Built in 1984 | Fully Permitted ADU 504 Clay Ave 8 Unit Apartment Building $3,725,000 ($465,625/Unit) 4.18% Cap Rate Huntington Beach, CA 92648

Matthews, as the exclusive listing agent, is pleased to offer the opportunity to acquire 504 Clay Avenue, an exceptional 8-unit apartment community located in the highly desirable Garfield neighborhood of Huntington Beach. Situated just north of Yorktown Avenue and less than one mile from Downtown Huntington Beach, Main Street, Pacific Coast Highway, and the beach, the property offers residents convenient access to shopping, dining, and coastal amenities. Positioned on a rare island parcel with no adjacent residential buildings, the property provides an uncommon level of privacy within one of Orange County's most sought-after coastal rental markets.
Originally constructed in 1984, the property consists of seven (7) apartment units plus one (1) fully permitted ADU completed in 2023, totaling approximately 6,400 rentable square feet on a 10,001 square foot lot. The unit mix includes three (3) one-bedroom / one-bathroom units, one (1) two-bedroom / one-and-one-half-bathroom townhome, and four (4) two-bedroom / two-bathroom units, including the approximately 800-square-foot ADU featuring solar panels, a private backyard, in-unit washer and dryer, separate electric meter, and individual water heater. Three units have been extensively renovated, while the remaining units feature upgraded interiors. Additional improvements include fresh exterior paint, new perimeter fencing, and a brand-new central water heater serving the original seven units. Residents enjoy private patios or balconies, individual garages, additional on-site parking, and a RUBS program already in place to help maximize net operating income.
Overall, 504 Clay Avenue represents a rare opportunity to acquire a well-maintained, pride-of-ownership asset offering strong in-place cash flow with approximately 19% rental upside. Combining a recently constructed, fully permitted ADU, meaningful capital improvements, low operating expenses, and an irreplaceable coastal location less than one mile from the beach, the property offers an exceptional balance of immediate income and long-term appreciation.
David Harrington, License # 01320460, 02168060 (CA)