Santa Monica Multifamily Market Report 2-4 Units

Duplex, Triplex, Fourplex Sales Analysis (April 2025 – April 2026)

Santa Monica’s multifamily market is not declining—it is recalibrating.

Recent closed sales reveal a clear shift:

Buyer behavior is more selective
Income is being scrutinized more closely
Future potential is being priced differently than current income
Pricing dispersion between similar assets has widened

This is not a single market. It is three distinct segments operating under different valuation frameworks.

Market Structure: Three Distinct Asset Types

Closed sales data across Santa Monica reveals consistent segmentation:

Duplex → hybrid, often influenced by owner-user demand
Triplex → transitional, frequently misaligned with buyer expectations
Fourplex → income-driven, with pricing tied to financial performance

Understanding this distinction is critical when interpreting comparable sales.

Duplex Sales Analysis Santa Monica(Sold Data)

Pricing Range and Dispersion

Recent duplex sales ranged from approximately:

$1.30M to $3.90M
~$789 to $1,895+ per square foot

The spread is significant, even among similar unit counts.

Santa Monica Closed Duplex Sales

Several consistent characteristics emerge: Income Metrics Are Secondary in Many Sales

237 Mabery Rd, Santa Monica (North of Montana / Trophy Asset)

• Sold Price: $3,900,000

• Living Size: 3,544 SF

• Lot Size: 6,794 SF

• Price Per SqFt: ~$1,212/SF

• Cap Rate: ~3.81%

• GRM: ~18.35

This sale behaves more like a single-family home in a premier location.

• North of Montana positioning

• Larger, more cohesive structure

• Strong owner-user demand

• Income plays a secondary role

1925 19th St, Santa Monica (Functional / Land + Value Play)

• Sold Price: $1,475,000

• Living Size: 2,178 SF

• Lot Size: 8,006 SF

• Price Per SqFt: ~$870/SF

This sale reflects a more functional, value-oriented duplex.

• Larger lot size

• Less emphasis on design or lifestyle

• Potential redevelopment or repositioning

• Pricing more aligned with land and utility

Duplex Market Evaluation Santa Monica

Closed sales suggest that duplex valuation is influenced by:

Location hierarchy
Vacancy and usability
Design and layout cohesion
Lot size and redevelopment potential

Income plays a role—but is not the primary driver in many transactions.

Triplex Sales Analysis Santa Monica(Closed Data)

Recent triplex sales ranged approximately:

$1.57M to $3.0M
~$546 to $1,032+ per square foot

Triplex Sold Data Santa Monica

827 Cedar St, Santa Monica

• Sold Price: ~$1,587,088

• Living Size: 2,929 SF

• Price Per SqFt: ~$546/SF

• Cap Rate: ~4.39%

• GRM: ~14.62

What this represents:
A true income-based purchase

• Pricing aligns with rent

• Cap rate within investor expectations

• GRM within normal underwriting range

728 11th St, Santa Monica (North of Montana / Premium Sale)

• Sold Price: $3,000,000

• Living Size: 2,514 SF

• Lot Size: 7,510 SF

• Price Per SqFt: ~$1,193/SF

• Units: 3 units (triplex)

Why Some Santa Monica Triplex Properties Sell for More

827 Cedar St

• Bought for income

• Numbers make sense

• Investor-driven

728 11th St

• Bought for location + upside

• North of Montana (top-tier location)

• Income does NOT justify price

This is not “variation” this is a different valuation framework:

827 Cedar St → ~$546/SF | ~4.39% cap | income-driven pricing
728 11th St → ~$1,193/SF | premium location | upside-driven pricing

Same property type. Completely different valuation logic.

How Buyers Actually Value Triplexes in Santa Monica

Closed sales show two very different types of buyers:

• Some buyers focus strictly on current income and stability

• Others are willing to pay more based on vacancy, upside, or redevelopment potential

This is why two similar triplexes can sell at very different prices.

Why Triplex Pricing in Santa Monica Is So Inconsistent

Triplex pricing is one of the least predictable segments in the market.

