A Rare Ocean-View Multifamily Rebuild Site on Pacific Coast Highway
The LA Apartment Advisors Team and The SK Group at Marcus & Millichap are proud to present 22159 Pacific Coast Highway, a rare opportunity to acquire a ±0.45-acre (19,612 SF) ocean-view multifamily rebuild parcel on the most supply-constrained stretch of California coastline. The site previously carried an eight-unit, ±5,084 SF apartment building destroyed in the January 2025 Palisades Fire. A buyer steps into an entitled rebuild — eight residential units preserved under SB 166's No-Net-Loss protection, with the rebuild itself governed by Malibu's Ordinance 524 Disaster Rebuild framework allowing like-for-like replacement plus a 10% bonus on height, bulk and floor area.
22159 PCH sits in the Carbon Beach / La Costa corridor of eastern Malibu, a coastal segment where vacant or rebuild-ready multifamily land is exceptionally rare. The site offers durable ocean views, immediate proximity to the beach, and direct access to one of the highest-rent submarkets in Los Angeles County. Multifamily zoning is preserved through the rebuild; the buyer captures an eight-unit by-right pathway in a market where new ground-up multifamily development is effectively constrained by the Coastal Act and the City of Malibu's Local Coastal Program.
Pricing is anchored on the corridor's two most relevant land comparables: 22141 PCH — the same-block, same-APN-book trade, two doors east of the subject — sold as raw vacant land in 2017 for $4,900,000 ($241 / land SF); and 22611 PCH, a 2024 commercial-land trade roughly five blocks east, which closed at $1,586,500 ($229 / land SF). Two independent PCH land trades, seven years apart, converge in a tight bracket of $229–$241 / land SF.
At an asking price of $3,000,000, the offering prices the parcel at $153 / land SF — a meaningful discount to the same-block comp, consistent with the post-fire distress haircut documented across the corridor, and before crediting the subject's preserved 8-unit MF entitlement and the unique Ord. 524 rebuild rights that did not exist when those comps traded. Under the rebuild program, a developer delivers a stabilized eight-unit, ±5,592 SF building for approximately $3.3M of cost plus carry and exits at a $9.0M finished value — leaving roughly $1.79M of developer profit (~21% on the sellout). With Malibu's pending ZTA-25-003 ADU code update, the same parcel can support a density stack of up to 16 doors at the same land basis. The recommendation is conservative-to-defensible on the downside, with material step-up potential in negotiation.
Executive Summary
The LA Apartment Advisors (LAAA) Team and The SK Group at Marcus & Millichap are pleased to present 22159 Pacific Coast Highway — a ±19,612-square-foot (0.45-acre) ocean-view development / rebuild parcel on the beach side of Pacific Coast Highway in Malibu's coveted Carbon Beach / La Costa corridor. The site is offered and priced as a development opportunity, positioned around the rebuild of an 8-unit apartment building under Malibu's Ordinance 524 Disaster Rebuild framework.
The property previously carried an 8-unit multifamily structure (±5,084 SF). Under Malibu's Ordinance 524 the structure may be rebuilt like-for-like plus 10% — an 8-unit, ±5,592 SF envelope — with the multifamily density protected by California's SB 166 (No Net Loss) statute. A finished, stabilized 8-unit apartment building on this ocean-view PCH frontage is modeled at a $9.0M sellout value, supporting a recommended land value of $3,000,000.
The pre-loss structure was a 1949-vintage 8-unit walk-up destroyed in the January 2025 Palisades Fire — squarely within the population of properties Ordinance 524 was written to facilitate. The seller is bringing the parcel to market as a redevelopment / rebuild opportunity; buyer to confirm rebuild eligibility, prior structure size and CDP treatment with the City of Malibu and qualified land-use counsel.
Subject Property
22159 Pacific Coast Highway is a ±19,612 SF (0.45-acre) ocean-view parcel on the beach side of PCH in eastern Malibu (90265), within the Carbon Beach / La Costa corridor. The site previously carried an 8-unit, ±5,084 SF multifamily structure with ocean views and beach access; the opportunity is offered, analyzed and priced as a development / rebuild site.
