| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 82nd | Best |
| Demographics | 92nd | Best |
| Amenities | 100th | Best |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 1430 5th St, Santa Monica, CA, 90401, US |
| Region / Metro | Santa Monica |
| Year of Construction | 2012 |
| Units | 50 |
| Transaction Date | 2017-12-15 |
| Transaction Price | $5,958,500 |
| Buyer | MDP SPE 1 LP |
| Seller | REP WRC SPE 1 LP |
1430 5th St Santa Monica Multifamily Investment
This 50-unit property built in 2012 sits in a top-tier urban neighborhood with 83% renter-occupied housing and above-average net operating income per unit, according to CRE market data from WDSuite.
1430 5th St is located in a highly amenitized Urban Core neighborhood ranked 3rd among 1,441 neighborhoods in the Los Angeles-Long Beach-Glendale metro, earning an A+ overall rating. The area ranks in the top national percentile for amenity density, with 154 restaurants, 14 grocery stores, 12 childcare centers, and 9 cafés per square mile—metrics that support tenant retention and appeal to young professionals and families. Within a 3-mile radius, the population stands at approximately 139,000, with a median household income of $125,181 and 47% of residents holding bachelor's degrees or higher, positioning the submarket among the most educated and affluent in the metro.
The property was constructed in 2012, making it notably newer than the neighborhood average of 1978. This vintage reduces near-term capital expenditure needs and positions the asset competitively against older stock in the area. Renter-occupied units comprise 83% of neighborhood housing tenure—among the highest concentrations regionally—which underpins strong and sustained multifamily demand. Median contract rent in the neighborhood stands at $2,897, ranking 130th in the metro and in the 99th percentile nationally, reflecting robust pricing power. Over the past five years, rents have grown 47%, outpacing income growth of 29% and signaling tightening affordability that continues to sustain rental reliance.
Neighborhood-level occupancy stands at 87.4%, ranking below the metro median and in the 35th percentile nationally. While this suggests some absorption headwinds, the high renter concentration and limited ownership accessibility—median home values exceed $1.45 million and have appreciated 50% over five years—continue to reinforce demand for rental housing. Average net operating income per unit in the neighborhood is $23,011, ranking 12th in the metro and in the 99th percentile nationally, indicating strong revenue performance among comparable properties.
Demographic projections within the 3-mile radius anticipate a 6.2% population increase and a 38% rise in households by 2028, driven in part by new housing supply. Renter-occupied units are forecast to grow by nearly 29%, expanding the tenant base and supporting lease-up velocity. Median household income is projected to reach $152,050, and median rent is expected to rise to $3,194—a 35% increase—suggesting continued pricing power, though investors should monitor rent-to-income ratios closely for retention risk.
Safety metrics for this neighborhood warrant careful attention. Property crime rates are estimated at approximately 13,250 incidents per 100,000 residents annually, ranking 1,381st among 1,441 metro neighborhoods and placing the area in the bottom national percentile. Violent crime rates stand at roughly 1,230 per 100,000 residents, ranking 1,373rd in the metro and in the 3rd percentile nationally. Both property and violent crime rates have risen over the past year—by 73% and 29%, respectively—reflecting trends that may influence tenant perceptions and turnover.
Investors should weigh these safety dynamics against the neighborhood's strong amenity access, high renter concentration, and proximity to major employment centers. While crime trends present leasing and retention considerations, the area's urban density, affluent demographics, and limited ownership alternatives continue to drive multifamily demand. Property-level security measures, tenant communication, and proactive asset management can help mitigate risk and support stable occupancy.
The property benefits from proximity to a diverse base of corporate headquarters and regional offices that support workforce housing demand and commute convenience. Major employers within five miles include technology, energy, and engineering firms that anchor the Westside employment corridor.
- Abbott Laboratories — medical devices & healthcare (1.1 miles) — HQ
- Activision Blizzard — interactive entertainment & gaming (2.4 miles) — HQ
- Occidental Petroleum — energy (4.1 miles) — HQ
- Microsoft Offices The Reserves — technology offices (4.8 miles)
- AECOM — engineering & infrastructure services (5.3 miles) — HQ
This 50-unit multifamily property presents several attributes that may appeal to value-add and income-focused investors. The 2012 construction year positions the asset among the newer inventory in a neighborhood where the average building dates to 1978, potentially reducing deferred maintenance risk and capital reserve requirements in the near term. The property is situated in a neighborhood ranked 3rd out of 1,441 in the Los Angeles-Long Beach-Glendale metro for overall quality, with an A+ rating driven by exceptional amenity access and affluent demographics.
Neighborhood fundamentals support sustained rental demand. Renter-occupied housing comprises 83% of tenure—among the highest concentrations in the region—while median home values exceeding $1.45 million create a substantial ownership barrier that reinforces the renter base. Average net operating income per unit in the neighborhood stands at $23,011, ranking 12th in the metro and in the 99th percentile nationally, indicating strong revenue performance among comparable assets. Median contract rent of $2,897 ranks in the 99th percentile nationally, and five-year rent growth of 47% has outpaced income growth of 29%, reflecting pricing power supported by constrained supply and high demand.
The demographic profile within a 3-mile radius is characterized by a median household income of $125,181 and a highly educated workforce, with 47% holding bachelor's degrees or higher. Proximity to major corporate headquarters—including Abbott Laboratories, Activision Blizzard, and Occidental Petroleum—supports employment stability and workforce housing demand. Forward-looking projections anticipate a 6.2% population increase and a 38% rise in households by 2028, with renter-occupied units forecast to grow by nearly 29%. Median household income is expected to reach $152,050, and median rent is projected to rise to $3,194, suggesting continued upward pressure on rents.
Investors should also consider operational and market risks. Neighborhood occupancy of 87.4% ranks below the metro median and in the 35th percentile nationally, indicating potential absorption challenges or competitive supply pressures. Safety metrics warrant attention, with property and violent crime rates ranking in the bottom percentiles nationally and trending upward over the past year. These factors may influence tenant retention, insurance costs, and the effectiveness of value-add strategies. Thorough due diligence on property-level occupancy, unit mix, rent roll, and capital needs—as well as competitive positioning relative to new supply—is essential to validate underwriting assumptions and assess downside risk.