Multifamily Building in Santa
For Sale
$2,400,000
1239 Brook Street W, Santa Ana, CA 92703
12-unit multifamily building with upside potential in Santa Ana.
Property Size7,770 SF
Days on Market203
Property Features for 1239 Brook Street W
General Information
Standard status
Active
Size
7,770 SF
Property subtype
Apartment
Building Details
Building Size
7,770 SF
Year Built
1964
Listing Agency:
Mike Marcu, Broker
(562) 260-0940
Listed By:
Mike Marcu · License #00919594
Source:
Altamirarealty
Added: Feb 10
Changed: Aug 28
Last Checked: Aug 31 at 12:13AM
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 Mike Marcu, Broker
Investment Insights
Based on property information with market context.
The property at 1239 West Brook Street is a 12-unit multifamily building in Santa Ana, California. This two-story building contains 12 one-bedroom, one-bath apartment units. The units feature functional floorplans. Offered at a 10.93 Gross Rent Multiplier and a 5.25% capitalization rate, the property provides an attractive basis with potential for rental growth. The property is part of the Brook Street portfolio, which includes additional properties at 1227 West Brook Street (11 units), 1207-1213 West Brook Street (18 units), and 1221 West Brook Street (11 units). These four properties are structured to close concurrently but can be purchased individually or in combination. The portfolio benefits from strong occupancy, proximity to major employment corridors, and convenient access to the 5, 22, 55, and 405 freeways.
Key Highlights
- Attractive 5.25% capitalization rate with potential for rental growth.
- Desirable unit mix of 12 one‑bedroom, one‑bath apartment units.
- Part of the Brook Street portfolio, offering flexibility to purchase individually or in combination with other properties.
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
$130,326
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
5.43%
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%
$2,606,520
$2.6M
Cap Rate 7%
$1,861,800
$1.9M
Cap Rate 9%
$1,448,067
$1.4M
Market Conditions
NOI Build-Up for 7,770 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
$247.1K $31.80/SF
− Vacancy
−$10.1K −$1.30/SF
EGI
$237.0K $30.50/SF
− OpEx
−$106.6K −$13.72/SF
NOI
$130.3K $16.77/SF
Area
ZIP 92703
Vacancy
4.10%
Lease Rate
$31.80 /SF/Yr
Expense Ratio
45.00%
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%
$2,606,520
Cap Rate 7%
$1,861,800
Cap Rate 9%
$1,448,067
Alternative Uses
Best Use
Apartment 5plus
$1.86M
$1.63M – $2.17M
NOI $130,326 @ 7.0% cap · market cap 5.43%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.25M
$1.97M – $2.62M
NOI $157,422 @ 7.0% cap · market cap 6.56%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
873
Businesses Nearby
Explore this area
Business Placement
Demographics for 92703, CA
65,621
Population
14,644
Households
4.5
Avg Household Size
34
Median Age
13%
College-Educated
60%
High-School Grad
4.2 sq mi
ZIP Area
15,624
Density / Sq Mi
$80,817
Median Household Income
$33,363
Median Earnings
$1,922
Median Rent
$585,900
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Apartment building - 12-unit multifamily building with upside potential in Santa Ana.
Where is this apartment building located?
The property is located at 1239 Brook Street W Santa Ana, CA.
What is the asking price?
The asking price for this property is $2,400,000.
What are key features of this property?
This property features: Attractive 5.25% capitalization rate with potential for rental growth.; Desirable unit mix of 12 one‑bedroom, one‑bath apartment units.; Part of the Brook Street portfolio, offering flexibility to purchase individually or in combination with other properties.
