46,062-square-foot Mora Kai Apartments trades for approximately $384,000 per unit
In a Southern California apartment market where buyers have become more selective, a recent Huntington Beach transaction shows that well-located properties with operational upside are still finding takers. The 42-unit Mora Kai Apartments at 18881 Mora Kai Lane sold on Dec. 23, 2025, for $16.13 million, or roughly $384,000 per unit. The buyer is an Irvine-based entity affiliated with Raafat Salem.
The property was marketed by Dario Svidler of Svidler CRE and Dafna Milstein of MS Property Partners through Keller Williams Commercial in Beverly Hills. The 46,062-square-foot property sits on 2.75 acres in a coastal Orange County submarket approximately 10 minutes from Huntington Beach. The community comprises 12 residential buildings alongside a community building, swimming pool, carports and garages. The unit mix includes two-bedroom, two-bathroom flats and three-bedroom, two-bathroom townhomes, all featuring private patios and in-unit washers and dryers.
According to the November listing data, current rents averaged approximately 30 percent below market rates, with the property operating at a 4.12 percent capitalization rate. The marketing materials indicated potential for repositioning to achieve a capitalization rate above 7 percent through rent increases and implementation of ratio utility billing systems for utilities. The property benefits from an absence of local rent control in Huntington Beach, allowing for market-rate adjustments upon tenant turnover.
The transaction reflects shifting dynamics in Southern California’s multifamily investment market. According to Northmarq’s third quarter 2025 Orange County multifamily market report, transaction activity was light during the third quarter after an uptick in sales during the preceding period. The median sale price in 2025 reached $311,300 per unit, down 14 percent from the previous year. Orange County has maintained relatively tight fundamentals compared to other major metropolitan areas: the county posted a vacancy rate of approximately 4 percent as of the third quarter, among the lowest in the nation, according to Colliers. The Mora Kai Apartments’ Huntington Beach submarket specifically saw occupancy rates reach 97.6 percent in certain areas during the fourth quarter of 2024, Colliers reported.
For deals under $25 million, activity has been comparatively resilient. Green Street data cited by GlobeSt. show sales volumes in this segment rose 3.5 percent in early 2025, with multifamily representing 26 percent of transaction volume. Reduced competition and higher interest rates have thinned bidding pools, creating openings for buyers able to move decisively. The Mora Kai sale suggests that, even in a tempered market, properties offering scale, location and clear paths to higher income can still command prices near their original expectations.
