Five-Unit Multifamily
For Sale
$1,750,000
5660 Kester Avenue, Van Nuys, CA 91411
Two-story 5-unit property built in 1951, currently around 80% occupied, zoned LARD1.5.
Property Size4,000 SF
Lot Size0.16 Acres
Price / SF$437.50
Days on Market119
Property Features for 5660 Kester Avenue
General Information
Standard status
Active
Size
4,000 SF
Class
C
Lot size
0.16 Acres
Property subtype
Commercial/Industrial
Zoning
LARD1.5
Occupancy
80%
Additional Details
Multifamily Units
5
Building Details
Year Built
1951
Stories
2
Tenancy
Multi
Listing Agency:
Rodeo Realty
(310) 740-4029
Listed By:
Roger Perry · License #01882885
(310) 740-4029
Source:
Exitrealty
Added: Apr 28
Changed: Aug 23
Last Checked: Aug 23 at 6:42AM
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 Rodeo Realty
Investment Insights
Based on property information with market context.
This two-story, low-rise multifamily property consists of five units within approximately 4,000 SF, situated on a 0.16-acre lot. Built in 1951, the building is currently operating at approximately 80% occupancy and is presented as a value-add opportunity. The asset features spacious unit layouts and may offer upside through improved management, lease-up, or renovation.
The property is zoned LARD1.5. It is listed for sale and located at 5660 Kester Ave in Sherman Oaks, CA.
As a 5-unit income property, it provides a straightforward operating profile for investors looking to acquire a centrally located residential income asset while retaining flexibility for future improvements.
The property is zoned LARD1.5. It is listed for sale and located at 5660 Kester Ave in Sherman Oaks, CA.
As a 5-unit income property, it provides a straightforward operating profile for investors looking to acquire a centrally located residential income asset while retaining flexibility for future improvements.
Key Highlights
- Two‑story 5‑unit multifamily property built in 1951
- About 4,000 SF on a 0.16‑acre lot
- Currently operating at approximately 80% occupancy
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
$64,363
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
3.68%
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%
$1,287,260
$1.3M
Cap Rate 7%
$919,471
$919.5K
Cap Rate 9%
$715,144
$715.1K
Market Conditions
NOI Build-Up for 4,000 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
$127.2K $31.80/SF
− Vacancy
−$10.2K −$2.54/SF
EGI
$117.0K $29.26/SF
− OpEx
−$52.7K −$13.17/SF
NOI
$64.4K $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%
$1,287,260
Cap Rate 7%
$919,471
Cap Rate 9%
$715,144
Alternative Uses
Best Use
Apartment 5plus
$919.5K
$804.5K – $1.07M
NOI $64,363 @ 7.0% cap · market cap 3.68%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.14M
$1.87M – $2.50M
NOI $149,911 @ 7.0% cap · market cap 8.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
80%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
2,139
Businesses Nearby
Explore this area
Business Placement
Demographics for 91411, CA
24,984
Population
10,003
Households
2.5
Avg Household Size
36
Median Age
37%
College-Educated
80%
High-School Grad
2.0 sq mi
ZIP Area
12,492
Density / Sq Mi
$77,582
Median Household Income
$42,096
Median Earnings
$1,850
Median Rent
$973,300
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 - Two-story 5-unit property built in 1951, currently around 80% occupied, zoned LARD1.5.
Where is this apartment building located?
The property is located at 5660 Kester Avenue Van Nuys, CA.
What is the asking price?
The asking price for this property is $1,750,000.
What are key features of this property?
This property features: Two‑story 5‑unit multifamily property built in 1951; About 4,000 SF on a 0.16‑acre lot; Currently operating at approximately 80% occupancy
