Q1 2025 Van Nuys Multifamily Market Report
Highlights
- Van Nuys multifamily continues to appeal to renters seeking greater affordability relative to Los Angeles averages. Asking rents in Van Nuys average $1,845 per unit.
- Looking ahead, the largest multifamily project slated for delivery is a 208-unit Class A development, expected to be completed in April 2025.
- Investment activity during the first quarter of 2025 was headlined by the sale of a Class C property, which traded for $4.9 million.
By the Numbers
- Units Delivered: 0
- Units Absorbed: 154
- Units Under Construction: 358
- Vacancy Rate: 3.1%
- Rent Growth: 0.8%
- Market Asking Rent Per Unit: $1,845
LA County Demographics
- Employment Rate: 61.3%
- Current Population: 10,014,009
- Households: 3,450,470
- Median Household Income: $86,587
Construction
The Van Nuys multifamily construction pipeline has slowed down, with no units delivered in Q1 2025. However, unit growth on a percentage basis in Van Nuys recorded the highest level among the San Fernando Valley’s submarkets, besides Woodland Hills and North Hollywood/Studio City. Once the 358 units currently under construction are completed, Van Nuys’ unit count will increase by 1.5%. The largest property under construction is The Brightly, which comprises 208 units. The apartment complex is expected to deliver in April, and will be a Class A property. It will feature a mix of studio to 3-bedroom units, and will have an asking rent of $2,642 per unit.
Vacancy and Rent
Van Nuys’ vacancy rate remained stable throughout 2024, and this continued during Q1 2025 with a vacancy rate of 3.1%. The stabilization for its vacancy level can be attributed to the decrease in deliveries, which could change once the units under construction are finalized. Rent growth also remained stable throughout the past year and into Q1 2025, with rent growth at 0.8%. The current average asking rent of $1,845 is around 20% lower than Los Angeles, which draws residents seeking lower rents to the area.
Sales
Transaction volume in Van Nuys recorded $14.1 million during Q1 2025. Sales activity for this quarter decreased from 2024 levels, specifically the $31.7 million transacted in Q1 2024. The slowdown in transactions is likely due to increased debt costs and property taxes implemented by the City of Los Angeles on property sales. The average market price has also declined, recording a level of $270,000 per unit. The largest sale in Q1 2025 occurred at 8030 Langdon Ave. The Class C property traded for $4.9 million, or $148,485 per unit, with a 4.6% cap rate.
