Duplex Lot Redevelopment
For Sale
$799,990
Pending
2238 Walnut Ave, Signal Hill, CA 90755
Duplex lot in prime Signal Hill location, redevelopment opportunity.
Property Size1,620 SF
Lot Size0.12 Acres
Days on Market268
Property Features for 2238 Walnut Ave
General Information
Standard status
Pending
Size
1,620 SF
Lot size
0.12 Acres
Property subtype
Other
Building Details
Building Size
1,620 SF
Year Built
1954
Stories
2
Units
2
Listing Agency:
Del Rey Residential
(949) 396-2974
Listed By:
Julian Nan · License #01928893
(949) 396-2974
Source:
Elliman
Added: Nov 28, 2025
Changed: Aug 8
Last Checked: Jul 23 at 9:46AM
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 Del Rey Residential
Investment Insights
Based on property information with market context.
This property presents an opportunity to re-imagine a duplex lot situated in a prime location within Signal Hill. The 5,131 square foot lot is suitable for redevelopment or renovation of a duplex with an additional dwelling unit (ADU). The units are currently occupied. The property is located across the street from Signal Hill Elementary School and offers convenient access to the 405 Freeway. It is located 4.8 miles from Belmont Shore, 3.3 miles from Long Beach Airport, and 3.5 miles from the Long Beach Aquarium of the Pacific.
Key Highlights
- Prime location in Signal Hill with duplex + ADU redevelopment/renovation potential on a 5,131 sq ft lot.
- Located across the street from the highly‑rated Signal Hill Elementary School.
- Convenient access to the 405 Freeway.
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
$28,291
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
3.54%
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%
$565,820
$565.8K
Cap Rate 7%
$404,157
$404.2K
Cap Rate 9%
$314,344
$314.3K
Market Conditions
NOI Build-Up for 1,620 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
$43.7K $27.00/SF
− Vacancy
−$3.3K −$2.05/SF
EGI
$40.4K $24.95/SF
− OpEx
−$12.1K −$7.48/SF
NOI
$28.3K $17.46/SF
Area
Los Angeles County, CA
Vacancy
7.60%
Lease Rate
$27.00 /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%
$565,820
Cap Rate 7%
$404,157
Cap Rate 9%
$314,344
Alternative Uses
Best Use
Multifamily LT 5
$404.2K
$353.6K – $471.5K
NOI $28,291 @ 7.0% cap · market cap 3.54%
Second Best
Apartment 5plus
$372.4K
$325.8K – $434.5K
NOI $26,067 @ 7.0% cap · market cap 3.26%
Theoretical Best
Office A
$867.3K
$758.9K – $1.01M
NOI $60,714 @ 7.0% cap · market cap 7.59%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,561
Businesses Nearby
Explore this area
Business Placement
Demographics for 90755, CA
11,923
Population
5,071
Households
2.4
Avg Household Size
38
Median Age
38%
College-Educated
88%
High-School Grad
2.2 sq mi
ZIP Area
5,420
Density / Sq Mi
$102,684
Median Household Income
$61,069
Median Earnings
$1,817
Median Rent
$730,200
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?
Duplex - Duplex lot in prime Signal Hill location, redevelopment opportunity.
Where is this duplex located?
The property is located at 2238 Walnut Ave Signal Hill, CA.
What is the asking price?
The asking price for this property is $799,990.
What are key features of this property?
This property features: Prime location in Signal Hill with duplex + ADU redevelopment/renovation potential on a 5,131 sq ft lot.; Located across the street from the highly‑rated Signal Hill Elementary School.; Convenient access to the 405 Freeway.
