| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 77th | Good |
| Demographics | 31st | Poor |
| Amenities | 78th | Best |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 860 W 5th St, San Pedro, CA, 90731, US |
| Region / Metro | San Pedro |
| Year of Construction | 1972 |
| Units | 99 |
| Transaction Date | 2012-12-27 |
| Transaction Price | $4,093,040 |
| Buyer | OVER THE HILL LLC |
| Seller | 860 WEST FIFTH STREET LLC |
860 W 5th St San Pedro Multifamily Investment
This 99-unit property built in 1972 sits in a neighborhood with 95.1% occupancy and strong rental demand, positioned in an urban core environment with 77.3% renter-occupied housing units.
Located in San Pedro's urban core, this neighborhood demonstrates solid fundamentals for multifamily investors. The area maintains a 95.1% occupancy rate, ranking in the 72nd percentile nationally and reflecting stable rental demand. With 77.3% of housing units renter-occupied—ranking in the top 10% of Los Angeles metro neighborhoods—the market shows strong structural support for rental properties.
Demographics within a 3-mile radius indicate a diverse tenant base with median household income of $99,436 and projected growth to $120,614 by 2028. The forecast shows household count increasing 29.6% over five years, expanding the potential renter pool. Contract rents in the immediate neighborhood average $1,276, while the broader 3-mile area commands $1,686 median rents, suggesting room for strategic positioning.
The 1972 construction year aligns with neighborhood averages, presenting potential value-add opportunities through targeted renovations and unit improvements. Amenity access supports tenant retention with 6.38 grocery stores per square mile (97th percentile nationally) and strong restaurant density. Home values averaging $713,069 with a 16.0 value-to-income ratio reinforce rental demand by maintaining elevated ownership costs that keep households in the rental market.
Safety metrics show mixed but improving trends for the neighborhood. Property crime rates have declined significantly by 79.0% year-over-year, ranking in the 98th percentile nationally for improvement. Violent crime has similarly decreased by 93.6%, placing the area in the 99th percentile for safety improvements nationwide.
Current crime levels position the neighborhood competitively among Los Angeles metro areas, with overall crime performance in the 71st percentile nationally. These improving safety trends support tenant retention and can contribute to stable occupancy rates for multifamily properties in the area.
The San Pedro area benefits from proximity to major corporate employers that support workforce housing demand, including healthcare services, industrial operations, and technology companies within commuting distance.
- Molina Healthcare — healthcare services (5.8 miles) — HQ
- Air Products & Chemicals — industrial chemicals (6.3 miles)
- Airgas — industrial gases (12.3 miles)
- Mattel — consumer products (13.6 miles) — HQ
- Southwest Airlines Counter — aviation services (15.5 miles)
This 99-unit property offers a compelling value-add opportunity in a stabilizing San Pedro neighborhood. The 1972 vintage provides renovation upside potential while benefiting from strong underlying rental fundamentals, including 95.1% neighborhood occupancy and 77.3% renter-occupied housing stock. According to CRE market data from WDSuite, demographic projections show household growth of 29.6% over five years, expanding the tenant base and supporting long-term occupancy stability.
The property sits in a market where elevated home values and a 16.0 value-to-income ratio reinforce rental demand by keeping ownership costs beyond reach for many households. Improving safety metrics, with property crime down 79% and violent crime down 93.6%, create a more attractive environment for tenants. Proximity to major employers like Molina Healthcare headquarters and established industrial operations provides workforce housing demand.
- Strong rental fundamentals with 95.1% neighborhood occupancy and 77.3% renter-occupied units
- Value-add potential through renovation of 1972 vintage units in improving market
- Growing tenant base with 29.6% projected household increase over five years
- Elevated ownership costs support sustained rental demand
- Risk consideration: Monitor school ratings (1.5/5 average) impact on family tenant retention