CBRE announced the sale of a nine-unit multifamily property at 6744 Orizaba Avenue in Long Beach, California to a private investor for $2.41 million. The selling price represents $267,778 per unit and $310 per square foot.
CBRE’s Executive Vice President Dan Blackwell, Senior Associate Trey Mitchell, and Associate Jack O’Connor represented both the buyer and seller in this transaction. The seller, looking to retire and manage estate planning, was based in Riverside County, while the buyer, aiming to grow their multifamily portfolio, was based in Los Angeles County.
“Through our exclusive marketing process, we generated multiple offers for this well-located property with a rare unit mix and procured a buyer who closed escrow at 97% of the asking price,” Blackwell said. “This was a great fit for our buyer-client who was looking to expand the number of doors.”
According to Mitchell, “The buyer was attracted to the property’s desirable North Long Beach location, its attractive unit mix of primarily two-bedroom units, and the potential for additional income through operational improvements and converting garage parking into additional dwelling units (ADUs). The current cap rate of 5.88% provides strong cash flow from day one, with the potential to increase to 7.03% after improvements, and further if the buyer adds any ADUs.”
Built in 1973, the two-story, 7,770-square-foot apartment building is located on a 9,540-square-foot lot at the corner of Orizaba Avenue and East 67th Way. The apartment community features one studio unit and eight two-bedroom, two-bathroom units, providing a spacious living environment that is hard to find in the area. The property also includes an on-site laundry facility, 10 single-car garages, and a roof replaced in 2017.
Long Beach is the seventh most populous city in California and is known for its diverse, interwoven neighborhoods within a large city. Located 25 miles south of Los Angeles, it serves as a principal city in the Los Angeles-Long Beach-Santa Ana metropolitan area, servicing a population of over 460,000. Long Beach is ranked among the top 20 most diverse cities in America and is recognized as a top city for outdoor activities and digital innovation.
“Well-located multifamily properties in Long Beach represent a strong investment due to the city’s diverse and growing population, robust job market, and vibrant community amenities,” said Mitchell. “The proximity to major thoroughfares, schools, parks, and business districts enhances the appeal for renters, ensuring high occupancy rates and stable cash flow. Additionally, Long Beach’s ongoing development and revitalization efforts continue to drive property values upward, making it an attractive market for investors seeking long-term growth and stability.”
This sale marks the Multifamily SoCal Team’s 24th Long Beach closing in the last 36 months.
