29-Unit Apartment Building with
For Sale
$5,600,000
515 West 3rd Street, Long Beach, CA 90802
La Pasada is a 29-unit apartment building with central HVAC, renovated interiors, and an on-site laundry facility.
Property Size9,588 SF
Price / SF$584.06
Days on Market163
Property Features for 515 West 3rd Street
General Information
Standard status
Active
Size
9,588 SF
Property subtype
Residential Income / Res Income 2-4 Units
Zoning
Assessor
Net Operating Income
$255,836
Additional Details
Highway Access
Yes
Multifamily Units
29
Amenities
on-site laundry facility
Building Details
Year Built
1928
Buildings
1
Units
29
Tenancy
Multi
Listing Agency:
Mike Marcu, Broker
(949) 688-1224
Listed By:
Mike Marcu · License #00919594
(949) 688-1224
Source:
Compass
Added: Mar 18
Changed: Aug 25
Last Checked: Aug 26 at 1:38PM
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.
La Pasada is a 29-unit apartment building consisting of 11 SRO units, 14 studios, and 4 one-bedroom apartments. Originally constructed as a hotel, the property has operated as apartments for more than two decades while retaining its grandfathered hotel zoning, providing flexibility to continue operating as apartments or explore future short-term lodging opportunities. Substantial capital improvements include renovated unit interiors, central HVAC throughout all 29 units, a remodeled second-floor community bathroom, updated building systems, and an on-site laundry facility. Additional upgrades include a newer roof, upgraded electrical infrastructure, replacement windows, and sewer line improvements.
Situated at 515 W. 3rd Street in Downtown Long Beach, the property is within walking distance of the waterfront and nearby destinations including the Aquarium of the Pacific, Long Beach Convention Center, Shoreline Village, and Cesar E. Chavez Park. Access is also convenient to the 710 Freeway, Pacific Coast Highway, and public transportation, with ongoing redevelopment activity in the surrounding downtown area.
Seller financing is available, offering 75% LTV at 4% interest with interest-only payments for up to five years.
Situated at 515 W. 3rd Street in Downtown Long Beach, the property is within walking distance of the waterfront and nearby destinations including the Aquarium of the Pacific, Long Beach Convention Center, Shoreline Village, and Cesar E. Chavez Park. Access is also convenient to the 710 Freeway, Pacific Coast Highway, and public transportation, with ongoing redevelopment activity in the surrounding downtown area.
Seller financing is available, offering 75% LTV at 4% interest with interest-only payments for up to five years.
Key Highlights
- 29‑unit apartment building at 515 W. 3rd Street in Downtown Long Beach
- Unit mix: 11 SRO units, 14 studios, and 4 one‑bedroom apartments
- Central HVAC throughout all 29 units and renovated unit interiors
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
$183,356
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
3.27%
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%
$3,667,120
$3.7M
Cap Rate 7%
$2,619,371
$2.6M
Cap Rate 9%
$2,037,289
$2.0M
Market Conditions
NOI Build-Up for 9,588 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
$350.9K $36.60/SF
− Vacancy
−$17.5K −$1.83/SF
EGI
$333.4K $34.77/SF
− OpEx
−$150.0K −$15.65/SF
NOI
$183.4K $19.12/SF
Area
Long Beach, CA
Vacancy
5.00%
Lease Rate
$36.60 /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%
$3,667,120
Cap Rate 7%
$2,619,371
Cap Rate 9%
$2,037,289
Alternative Uses
Best Use
Apartment 5plus
$2.62M
$2.29M – $3.06M
NOI $183,356 @ 7.0% cap · market cap 3.27%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$5.13M
$4.49M – $5.99M
NOI $359,336 @ 7.0% cap · market cap 6.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
29
Residential units
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
5,511
Businesses Nearby
Explore this area
Business Placement
Demographics for 90802, CA
41,686
Population
25,055
Households
1.7
Avg Household Size
37
Median Age
44%
College-Educated
88%
High-School Grad
6.5 sq mi
ZIP Area
6,413
Density / Sq Mi
$72,152
Median Household Income
$52,011
Median Earnings
$1,855
Median Rent
$546,700
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 - La Pasada is a 29-unit apartment building with central HVAC, renovated interiors, and an on-site laundry facility.
Where is this apartment building located?
The property is located at 515 West 3rd Street Long Beach, CA.
What is the asking price?
The asking price for this property is $5,600,000.
What are key features of this property?
This property features: 29‑unit apartment building at 515 W. 3rd Street in Downtown Long Beach; Unit mix: 11 SRO units, 14 studios, and 4 one‑bedroom apartments; Central HVAC throughout all 29 units and renovated unit interiors
