Bluff Park Multifamily Investment
For Sale
$2,950,000
2325 E 2nd Street, Long Beach, CA 90803
11-unit apartment asset located in Prime Bluff Park, Long Beach
Property Size7,057 SF
Lot Size0.16 Acres
Price / SF$417
Days on Market593
Property Features for 2325 E 2nd Street
General Information
Standard status
Active
Property type
Residential income homes, Other residential income properties, Multifamily properties, Investment properties, Residential income properties
Size
7,057 SF
Elevators
N/A
Lot size
0.16 Acres
Building Details
Stories
2
Units
11
Listing Agency:
(310) 774-3745
Listed By:
Todd
(310) 774-3745
Added: Jan 16, 2025
Changed: Mar 16
Investment Insights
Based on property information with market context.
Located in Long Beach's Bluff Park neighborhood, this 11-unit apartment building at 2325 E. 2nd Street presents an investment opportunity. The property consists of two buildings on a 0.16-acre lot, with a total building size of 7,057 square feet. One building, constructed in 1923, contains four 1-bedroom/1-bathroom units. The second building, built in 1964, includes four 1-bedroom/1-bathroom units, one 2-bedroom/1-bathroom unit, and two studio units (one non-conforming). Six units have been renovated and feature in-unit washer/dryers. Building-wide improvements include double-pane windows and upgraded electrical systems. The property also features an on-site laundry facility and four garages, each with permits for potential Accessory Dwelling Unit (ADU) development. The property consists of 10 legal units plus one non-conforming unit. Convenient beach access and coastal living are offered in this prime Bluff Park location. Assumable financing is available at a 3.47% interest rate until October 1, 2026.
Key Highlights
- Priced at 11.9 GRM / 5.36% Cap Rate on Current Rents
- Prime Bluff Park Location
- 6 Units Renovated with In‑Unit Washer/Dryers
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$151,739
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.14%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,034,780
$3.0M
Cap Rate 7%
$2,167,700
$2.2M
Cap Rate 9%
$1,685,989
$1.7M
Market Conditions
NOI Build-Up for 7,057 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$228.7K $32.40/SF
− Vacancy
−$11.9K −$1.68/SF
EGI
$216.8K $30.72/SF
− OpEx
−$65.0K −$9.21/SF
NOI
$151.7K $21.50/SF
Area
Long Beach, CA
Vacancy
5.20%
Lease Rate
$32.40 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,034,780
Cap Rate 7%
$2,167,700
Cap Rate 9%
$1,685,989
Alternative Uses
Best Use
Multifamily LT 5
$2.17M
$1.90M – $2.53M
NOI $151,739 @ 7.0% cap · market cap 5.14%
Second Best
Apartment 5plus
$1.93M
$1.69M – $2.25M
NOI $134,963 @ 7.0% cap · market cap 4.58%
Theoretical Best
Office A
$3.78M
$3.31M – $4.41M
NOI $264,496 @ 7.0% cap · market cap 8.97%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,487
Businesses Nearby
Explore this area
Business Placement
Demographics for 90803, CA
32,192
Population
18,516
Households
1.7
Avg Household Size
46
Median Age
61%
College-Educated
95%
High-School Grad
4.1 sq mi
ZIP Area
7,852
Density / Sq Mi
$111,500
Median Household Income
$73,944
Median Earnings
$2,073
Median Rent
$1,138,300
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income home - 11-unit apartment asset located in Prime Bluff Park, Long Beach
Where is this residential income home located?
The property is located at 2325 E 2nd Street Long Beach, CA.
What is the asking price?
The asking price for this property is $2,950,000.
What are key features of this property?
This property features: Priced at 11.9 GRM / 5.36% Cap Rate on Current Rents; Prime Bluff Park Location; 6 Units Renovated with In‑Unit Washer/Dryers
