| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 84th | Best |
| Demographics | 21st | Poor |
| Amenities | 63rd | Best |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 225 Palomar St, Chula Vista, CA, 91911, US |
| Region / Metro | Chula Vista |
| Year of Construction | 1977 |
| Units | 80 |
| Transaction Date | 2012-07-20 |
| Transaction Price | $12,000,000 |
| Buyer | EFREN R COTA LTD |
| Seller | CASA DE PALOMAR LP |
225 Palomar St Chula Vista Multifamily Investment
Neighborhood fundamentals point to steady renter demand and high occupancy, according to WDSuite’s CRE market data. Investors should note the area’s renter concentration and sustained leasing velocity relative to the metro.
Located in Chula Vista’s Urban Core, the neighborhood surrounding 225 Palomar St shows durable leasing conditions and a deep renter base. Neighborhood occupancy is elevated versus national norms and above the metro median (ranked 229 among 621 metro neighborhoods; top quartile nationally), supporting income stability for well-managed assets. Renter-occupied housing accounts for roughly 64% of units in the neighborhood, indicating a broad tenant pool and resilient demand for multifamily product.
Day-to-day convenience is a strength: restaurant and cafe density ranks competitively among San Diego–Chula Vista–Carlsbad neighborhoods (restaurant rank 35 of 621; cafe rank 8 of 621) and sits in the high national percentiles. Grocery access also tracks strong (94th percentile nationally). These amenity concentrations typically aid retention and reduce friction in leasing. School ratings trail national averages, which can temper appeal for some households, but the submarket’s service and retail access remains a counterbalance for workforce renters.
Within a 3-mile radius, recent demographic patterns show modest population growth with a clearer increase in households, expanding the addressable renter base. Forward-looking data indicates households continue to rise even as average household size trends lower, which can translate into more renters entering the market and support occupancy stability. In a high-cost ownership market (value-to-income ratio in the mid-90s percentile nationally), elevated ownership costs tend to sustain reliance on rental housing, though a rent-to-income ratio near one-third warrants attentive lease management and renewal strategies.
The asset’s 1977 vintage is slightly older than the neighborhood average year built, pointing to potential capital planning and value-add opportunities. For investors, targeted renovations and systems upgrades can improve competitive positioning against newer stock while capturing amenity-driven rent premiums where feasible, based on commercial real estate analysis from WDSuite.
Safety trends are mixed. The neighborhood sits in the less safe half among 621 metro neighborhoods and below national averages; however, recent year-over-year declines in both property and violent offense estimates indicate improvement momentum. Interpreting the data directionally, conditions have been getting better even if they remain a watch item relative to metro peers.
For underwriting, this suggests prudent security measures and tenant screening remain important, while the downward trajectory in estimated offense rates can support stability assumptions if the trend persists.
Regional employers within commuting range support a strong base of workforce renters, with energy, aerospace/defense, biotech, and technology anchors that can aid leasing stability and retention.
- Sempra Energy — energy infrastructure (9.6 miles) — HQ
- L-3 Telemetry & RF Products — defense & aerospace (15.4 miles)
- Celgene Corporation — biotechnology (21.0 miles)
- Qualcomm — semiconductors & wireless (21.4 miles) — HQ
- Sysco — foodservice distribution (22.7 miles)
This 80-unit, 1977-vintage property in Chula Vista benefits from a renter-heavy neighborhood and strong amenity access, supporting leasing durability. Neighborhood occupancy trends sit above metro medians and in the top quartile nationally, while elevated ownership costs in the area reinforce sustained reliance on multifamily housing. According to CRE market data from WDSuite, household growth within a 3-mile radius and rising incomes point to a deeper tenant base, though rent-to-income levels near one-third call for disciplined renewal and pricing strategies.
The vintage suggests value-add potential through targeted upgrades, positioning the asset to compete against newer stock. Key watch items include below-average school ratings and safety that, while improving, remains weaker than many metro peers; appropriate operational focus can mitigate these risks and preserve occupancy stability.
- Above-metro occupancy and strong amenity access support income stability
- Renter concentration and household growth within 3 miles deepen the tenant base
- 1977 vintage offers value-add and systems-upgrade potential to lift competitiveness
- High-cost ownership market underpins sustained multifamily demand
- Risks: below-average school ratings, safety below metro average, and affordability pressure requiring careful lease management