| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 85th | Best |
| Demographics | 80th | Best |
| Amenities | 45th | Fair |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 5435 Kester Ave, Sherman Oaks, CA, 91411, US |
| Region / Metro | Sherman Oaks |
| Year of Construction | 1982 |
| Units | 20 |
| Transaction Date | 1997-12-23 |
| Transaction Price | $546,000 |
| Buyer | JOHNSON LAWRENCE |
| Seller | POVEY GAIL TR POVEY REVOCABLE TRUST |
5435 Kester Ave Sherman Oaks Multifamily Opportunity
Neighborhood renter demand is durable, with a renter-occupied share near two-thirds and occupancy holding around the low-90s, according to WDSuite’s CRE market data. For investors, that points to a deep tenant base and steady leasing conditions in Sherman Oaks.
Sherman Oaks’ immediate neighborhood rates in the top quartile among 1,441 metro neighborhoods, indicating competitive fundamentals within the Los Angeles-Long Beach-Glendale market. Restaurants and grocery access score well versus national peers, while formal parks and cafes are thinner locally, suggesting residents rely on nearby districts for some amenities.
Renter-occupied housing makes up roughly 65% of neighborhood units, signaling a broad tenant pool and multifamily depth. Neighborhood occupancy trends sit near the national midpoint, so lease-up may require active management, but the area’s Urban Core setting and established renter concentration support ongoing absorption, based on CRE market data from WDSuite.
Within a 3-mile radius, household counts have inched higher in recent years and are projected to grow further by 2028, pointing to a larger tenant base and potential support for occupancy stability. The mix skews toward working-age adults with a meaningful presence of higher-income households, aligning with sustained demand for quality rentals and measured pricing power where product is competitive.
Home values in the neighborhood are elevated relative to most U.S. areas, a high-cost ownership backdrop that tends to reinforce reliance on rental housing and can aid lease retention. Average school ratings trend above many U.S. neighborhoods, adding to livability for households that prioritize education access.
The property’s 1982 vintage is slightly older than the neighborhood’s late-1980s average. That positioning often supports a value-add strategy: targeted renovations and system upgrades can improve competitiveness versus newer stock, with capex planning calibrated to local rent and income profiles.
Safety indicators for the neighborhood compare favorably versus many U.S. areas, landing above the national median. Relative to the Los Angeles metro, the area ranks competitively, and recent data show notable year-over-year declines in both violent and property offense rates. While conditions can vary by block, the directional trend is constructive and aligns with broader stability seen in stronger Urban Core pockets.
Proximity to major media and corporate offices underpins commuter demand and lease retention, with strong access to entertainment, telecommunications, and energy employers listed below.
- Radio Disney — media (6.8 miles)
- Charter Communications — telecommunications (6.8 miles)
- Live Nation Entertainment — entertainment (7.4 miles) — HQ
- Occidental Petroleum — energy (7.6 miles) — HQ
- Disney — media & entertainment (7.7 miles) — HQ
5435 Kester Ave offers investors a 20-unit, early-1980s asset positioned in a high-cost ownership area where renter households are prevalent. The neighborhood sits in the top tier of Los Angeles submarkets for overall fundamentals, with solid amenity access for daily needs and a renter-occupied share near two-thirds supporting depth of demand. According to CRE market data from WDSuite, occupancy across the neighborhood tracks around the national midpoint, suggesting steady performance with attention to leasing and renewals.
The 1982 vintage presents value-add potential: selective interior updates and building system improvements can sharpen competitiveness against newer stock while aligning with incomes and rent-to-income norms. Within a 3-mile radius, households are projected to grow through 2028, expanding the tenant base and supporting long-run absorption. Elevated home values locally should continue to sustain renter reliance on multifamily housing, aiding retention for well-managed properties.
- High-cost ownership market supports sustained multifamily demand and lease retention
- Renter-occupied share near two-thirds indicates a deep, stable tenant pool
- 1982 vintage enables targeted value-add and capex-driven competitiveness
- Projected household growth within 3 miles supports occupancy and absorption
- Risk: Occupancy trends near the national midpoint require active leasing and renewal management