen — pharmaceutical distribution (28.3 miles)
- Boston Scientific Neuromodulation — medical devices (28.6 miles)
- Avery Dennison — manufacturing & materials (30.9 miles) — HQ
1218 E Avenue Q offers a 24-unit 1986-vintage asset in an inner-suburban location where neighborhood occupancy remains high and the renter base is sizable. Within a 3-mile radius, recent growth in households and a projected increase in households alongside smaller household sizes point to a larger tenant base and ongoing multifamily demand. According to CRE market data from WDSuite, neighborhood occupancy trends are above many U.S. areas, which supports leasing stability when paired with disciplined operations.
Relative to older local stock, the 1986 vintage can compete well with targeted modernization, helping capture renters seeking larger suburban floor plans. At the same time, rent-to-income levels signal affordability pressure risk, and safety metrics sit below national medians despite recent improvement—suggesting prudent renewal strategy, expense controls, and security planning are key to protecting NOI. Rising home values compared to local incomes reinforce renter reliance on multifamily, supporting retention for well-positioned units.
- High neighborhood occupancy and sizable renter concentration support steady leasing
- 3-mile area shows household growth and smaller household sizes, expanding the renter pool
- 1986 vintage offers competitive positioning with targeted value-add and system updates
- Elevated ownership costs bolster multifamily demand and potential retention
- Risks: below-average safety metrics and affordability pressure require active lease and OPEX management