| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 82nd | Best |
| Demographics | 92nd | Best |
| Amenities | 100th | Best |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 1231 5th St, Santa Monica, CA, 90401, US |
| Region / Metro | Santa Monica |
| Year of Construction | 1999 |
| Units | 28 |
| Transaction Date | 1997-02-28 |
| Transaction Price | $600,000 |
| Buyer | ALON ON 5TH LLC |
| Seller | FRYMER EDWARD |
1231 5th St, Santa Monica Multifamily in Amenity-Rich Core
High renter concentration and deep amenity access in Downtown Santa Monica support durable leasing fundamentals, according to CRE market data from WDSuite, even as neighborhood occupancy trends require close asset-level execution.
Located in Santa Monica’s Urban Core, the property sits in a top-performing neighborhood (ranked 3 of 1,441 Los Angeles metro neighborhoods; A+ rating). Amenity access is a standout—ranked 1 of 1,441 locally and at the 100th percentile nationally—with dense clusters of restaurants, groceries, cafes, parks, and pharmacies that strengthen day-to-day livability and support retention.
Rents in the neighborhood benchmark in the upper tier nationally (99th percentile), and elevated home values (also 99th percentile) point to a high-cost ownership market. For multifamily investors, this context tends to reinforce reliance on rental housing and can sustain pricing power when paired with effective leasing and renewal strategies.
The neighborhood shows an 83% share of renter-occupied housing units (99th percentile nationally), indicating a deep tenant base for smaller properties like this 28‑unit asset. By contrast, neighborhood occupancy levels rank below the metro median (1,333 of 1,441), so operators should prioritize marketing, unit finish competitiveness, and turn efficiency to capture demand available in this submarket.
Within a 3‑mile radius, demographics skew higher income with meaningful executive and professional presence, and forecasts indicate growth in population and households alongside smaller average household size. This combination typically expands the renter pool and supports absorption for well-located, professionally managed properties.
Vintage matters: built in 1999 versus a neighborhood average vintage from the late 1970s, the asset is newer than much of the local stock. That relative youth can be an advantage against older comparables, while still leaving room for targeted modernization to sharpen competitive positioning.
Safety indicators for this neighborhood track below both metro and national benchmarks. The area ranks 1,374 of 1,441 Los Angeles metro neighborhoods for crime, placing it among the weaker performers locally, and national percentiles indicate comparatively higher incident rates versus many U.S. neighborhoods. Recent year-over-year readings show increases in both property and violent offenses, underscoring the need for standard urban-core measures such as lighting, access control, and coordinated property management.
Investors should evaluate micro-location and building-specific mitigations, compare incident trends to adjacent blocks and peer submarkets, and underwrite insurance and security line items with conservative assumptions consistent with urban Los Angeles operations.
- Abbott Laboratories — corporate offices (1.4 miles) — HQ
- Activision Blizzard — corporate offices (2.5 miles) — HQ
- Occidental Petroleum — corporate offices (4.1 miles) — HQ
- Microsoft Offices The Reserves — corporate offices (5.0 miles)
- AECOM — corporate offices (5.3 miles) — HQ
These nearby corporate employers concentrate high-wage jobs within a short commute, supporting renter demand and lease retention for well-positioned multifamily assets in the Santa Monica core.
1231 5th St offers exposure to Santa Monica’s Urban Core where amenity density and a high renter-occupied share underpin demand. While neighborhood occupancy ranks below the metro median, the property’s 1999 construction is newer than much of the local stock, creating an opportunity to compete on finishes and systems against older comparables. Elevated ownership costs in the area help sustain reliance on rentals, and executive-level incomes within a 3‑mile radius provide depth for professionally managed buildings.
Forward-looking demographics within 3 miles indicate growth in population and households and a trend toward smaller household sizes, which can expand the renter pool and support absorption. According to CRE market data from WDSuite, neighborhood-level rents and incomes benchmark above national norms, suggesting room for disciplined revenue management where unit quality and operations align with market expectations.
- Amenity-rich Urban Core location with top-tier neighborhood ranking supports leasing velocity and retention.
- Newer 1999 vintage versus older local stock enables competitive positioning with targeted modernization.
- High-cost ownership market reinforces reliance on rentals, aiding pricing power for well-finished units.
- 3‑mile forecasts show renter pool expansion via population and household growth with smaller household sizes.
- Risk: neighborhood safety and below-metro occupancy ranking warrant conservative underwriting and active management.