3-Unit Multifamily with Garage
For Sale
$1,000,000
7032 Somerset, Paramount, CA 90723
Well-maintained 3-unit multifamily in Paramount featuring a garage conversion leased for years and multiple unit bed/bath layouts.
Property Size2,400 SF
Days on Market21
Property Features for 7032 Somerset
General Information
Standard status
Active
Size
2,400 SF
Property subtype
Investment
Additional Details
Multifamily Units
4
Building Details
Building Size
2,400 SF
Year Built
1939
Units
4
Tenancy
Multi
Listing Agency:
(909) 917-8388
Listed By:
Aaron Juarez · License #01295422
Source:
Elliman
Added: Jul 24
Changed: Aug 8
Last Checked: Aug 12 at 9:08AM
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 Aaron Juarez
Investment Insights
Based on property information with market context.
This well-maintained multifamily property offers three residential units plus a garage conversion that has been rented for years. The front unit is a 3-bedroom, 1-bath layout, the second unit is a 2-bedroom, 1-bath layout, and the third unit is a 2-bedroom, 2-bath layout. The garage conversion is described as completed in a workmanlike manner; however, permit status is not confirmed and the buyer should conduct due diligence regarding compliance.
The property is located in Paramount, CA 90723. BikeScore is listed as 56 and WalkScore as 77, with TransitScore noted as 41.
The building is presented as having been consistently cared for over the years, with minimal deferred maintenance reported. The current rent is stated as $1,500, and it is noted that this amount is not included in the rents shown on the unit information page.
The property is located in Paramount, CA 90723. BikeScore is listed as 56 and WalkScore as 77, with TransitScore noted as 41.
The building is presented as having been consistently cared for over the years, with minimal deferred maintenance reported. The current rent is stated as $1,500, and it is noted that this amount is not included in the rents shown on the unit information page.
Key Highlights
- 3‑unit multifamily built in 1939 in Paramount.
- Unit mix includes a front 3 bed / 1 bath unit.
- Additional units include a 2 bed / 1 bath unit and a 2 bed / 2 bath 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
$41,913
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
4.19%
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%
$838,260
$838.3K
Cap Rate 7%
$598,757
$598.8K
Cap Rate 9%
$465,700
$465.7K
Market Conditions
NOI Build-Up for 2,400 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
$64.8K $27.00/SF
− Vacancy
−$4.9K −$2.05/SF
EGI
$59.9K $24.95/SF
− OpEx
−$18.0K −$7.48/SF
NOI
$41.9K $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%
$838,260
Cap Rate 7%
$598,757
Cap Rate 9%
$465,700
Alternative Uses
Best Use
Multifamily LT 5
$598.8K
$523.9K – $698.6K
NOI $41,913 @ 7.0% cap · market cap 4.19%
Second Best
Apartment 5plus
$551.7K
$482.7K – $643.6K
NOI $38,618 @ 7.0% cap · market cap 3.86%
Theoretical Best
Office A
$1.28M
$1.12M – $1.50M
NOI $89,947 @ 7.0% cap · market cap 8.99%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Residential units
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,827
Businesses Nearby
Explore this area
Business Placement
Demographics for 90723, CA
53,770
Population
14,585
Households
3.7
Avg Household Size
33
Median Age
13%
College-Educated
66%
High-School Grad
4.7 sq mi
ZIP Area
11,440
Density / Sq Mi
$70,912
Median Household Income
$35,032
Median Earnings
$1,772
Median Rent
$500,400
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?
Quadplex - Well-maintained 3-unit multifamily in Paramount featuring a garage conversion leased for years and multiple unit bed/bath layouts.
Where is this quadplex located?
The property is located at 7032 Somerset Paramount, CA.
What is the asking price?
The asking price for this property is $1,000,000.
What are key features of this property?
This property features: 3‑unit multifamily built in 1939 in Paramount.; Unit mix includes a front 3 bed / 1 bath unit.; Additional units include a 2 bed / 1 bath unit and a 2 bed / 2 bath unit.
