DTLA Warehouse Investment
For Sale
$1,830,000
620 E 7th St, Los Angeles, CA 90021
Leased investment property in DTLA warehouse district, user potential.
Property Size7,500 SF
Price / SF$244
Days on Market263
Property Features for 620 E 7th St
General Information
Standard status
Active
Size
7,500 SF
Property subtype
Industrial
Building Details
Building Size
7,500 SF
Year Built
1980
Listing Agency:
Lee & Associates - Los Angeles - Central
(323) 767-2033
Listed By:
Matthew Artukovich · License #CalDRE #01188251
Source:
Lee-associates
Added: Nov 26, 2025
Changed: Aug 16
Last Checked: Aug 16 at 5:04AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Lee & Associates - Los Angeles - Central
Investment Insights
Based on property information with market context.
This property is a triple net (NNN) leased investment with a 5.3% cap rate, generating an annual net operating income (NOI) of $97,344. The current lease expires on 10/31/25, but the tenant has the option to vacate early for an owner-user. The property features a concrete block building with a height of 17 feet. It also includes fenced parking located in the rear. The property is situated in the DTLA Warehouse District and has a size of 7500 square feet.
Key Highlights
- 5.3% Cap Rate
- $97,344 Annual NOI
- Triple Net (NNN) Leased Investment
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
$113,134
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
6.18%
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%
$2,262,680
$2.3M
Cap Rate 7%
$1,616,200
$1.6M
Cap Rate 9%
$1,257,044
$1.3M
Market Conditions
NOI Build-Up for 7,500 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
$142.2K $18.96/SF
− Vacancy
−$9.1K −$1.21/SF
EGI
$133.1K $17.75/SF
− OpEx
−$20.0K −$2.66/SF
NOI
$113.1K $15.08/SF
Area
Los Angeles, CA
Vacancy
6.40%
Lease Rate
$18.96 /SF/Yr
Expense Ratio
15.00%
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%
$2,262,680
Cap Rate 7%
$1,616,200
Cap Rate 9%
$1,257,044
Alternative Uses
Best Use
Warehouse
$1.62M
$1.41M – $1.89M
NOI $113,134 @ 7.0% cap · market cap 6.18%
Second Best
Industrial
$1.33M
$1.16M – $1.55M
NOI $93,169 @ 7.0% cap · market cap 5.09%
Theoretical Best
Multifamily LT 5
$151.95M
$132.95M – $177.27M
NOI $10,636,185 @ 7.0% cap · market cap 581.21%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,570
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 90021, CA
5,192
Population
1,694
Households
3.1
Avg Household Size
46
Median Age
20%
College-Educated
64%
High-School Grad
2.0 sq mi
ZIP Area
2,596
Density / Sq Mi
$32,250
Median Household Income
$35,528
Median Earnings
$984
Median Rent
$1,075,800
Median Home Value
Market
Vacancy Rate% for Industrial in Los Angeles, CA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
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- Prologis — 1700 Bay St, Los Angeles, CA 90021
- Lams Inc. — 940 Stanford Ave Suite #2-B, Los Angeles, CA 90021
Frequently Asked Questions
What type of property is this?
Warehouse - Leased investment property in DTLA warehouse district, user potential.
Where is this warehouse located?
The property is located at 620 E 7th St Los Angeles, CA.
What is the asking price?
The asking price for this property is $1,830,000.
What are key features of this property?
This property features: 5.3% Cap Rate; $97,344 Annual NOI; Triple Net (NNN) Leased Investment
