Melrose Avenue Retail
For Sale
$2,450,000
7415 - 7417 Melrose Ave, Los Angeles, CA 90046
Prime retail location on Melrose Avenue for sale.
Property Size4,275 SF
Price / SF$573.10
Days on Market270
Property Features for 7415 - 7417 Melrose Ave
General Information
Standard status
Active
Size
4,275 SF
Class
B
Property subtype
Retail
Building Details
Building Size
4,275 SF
Year Built
1924
Listing Agency:
Lee & Associates
(323) 767-2113
Listed By:
Jim Halferty · License #CalDRE #01212024
Source:
Lee-associates
Added: Nov 26, 2025
Changed: Aug 23
Last Checked: Aug 23 at 3:32AM
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 Lee & Associates
Investment Insights
Based on property information with market context.
This retail property is located on Melrose Avenue, between La Brea Avenue and Fairfax Avenue, in the Melrose Avenue Shopping District. The property offers parking and loading access via a rear alley. The location is near shops, restaurants, and other area amenities. The daily traffic count is approximately 30,000 cars per day. The property size is 4,275 square feet. It may be possible to divide the property into two stores. This property presents a rare opportunity for an owner/user to purchase in a prime retail location.
Key Highlights
- Prime retail location on Melrose Avenue.
- High traffic count (approx. 30,000 cars per day).
- Rare owner/user opportunity.
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
$99,211
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
4.05%
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%
$1,984,220
$2.0M
Cap Rate 7%
$1,417,300
$1.4M
Cap Rate 9%
$1,102,344
$1.1M
Market Conditions
NOI Build-Up for 4,275 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
$158.0K $36.96/SF
− Vacancy
−$16.3K −$3.81/SF
EGI
$141.7K $33.15/SF
− OpEx
−$42.5K −$9.95/SF
NOI
$99.2K $23.21/SF
Area
Los Angeles, CA
Vacancy
10.30%
Lease Rate
$36.96 /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%
$1,984,220
Cap Rate 7%
$1,417,300
Cap Rate 9%
$1,102,344
Alternative Uses
Best Use
Retail
$1.42M
$1.24M – $1.65M
NOI $99,211 @ 7.0% cap · market cap 4.05%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$86.61M
$75.78M – $101.04M
NOI $6,062,625 @ 7.0% cap · market cap 247.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,398
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 90046, CA
49,987
Population
31,929
Households
1.6
Avg Household Size
39
Median Age
63%
College-Educated
95%
High-School Grad
5.7 sq mi
ZIP Area
8,770
Density / Sq Mi
$94,259
Median Household Income
$65,607
Median Earnings
$2,204
Median Rent
$1,411,500
Median Home Value
Market
Vacancy Rate% for Retail in Los Angeles, CA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Storefront property - Prime retail location on Melrose Avenue for sale.
Where is this storefront property located?
The property is located at 7415 - 7417 Melrose Ave Los Angeles, CA.
What is the asking price?
The asking price for this property is $2,450,000.
What are key features of this property?
This property features: Prime retail location on Melrose Avenue.; High traffic count (approx. 30,000 cars per day).; Rare owner/user opportunity.
