East Los Angeles Multifamily
For Sale
$699,000
606 S Kern Avenue, East Los Angeles, CA 90022
Multifamily property with three detached units in East Los Angeles.
Property Size1,553 SF
Price / SF$450.10
Days on Market489
Property Features for 606 S Kern Avenue
General Information
Standard status
Active
Size
1,553 SF
Property subtype
Multi Family
Building Details
Year Built
1926
Listing Agency:
RE/MAX MASTERS REALTY
(909) 445-8100
Listed By:
Razi Farzad · License #01230673
(909) 373-5093
Source:
Exitrealty
Added: May 3, 2025
Changed: Sep 1
Last Checked: Sep 2 at 9:38PM
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 RE/MAX MASTERS REALTY
Investment Insights
Based on property information with market context.
This multifamily property, located in East Los Angeles, presents an investment opportunity. The property features three detached units totaling 1553 square feet. The unit mix includes one unit with 2 bedrooms and 1 bath, a second unit with 1 bedroom and 1 bath, and a studio. The property is situated near shops, schools, and restaurants, with convenient access to freeways.
Key Highlights
- Investment opportunity: Three detached units on one property.
- Total living space: 1553 square feet.
- Unit mix: One 2‑bedroom/1‑bath, one 1‑bedroom/1‑bath, and one studio unit.
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
$32,468
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
4.64%
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%
$649,360
$649.4K
Cap Rate 7%
$463,829
$463.8K
Cap Rate 9%
$360,756
$360.8K
Market Conditions
NOI Build-Up for 1,553 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
$59.4K $38.28/SF
− Vacancy
−$416 −$0.27/SF
EGI
$59.0K $38.01/SF
− OpEx
−$26.6K −$17.11/SF
NOI
$32.5K $20.91/SF
Area
ZIP 90022
Vacancy
0.70%
Lease Rate
$38.28 /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%
$649,360
Cap Rate 7%
$463,829
Cap Rate 9%
$360,756
Alternative Uses
Best Use
Apartment 5plus
$463.8K
$405.9K – $541.1K
NOI $32,468 @ 7.0% cap · market cap 4.64%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$632.7K
$553.7K – $738.2K
NOI $44,292 @ 7.0% cap · market cap 6.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,265
Businesses Nearby
Explore this area
Business Placement
Demographics for 90022, CA
64,517
Population
17,845
Households
3.6
Avg Household Size
34
Median Age
10%
College-Educated
56%
High-School Grad
4.4 sq mi
ZIP Area
14,663
Density / Sq Mi
$67,829
Median Household Income
$32,304
Median Earnings
$1,407
Median Rent
$603,500
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?
Multifamily property - Multifamily property with three detached units in East Los Angeles.
Where is this multifamily property located?
The property is located at 606 S Kern Avenue East Los Angeles, CA.
What is the asking price?
The asking price for this property is $699,000.
What are key features of this property?
This property features: Investment opportunity: Three detached units on one property.; Total living space: 1553 square feet.; Unit mix: One 2‑bedroom/1‑bath, one 1‑bedroom/1‑bath, and one studio unit.
