30-Unit Multifamily
For Sale
$13,650,000
884 Palm Ave, West Hollywood, CA 90069
For sale 30-unit apartment building offering steady rental income potential based on a stated 4.94% figure.
Property Size33,802 SF
Days on Market55
Property Features for 884 Palm Ave
General Information
Standard status
Active
Size
33,802 SF
Property subtype
Multifamily
Additional Details
Cap Rate
4.94%
Multifamily Units
30
Amenities
Desirable Unit Mix: Large, well-balanced unit composition that caters to a broad tenant base, supporting long-term occupancy stability. Large Units.
Value-Add Opportunity: Potential to enhance revenue through interior upgrades, operational efficiencies, and improved property management practices.
Walkable, Amenity-Rich Neighborhood: Tenants benefit from a highly walkable location with immediate access to grocery stores, nightlife, cafes, and public transportation.
Prime West Hollywood North of Sunset Location: Situated in one of Los Angeles' most desirable rental markets, the property benefits from close proximity to Sunset Strip, Santa Monica Boulevard, and major lifestyle amenities including dining, retail, and entertainment.
Strong Rental Demand Submarket: West Hollywood consistently experiences high tenant demand driven by limited housing supply, walkability, and access to major employment hubs throughout the Westside and Hollywood.
Subterranean Parking
Low income restrictions for eternity: Units 105, 106, 205, 305 and 310
Building Details
Building Size
33,802 SF
Units
30
Listing Agency:
Marcus & Millichap - Los Angeles
(310) 909-5454
Listed By:
Tony Azzi · License #License(s): CA: 00910513
(310) 909-5454
Source:
Marcusmillichap
Added: Jun 22
Changed: Aug 8
Last Checked: Aug 15 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 Marcus & Millichap - Los Angeles
Investment Insights
Based on property information with market context.
This offering presents the acquisition of 884 Palm Ave, a 30-unit apartment building positioned as a residential income property. The property is being marketed as an investment opportunity for buyers looking to add a small multifamily asset to their portfolio.
The building is located in the 90069 ZIP code of Los Angeles, California (West Hollywood). The transaction is presented as a for-sale opportunity through Marcus & Millichap.
The property’s 30-unit configuration may appeal to investors seeking a manageable scale multifamily investment with ongoing income generation. The public remarks also reference a 4.94% figure, which provides a basis for evaluating the asset within the context of the seller’s stated performance metrics. Interested parties should review available financial and operating details directly associated with the offering to confirm fit and underwriting assumptions for their specific investment criteria.
The building is located in the 90069 ZIP code of Los Angeles, California (West Hollywood). The transaction is presented as a for-sale opportunity through Marcus & Millichap.
The property’s 30-unit configuration may appeal to investors seeking a manageable scale multifamily investment with ongoing income generation. The public remarks also reference a 4.94% figure, which provides a basis for evaluating the asset within the context of the seller’s stated performance metrics. Interested parties should review available financial and operating details directly associated with the offering to confirm fit and underwriting assumptions for their specific investment criteria.
Key Highlights
- 30‑unit apartment building for sale at 884 Palm Ave in the 90069 zip code of Los Angeles
- Stated 4.94% figure provided in the listing description
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
$543,901
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
3.98%
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%
$10,878,020
$10.9M
Cap Rate 7%
$7,770,014
$7.8M
Cap Rate 9%
$6,043,344
$6.0M
Market Conditions
NOI Build-Up for 33,802 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
$1.07M $31.80/SF
− Vacancy
−$86.0K −$2.54/SF
EGI
$988.9K $29.26/SF
− OpEx
−$445.0K −$13.17/SF
NOI
$543.9K $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%
$10,878,020
Cap Rate 7%
$7,770,014
Cap Rate 9%
$6,043,344
Alternative Uses
Best Use
Apartment 5plus
$7.77M
$6.80M – $9.07M
NOI $543,901 @ 7.0% cap · market cap 3.98%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$18.10M
$15.84M – $21.11M
NOI $1,266,822 @ 7.0% cap · market cap 9.28%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
30
Residential units
Location Intelligence
Trade Area within ½ mile
6,863
Businesses Nearby
Explore this area
Business Placement
Demographics for 90069, CA
20,584
Population
15,160
Households
1.4
Avg Household Size
44
Median Age
72%
College-Educated
97%
High-School Grad
2.2 sq mi
ZIP Area
9,356
Density / Sq Mi
$110,705
Median Household Income
$80,535
Median Earnings
$2,230
Median Rent
$1,085,900
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 - For sale 30-unit apartment building offering steady rental income potential based on a stated 4.94% figure.
Where is this apartment building located?
The property is located at 884 Palm Ave West Hollywood, CA.
What is the asking price?
The asking price for this property is $13,650,000.
What are key features of this property?
This property features: 30‑unit apartment building for sale at 884 Palm Ave in the 90069 zip code of Los Angeles; Stated 4.94% figure provided in the listing description
