Bellflower Multifamily Investment
For Sale
$5,150,000
9240 Palm Street, Bellflower, CA 90706
16-unit apartment building in Bellflower, Los Angeles County.
Property Size13,421 SF
Price / SF$383.73
Days on Market179
Property Features for 9240 Palm Street
General Information
Standard status
Active
Size
13,421 SF
Property subtype
Apartment
Taxes and HOA fees
Annual Taxes
$63,617
Building Details
Building Size
13,421 SF
Year Built
1963
Listing Agency:
Morgan Skenderian
(949) 251-8800
Listed By:
Doug Rodermund · License #01314304
Source:
Velocityrealtysd
Added: Feb 25
Changed: Aug 23
Last Checked: Aug 23 at 6:34AM
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 Morgan Skenderian
Investment Insights
Based on property information with market context.
Located in the city of Bellflower, Los Angeles County, the property at 9240 Palm Street presents an investment opportunity in a family-oriented community of approximately 76,000 residents. Bellflower is situated roughly 14 miles southeast of Downtown Los Angeles, 3 miles north of Orange County, and 8 miles northeast of the Pacific Coastline. The property consists of 16 units, with a mix of eight 1-bedroom/1-bathroom units and eight 2-bedroom/2-bathroom units. The property size is 13,421 square feet. On-site amenities include laundry facilities, secure parking, and patios. Notably, Bellflower does not have municipal rent control.
Key Highlights
- 16‑unit apartment building featuring a mix of 1‑bedroom/1‑bathroom and 2‑bedroom/2‑bathroom units.
- Located in Bellflower, a family‑oriented community.
- No municipal rent control.
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
$215,955
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%
$4,319,100
$4.3M
Cap Rate 7%
$3,085,071
$3.1M
Cap Rate 9%
$2,399,500
$2.4M
Market Conditions
NOI Build-Up for 13,421 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
$426.8K $31.80/SF
− Vacancy
−$34.1K −$2.54/SF
EGI
$392.6K $29.26/SF
− OpEx
−$176.7K −$13.17/SF
NOI
$216.0K $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%
$4,319,100
Cap Rate 7%
$3,085,071
Cap Rate 9%
$2,399,500
Alternative Uses
Best Use
Apartment 5plus
$3.09M
$2.70M – $3.60M
NOI $215,955 @ 7.0% cap · market cap 4.19%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$7.19M
$6.29M – $8.38M
NOI $502,989 @ 7.0% cap · market cap 9.77%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,058
Businesses Nearby
Explore this area
Business Placement
Demographics for 90706, CA
79,179
Population
24,499
Households
3.2
Avg Household Size
36
Median Age
20%
College-Educated
78%
High-School Grad
6.1 sq mi
ZIP Area
12,980
Density / Sq Mi
$77,602
Median Household Income
$38,452
Median Earnings
$1,771
Median Rent
$661,100
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 - 16-unit apartment building in Bellflower, Los Angeles County.
Where is this apartment building located?
The property is located at 9240 Palm Street Bellflower, CA.
What is the asking price?
The asking price for this property is $5,150,000.
What are key features of this property?
This property features: 16‑unit apartment building featuring a mix of 1‑bedroom/1‑bathroom and 2‑bedroom/2‑bathroom units.; Located in Bellflower, a family‑oriented community.; No municipal rent control.
