A Newer LA Apartment Building Finally Trades at a 5.25% Cap - Why I Like It
596K/Door and $477/SF.
At a glance
closed Aug 26, 2026
$600K bid-ask delta
3 × 1BD · 1 × 2BD · 24 × 3BD
per door
34,996 gross SF
at close, broker stated
5-story wood frame
vs. 5.6% submarket
seller obligation at close
0.39 acres · LAR3-1
1.89 stalls per unit
2025 tax year · $8,015/unit
What matters
- Who.Tower Lane Capital, through Courtleigh 1 LLC, sold the 28-unit Azure The Residences on August 26, 2026 for $16,700,000. That is $596,429 a door and $477.20 a foot. Luc Whitlock of JLL listed it. Luc is on fire with these listings! Its one after another.
- Why.The building did not clear its ask. It was listed at $17,300,000 and traded 92 days later at a $600,000 discount.
- What CoStar printed.28 units, 34,996 SF GBA, five stories, wood frame. Four affordable units. 53 covered spaces, 1.89 per unit. The mix is 24 three-bedrooms, three one-bedrooms and one two-bedroom.
- Four Affordable Units. This caught my attention because thats a lot of affordable units for a 28 unit building.
The Location
11900 Courtleigh Dr sits in the Del Rey submarket, zip 90066, on the westside corridor that runs between Culver City and Marina del Rey.
Daytime employment within one mile is 21,464 workers, and the three-mile median household income is $122,554.
The one-mile median household income of $102,326 is strong enough to support market rents at this product class without strain.
Del Rey is not Mar Vista and it is not Playa Vista, but it sits comfortably between both and absorbs westside tech and creative workers who cannot or will not pay Playa Vista rents.
The Setup
Five stories, single building, wood-frame construction, completed in 2013. 28 units across a heavily 3-bedroom-weighted mix with an Average unit SF listed at 1,402.
The LARSO / AB 1482 Picture
Built in 2013. LARSO does not apply. AB 1482 caps annual rent increases at 5% plus CPI, or 10%, whichever is lower, for buildings more than 15 years old. This building reaches that threshold in 2028, two years from now.
The ULA mansion tax at $16.7M is estimated at $918,500.
What an Operator Sees
I'm tracking this one. $596,429 a door at a stated 5.25% cap, on a 2013 building is in interesting comp for me to keep and seeing that buyers are there for quality assets.
The seller, Tower Lane Capital, still came off only $600,000, a 3% discount, from a $17.3 million ask after 92 days on market.
There is not a lot here to dive into.
We have the numbers we need: 600K a Door and $477/Sf/. I like this! At $596,000 per unit and a 5.25% cap, the buyer paid a strong price for newer construction but four affordable units represent nearly 15% of the building, which gives me pause. I'm generally more comfortable when affordable units make up no more than 10% of the building.
I research these transactions to sharpen my own investment strategy and share what I find so Los Angeles owners, brokers and investors can debate the market with better information.
Know one other LA owner who'd want this deal? Forward this — reply with their email and I'll add them.
Property and transaction data: CoStar Research.
Write to David Safai at David@AtlasBrief.La
Appeared in the Sept. 6, 2026 edition of The Tape.