±0.45 acres
LA County Assessor
5+ units (Malibu MF / MFBF)
Built 1949 · destroyed by fire
like-for-like + 10% (Ord. 524)
Carbon Beach / La Costa
Property Highlights
- Ordinance 524 rebuild pathway — a lawfully-erected, destroyed structure may be replaced like-for-like plus 10% of floor area, height and bulk (detailed below); no down-zoning of the residential program.
- 8-unit multifamily density protected by SB 166 No-Net-Loss — the residential capacity carries through the rebuild.
- Ocean-view PCH frontage on the beach side of the highway in eastern Malibu — one of the most supply-constrained coastal residential markets in the United States.
- Finished-product economics — a stabilized 8-unit building modeled at a $9.0M sellout / $287,880 NOI against ~$3.3M of development cost (full underwriting below).
- Development / rebuild basis — offered and priced as a parcel; the buyer captures the rebuild entitlement upside.
Assessor & Parcel Record
| Field | Value |
|---|---|
| Site address | 22159 Pacific Coast Hwy, Malibu CA 90265 |
| APN | 4451-008-009 |
| LightBox parcel ID | 0202JDD7HFHYNUAOAUDLQL |
| Land use | Residential — Multi-Family Res (5+ units) |
| Lot area | 19,612 SF (0.45 acres) |
| Building area (pre-loss) | 5,084 SF · 8 units |
| Buildings (current) | None — destroyed in Palisades Fire (Jan 2025) |
| Adjacent lots owned | None |
| Year built | 1949 |
| Owner (assessor) | 22159 Pacific Coast Highway LLC |
| Owner mailing address | 545 S Figueroa St #1225, Los Angeles, CA 90071 |
| Last market sale | 6/6/1979 |
| Total assessed value | $395,866 |
Ordinance 524 Rebuild + SB 166 Density Protection
The value thesis rests on Malibu's Ordinance No. 524 — the "Disaster Rebuild Ordinance" — adopted by the Malibu City Council on March 12, 2025, with the corresponding Local Coastal Program (LCP) amendment certified by the California Coastal Commission on April 10, 2025. The ordinance establishes development standards that facilitate the rebuilding of structures destroyed or damaged in the 2025 Palisades Fire, 2024 Franklin Fire and 2024 Broad Fire — and in past and future disasters.
Rebuild RightLike-for-Like Plus 10%
Under LCP Local Implementation Plan (LIP) Section 13.4.6 and Malibu Municipal Code (MMC) Section 17.60.020(C), a structure destroyed in a natural disaster may be replaced with up to an additional 10 percent of height, bulk and floor area over the prior structure, provided the replacement is a lawfully-erected use sited in substantially the same location (within 50% of the previous footprint and envelope). Applied to the prior ±5,084 SF structure, this supports a rebuild envelope of approximately ±5,592 SF.
Why 22159 PCH Supports the 8-Unit Rebuild
1. Like-for-like + 10% on floor area. Ordinance 524 permits replacing a destroyed structure with +10% height, bulk and square footage. The prior ±5,084 SF structure × 110% ≈ ±5,592 SF — the exact envelope modeled for the 8-unit rebuild.
2. Multifamily density is protected. California's SB 166 "No Net Loss" law restricts a jurisdiction from reducing residential density below the level used for housing-element compliance — preserving the site's 8-unit residential capacity through the rebuild.
3. CDP relief for in-kind replacement. A replacement that (1) is for the same use, (2) does not exceed the prior floor area, height or bulk by more than 10%, and (3) is sited in substantially the same location is treated as exempt from a separate Coastal Development Permit — streamlining the rebuild timeline.
4. A precedented, active program. As of July 2025 the City reported 32 rebuild applications approved in the planning phase under the ordinance — an established, working pathway, not a theoretical one.
