Lucrum Real Estate Group is pleased to present The Fifth & Montana, a 10-unit multifamily investment located at 848 5th Street in Santa Monica, California. The property offers investors a compelling combination of strong in-place income, substantial parking, rental upside, and attractive financing potential. With an estimated 5.53% current cap rate and 12 parking spaces for 10 units, The Fifth & Montana provides meaningful current yield with the potential for attractive leverage and interest-only financing, together with additional income-growth potential.
Built in 1956, the two-building property comprises approximately 7,192 square feet on an approximately 7,492-square-foot lot and includes three studios, six one-bedroom units, and one three-bedroom, three-bath unit. The property features 12 parking spaces, consisting of seven subterranean spaces and five rear alley garage spaces, providing a notable 1.2 spaces per unit.
Six of the property’s ten units have undergone renovations, including three remodeled since 2024. Additional improvements include a roof overlay completed in early 2024, Vulkem deck work completed in 2023, and recent exterior painting and staircase improvements.
The property offers a mix of renovated and classic interiors, with select units featuring updated kitchens and baths, stainless steel appliances, hardwood-style flooring, exposed-beam ceilings, and private outdoor space. Residents also benefit from substantial on-site parking, a dedicated laundry room, landscaped common areas, and the property’s intimate 10-unit scale.
Current NOI is estimated at approximately $225,450, with approximately 11.8% rental upside providing a path to projected NOI of approximately $263,211. At market rents, the property generates a projected 6.46% market cap rate, offering investors the opportunity to grow cash flow over time while benefiting from a meaningful going-in yield.
The Fifth & Montana is located in Santa Monica’s Wilshire-Montana neighborhood, approximately one block south of Montana Avenue. The location combines a primarily residential setting with immediate access to Montana Avenue’s more than 150 restaurants and retailers, including neighborhood cafés, restaurants, boutiques, and everyday services.
Residents also benefit from convenient proximity to Palisades Park, Santa Monica’s coastline, Downtown Santa Monica, Third Street Promenade, and Santa Monica Place. The property earns a 95 Bike Score®—Biker’s Paradise and an 84 Walk Score®—Very Walkable, reinforcing the ability to access many daily needs and neighborhood amenities without relying exclusively on a vehicle. Nearby healthcare, education, technology, and entertainment employers provide additional access to a diverse Santa Monica employment base.
For multifamily investors, this combination of coastal proximity, walkability, neighborhood amenities, and strong surrounding demographics reinforces the property’s resident appeal. ZIP Code 90403 reports a median household income of approximately $122,000, providing additional economic context for The Fifth & Montana’s position within the Santa Monica rental market.
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