| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 81st | Best |
| Demographics | 78th | Best |
| Amenities | 82nd | Best |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 418 Pier Ave, Santa Monica, CA, 90405, US |
| Region / Metro | Santa Monica |
| Year of Construction | 1973 |
| Units | 26 |
| Transaction Date | 2011-11-17 |
| Transaction Price | $5,786,557 |
| Buyer | PIER APARTMENTS LLC |
| Seller | 418 PIER LTD |
418 Pier Ave, Santa Monica Multifamily Investment
This Santa Monica asset sits in an Urban Core neighborhood where elevated ownership costs and a high renter concentration support steady leasing, according to CRE market data from WDSuite. Neighborhood fundamentals favor multifamily demand over the long term, though operators should plan for competitive positioning and active lease management.
The property is in an A-rated Urban Core neighborhood that ranks 96th among 1,441 Los Angeles–Long Beach–Glendale metro neighborhoods, placing it in the top quartile metro-wide. Amenity access is a differentiator: restaurants and cafes are dense, parks are abundant, and grocery access is strong (nationally high percentiles), which helps support resident retention and leasing velocity. Pharmacy options are comparatively limited in the immediate area.
Renter-occupied housing is a defining feature of the neighborhood. With a high renter concentration at the neighborhood level, the tenant base is deep, which generally supports absorption and renewal performance for multifamily operators. Neighborhood occupancy has been stable around the metro average in recent years, suggesting competitive conditions that reward well-maintained, well-located assets.
Within a 3-mile radius, demographics indicate a high-income renter pool and small average household sizes, with modest population softness recently and a projected increase in households over the next five years. This mix points to a larger tenant base over time and supports demand for professionally managed apartments, particularly for walkable, lifestyle-oriented product.
Home values in the neighborhood rank among the highest nationally, and the value-to-income ratio is elevated. In practice, a high-cost ownership market tends to sustain reliance on multifamily housing and can reinforce pricing power for well-positioned units, while a rent-to-income profile near one-third suggests prudent lease management to mitigate affordability pressure and support retention.
Vintage context: the building was constructed in 1973, which is newer than the neighborhood’s average vintage. That positioning can be competitive versus older local stock, though capital planning for modernization and systems updates may still be warranted to meet current renter expectations.
Safety trends are mixed and should be evaluated as part of underwriting. The neighborhood’s crime profile ranks in the lower tier among 1,441 Los Angeles metro neighborhoods and sits below the national median for safety, indicating comparatively higher reported incidents than many areas. Recent year-over-year changes show property and violent offenses trending up at the neighborhood level, so operators may want to account for security measures and resident communication as part of asset management.
Investors should compare these neighborhood-level indicators against submarket and citywide trends to calibrate expectations for leasing, insurance, and operating practices. Block-level conditions can vary within urban cores, so on-the-ground diligence remains important.
Proximity to major corporate offices anchors the employment base and supports weekday demand and short commute preferences for renters. Key nearby employers include healthcare products, interactive entertainment, software, energy, and cybersecurity offices.
- Abbott Laboratories — healthcare products (0.46 miles) — HQ
- Activision Blizzard — interactive entertainment (1.94 miles) — HQ
- Microsoft Offices The Reserves — software offices (3.40 miles)
- Occidental Petroleum — energy (4.49 miles) — HQ
- Symantec — cybersecurity (5.14 miles)
418 Pier Ave offers immediate exposure to a top-quartile Los Angeles Urban Core neighborhood with dense amenities, high-income households, and a deep renter base. The 1973 vintage is newer than the neighborhood average, creating relative competitiveness versus older stock while still leaving room for programmatic upgrades that can drive rent differentiation. Based on CRE market data from WDSuite, neighborhood occupancy and renter concentration imply steady multifamily demand, while the high-cost ownership landscape tends to sustain reliance on rentals.
Forward-looking indicators within a 3-mile radius point to a larger tenant base, with households projected to increase and incomes trending higher, which supports occupancy stability and pricing power for well-located, professionally managed apartments. Operators should balance these strengths against urban safety considerations and school quality that trails higher-rated areas when assessing target renter profiles and operating plans.
- Top-quartile Urban Core location with dense dining, parks, and grocery access supporting retention
- High renter concentration and elevated ownership costs reinforce multifamily demand
- 1973 vintage is newer than local average, with value-add potential through modernization
- 3-mile demographics show rising household counts and strong incomes, supporting lease-up and renewals
- Risks: below-average safety metrics and modest school ratings warrant targeted operating strategies