Recent sales show:

• Prices that don’t always align with current rents

• Buyers with very different expectations

• Strong sensitivity to how the property is positioned and marketed

In other words, pricing is not just about the numbers — it’s about the story, the opportunity, and how the deal is presented.

What Fourplexes Are Selling For in Santa Monica

Recent fourplex sales show a wide pricing range:

• Roughly $1.15M to $5.7M+

• Most properties fall between $1.3M and $2.2M

The spread is driven by location, income, condition, and upside potential — not just unit count.

Cap Rates and GRM Are Driving Fourplex Prices

Unlike duplexes and triplexes, fourplex buyers are highly numbers-driven.

Closed sales consistently reflect:

• Strong cap rate sensitivity

• Tight GRM alignment

• Detailed review of expenses and rent rolls

Examples:

• 2121 Stewart St → ~4.4% cap / ~15.87 GRM

• 1246 Chelsea Ave → ~4.86% cap / ~15.02 GRM

This shows that buyers are underwriting deals carefully and pricing based on actual performance.

Price Reductions Show Buyer Discipline

Recent transactions confirm that buyers are not overpaying.

Examples:

• 1256 Chelsea Ave → $2.025M list → $1.63M sale

• 1027 12th St → $2.575M list → $2.05M sale

These are not small adjustments — they reflect a clear shift toward data-driven pricing.

Why Fourplex Pricing Is More Predictable

Fourplexes are the most transparent multifamily segment in Santa Monica.

• Value is tied directly to income

• Buyers rely on underwriting, not emotion

• Pricing is based on verified numbers

Because of this, fourplex sales often give the clearest picture of the overall market.

What’s Happening Across All Multifamily Properties

Recent closed sales show consistent trends:

Longer time on market

• Properties are taking longer to sell

• Buyers are moving carefully

Frequent price reductions

• Sellers are adjusting to meet the market

• Initial pricing is often too aggressive

Negotiation is back

• Buyers are negotiating terms and price

• Fewer bidding wars

Buyers Are Focused on Real Income - Not Projections

Today’s buyers are looking closely at:

• Actual rent rolls

• Verified expenses

• In-place income

There is less reliance on:

• Pro forma rents

• Future upside assumptions

Underwriting has become more conservative.

The Gap Between Good and Bad Deals Is Growing

Not all properties are being treated equally.

Pricing differences are widening based on:

• Location quality

• Stability of income

• Physical condition

• Development or ADU potential

Well-positioned properties still perform.
Others sit or require price cuts.

What This Means If You’re Selling a Fourplex in Santa Monica

The market has shifted into a more analytical phase.

Closed sales show:

• Pricing is no longer one-size-fits-all

• Buyers behave differently depending on the asset

• Strategy and positioning directly impact the final price

The strongest sales happen when:

• The numbers make sense

• The property is positioned correctly

• The pricing aligns with buyer expectations

Thinking of Selling a Duplex, Triplex, or Fourplex in Santa Monica?

Most owners look at nearby sales and assume their property should sell for the same price.

That is where mistakes happen.

Two properties on paper may look similar, but buyers do not value them the same way.

A property north of Montana is not the same as one south of the freeway.
A building with separate meters is not the same as one with shared utilities.
A property with in-unit laundry, parking, and strong curb appeal will always outperform one without.

Then there is the bigger picture, condition, tenant profile, income stability, and most importantly, future potential.

Every property has a story.
Every lot has a highest and best use.
And every asset has a maximum value - if it is positioned correctly.

This is not a guessing game.

Today’s buyers are analytical. They underwrite deals, verify income, and compare opportunities across the market. If the property is not priced and presented correctly, it sits, or sells at a discount.

The difference between an average result and a strong result comes down to:

• Understanding how buyers actually evaluate value

• Identifying the property’s full potential

• Positioning it clearly to both analytical and visual buyers

• Pricing it strategically from the start

That is where we come in.

If you are considering selling, I can walk the property with you and give you a precise, data-driven assessment, not just based on comps, but based on how your specific property will be perceived, underwritten, and valued in today’s market.