16-Unit Apartment
For Sale
$3,200,000
16511 S Denver Avenue, Gardena, CA 90248
Two-building property with gated access, on-site laundry, and ample parking areas.
Property Size9,528 SF
Price / SF$335.85
Days on Market70
Property Features for 16511 S Denver Avenue
General Information
Standard status
Active
Size
9,528 SF
Property subtype
Multi-family
Building Details
Year Built
1988
Listing Agency:
Shield CRE,Inc.
Listed By:
Jonathan Nikfarjam
(714) 497-3550
Source:
Sevengables
Added: Jun 26
Changed: Sep 2
Last Checked: Sep 2 at 8:00PM
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 Shield CRE,Inc.
Investment Insights
Based on property information with market context.
This 16-unit apartment property comprises separate 12-unit and 4-unit buildings totaling 9,528 SF on a 12,831-SF corner lot. Improvements include newer windows and doors, six renovated units, copper plumbing in both buildings, a new main water line, and a newer sewer line completed in 2021/2022. The 12-unit building received a new roof in 2018, and the property passed its SB 721 balcony inspection.
The property includes 24 total parking spaces, gated access, and an on-site laundry facility. The 1988-built units are subject to AB 1482 rather than LA City Rent Control, while the four units built in 1965 are subject to L.A. RSO. Current metrics include a 5.77% cap rate and 10.91 GRM, with pro-forma metrics of 7.13% cap rate and 9.41 GRM. The site is approximately one-half mile from Artesia Boulevard and near Pacific Square Shopping Center and Gardena Marketplace.
The property includes 24 total parking spaces, gated access, and an on-site laundry facility. The 1988-built units are subject to AB 1482 rather than LA City Rent Control, while the four units built in 1965 are subject to L.A. RSO. Current metrics include a 5.77% cap rate and 10.91 GRM, with pro-forma metrics of 7.13% cap rate and 9.41 GRM. The site is approximately one-half mile from Artesia Boulevard and near Pacific Square Shopping Center and Gardena Marketplace.
Key Highlights
- 16 units across separate 12‑unit and 4‑unit buildings
- 9,528 SF of building area on a 12,831‑SF corner lot
- 24 total parking spaces, gated access, and on‑site laundry
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
$153,313
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
4.79%
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%
$3,066,260
$3.1M
Cap Rate 7%
$2,190,186
$2.2M
Cap Rate 9%
$1,703,478
$1.7M
Market Conditions
NOI Build-Up for 9,528 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
$303.0K $31.80/SF
− Vacancy
−$24.2K −$2.54/SF
EGI
$278.8K $29.26/SF
− OpEx
−$125.4K −$13.17/SF
NOI
$153.3K $16.09/SF
Area
Los Angeles County, CA
Vacancy
8.00%
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%
$3,066,260
Cap Rate 7%
$2,190,186
Cap Rate 9%
$1,703,478
Alternative Uses
Best Use
Apartment 5plus
$2.19M
$1.92M – $2.56M
NOI $153,313 @ 7.0% cap · market cap 4.79%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$5.10M
$4.46M – $5.95M
NOI $357,088 @ 7.0% cap · market cap 11.16%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,315
Businesses Nearby
Explore this area
Business Placement
Demographics for 90248, CA
11,295
Population
4,249
Households
2.7
Avg Household Size
42
Median Age
33%
College-Educated
84%
High-School Grad
4.8 sq mi
ZIP Area
2,353
Density / Sq Mi
$81,777
Median Household Income
$45,831
Median Earnings
$1,602
Median Rent
$646,900
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?
Apartment building - Two-building property with gated access, on-site laundry, and ample parking areas.
Where is this apartment building located?
The property is located at 16511 S Denver Avenue Gardena, CA.
What is the asking price?
The asking price for this property is $3,200,000.
What are key features of this property?
This property features: 16 units across separate 12‑unit and 4‑unit buildings; 9,528 SF of building area on a 12,831‑SF corner lot; 24 total parking spaces, gated access, and on‑site laundry
