| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 85th | Best |
| Demographics | 70th | Good |
| Amenities | 65th | Good |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 687 W 18th St, Costa Mesa, CA, 92627, US |
| Region / Metro | Costa Mesa |
| Year of Construction | 1972 |
| Units | 22 |
| Transaction Date | 2021-06-15 |
| Transaction Price | $5,225,000 |
| Buyer | JOINT PROPS 2018 LLC |
| Seller | DAISY III ASSOCIATES LTD |
687 W 18th St Costa Mesa Multifamily Investment
Neighborhood occupancy in the mid-90s and a high renter-occupied share signal durable tenant demand, according to WDSuite’s CRE market data. These metrics reflect the surrounding neighborhood, not the property, and point to steady leasing conditions for a 22-unit asset.
The property sits in an Urban Core pocket of Costa Mesa rated A- and ranked 113 out of 516 metro neighborhoods, placing it in the top quartile among Anaheim–Santa Ana–Irvine submarkets by overall fundamentals. Grocery and pharmacy access are standouts (both ranking 3 of 516 locally with top-tier national percentiles), and cafes and restaurants are dense enough to support renter convenience. Immediate park space and formal childcare centers are limited within the neighborhood footprint, which is a planning consideration for family-oriented tenants.
Neighborhood occupancy is approximately 94.7% (above the national median), and the share of housing units that are renter-occupied is elevated at roughly 64%, indicating depth in the tenant base and supporting leasing stability. Median contract rents in the neighborhood have risen over the last five years, while the rent-to-income ratio around 0.21 suggests manageable affordability pressure relative to many coastal submarkets, supporting retention and disciplined pricing.
Within a 3-mile radius, household counts have edged up and are projected to expand further, even as average household size trends smaller. This shift typically supports a larger renter pool and steadier absorption of smaller and mid-sized units. The area’s high-income profile and elevated home values create a high-cost ownership market, which tends to sustain reliance on multifamily rentals and can bolster lease-up velocity and renewal rates.
Relative to national peers, housing and amenity scores land in the top quartile, while demographics quality is above average nationally. Taken together—and based on WDSuite’s multifamily property research—these neighborhood dynamics point to durable demand drivers for well-managed assets, with a noted tradeoff around open space and childcare presence that owners should factor into amenity and marketing strategies.
Neighborhood safety indicators are mixed but improving. Overall crime levels track near national averages (crime around the 51st national percentile), and property offenses sit below national norms by percentile, yet recent year-over-year declines in both property and violent offenses are notable and directionally supportive for investor risk assessment.
Within the Anaheim–Santa Ana–Irvine metro, the neighborhood ranks 240 out of 516 on crime—roughly mid-pack for the region—while national percentiles indicate average violent risk with improving trends. For underwriting, this suggests standard loss-prevention and lighting/security measures remain prudent, with the positive momentum potentially aiding resident retention and leasing over the near term.
Proximity to finance and technology employers supports a deep white-collar renter base and short commutes, which can aid retention and stabilize leasing. Key nearby employers include Pacific Life, Prudential, Western Digital, Microsoft Technology Center, and First American Financial Corporation.
- Pacific Life — insurance (3.2 miles) — HQ
- Prudential — financial services (5.3 miles)
- Western Digital — data storage (5.5 miles) — HQ
- Microsoft Technology Center — technology offices (5.7 miles)
- First American Financial Corporation — title & insurance (5.8 miles)
Built in 1972, the asset is older than the neighborhood’s average vintage, creating a clear path for value-add through interior upgrades, systems modernization, and curb appeal improvements. Neighborhood occupancy near the mid-90s and a high renter-occupied share indicate a sizable tenant base, while high-cost ownership in Costa Mesa tends to reinforce rental demand and support renewal capture. According to CRE market data from WDSuite, the surrounding neighborhood’s housing and amenity metrics are competitive nationally, which can aid leasing velocity when paired with targeted renovations.
Demand is further supported by strong nearby employment nodes and a high-income renter profile within a 3-mile radius. Forward-looking household growth alongside smaller household sizes points to continued renter pool expansion. Key risks include average-to-middling safety rankings at the metro level and limited neighborhood park/childcare presence, both of which can be mitigated with on-site features, lighting, and family-friendly programming.
- Older 1972 vintage supports value-add and capital improvement upside
- High renter-occupied share and mid-90s neighborhood occupancy support leasing stability
- Amenity-rich, high-cost ownership area sustains multifamily demand and renewal potential
- Proximity to finance and tech employers underpins a deep white-collar tenant base
- Risk: average metro safety ranking and limited parks/childcare; address via security and on-site amenities