Modeled Rebuild Program
| Parameter | Existing (Pre-Loss) | Ordinance 524 Rebuild |
|---|---|---|
| Residential units | 8 units | 8 units (SB 166 protected) |
| Building area | ±5,084 SF | ±5,592 SF (+10% / like-for-like) |
| Unit type (modeled) | 8 bd / 8 ba (per record) | 8 × 2BR / 2BA · ±699 SF avg |
| Parking (modeled) | — | 16 subterranean spaces |
| Delivery (modeled) | — | 2028 |
| Approval pathway | — | Ord. 524 like-for-like + 10%; CDP-exempt in-kind |
Rebuild Pathways — What a Developer Can Actually Build
A developer underwriting 22159 PCH has three viable rebuild pathways, ranging from a fast like-for-like replacement to a doors-doubling density stack under Malibu's pending ADU code update. The recommended land basis is supported even by the most conservative pathway; the upside pathways are the pitch to a sophisticated developer-buyer. The cards below escalate by density and entitlement complexity.
- Ord. 524 in-kind replacement on substantially the same footprint, CDP-exempt.
- Planning Verification or Administrative Plan Review — no public hearing.
- Fastest path: rebuild & lease, or rebuild & flip the permits.
- Relocated footprint, larger envelope or a new luxury / condo layout.
- Exceeds the +10% in-kind threshold, so a full Coastal Development Permit applies.
- Best for a repositioned, high-finish product on the ocean-view frontage.
- Malibu's pending ZTA-25-003 raises the detached-ADU cap on MF parcels to 8.
- Each ADU permits on a 60-day CDP clock — no public hearing, no Coastal appeal.
- Highest-upside pitch: nearly doubles doors at the same land basis.
Speed Lever — the 30-Day Permit Goal
Governor's Executive Orders N-4-25 and N-20-25 direct a 30-day permit processing goal for 2025 fire rebuilds and suspend CEQA + California Coastal Act review for qualifying disaster replacement structures. Combined with Ordinance 524's CDP exemption for in-kind replacement, Pathway A can move from application to plan-check in weeks — a unique edge in the coastal zone.
Density Stack (Pathway C) — the Doors-Doubling Story
Malibu's draft ZTA-25-003 raises the detached-ADU cap on multifamily parcels from 2 to 8. Layered on the 8-unit Ord. 524 rebuild base, the parcel could deliver up to 16 doors — underwriting a meaningful step-up in $/door value at the same land basis. Each ADU permits on a 60-day CDP clock with no public hearing and no Coastal Commission appeal. Standard rules: 4-ft side/rear setbacks; 1 parking space per ADU (with multifamily / transit-adjacent exemptions).
Comparable Sales & Market Pricing
Pricing is framed against the Pacific Coast Highway land trades that establish what the parcel is worth in the corridor. Additional comparable sets — finished small-multifamily building sales and rent comparables — will be added as supplied by the listing team.
Two PCH Land Trades Anchor the $/SF Basis
22141 Pacific Coast Hwy (APN 4451-008-018) sold 12/18/2017 for $4,900,000 as vacant residential land — no structures, no entitlements. The parcel is 20,351 SF (0.47 ac), two doors east of the subject in the same APN book, pricing at $241 / land SF. Current assessed value $5,575,361 reflects Prop 13 escalation off the 2017 basis. Canadian land-bank buyer (Marthas, Aunt Chip; Toronto).
22611 Pacific Coast Hwy (APN 4452-023-016) sold 7/23/2024 for $1,586,500 — a 6,916 SF (0.16 ac) commercial parcel with a 1945-vintage 838 SF tear-down office, ~5 blocks east of the subject, pricing at $229 / land SF. The trade closed roughly six months pre-fire.
Two independent PCH trades, seven years apart, converge on $229–$241 / land SF — a tight bracket that anchors the corridor's inland-land basis. The subject's $3,000,000 recommendation prices the parcel at $153 / land SF — a 33–36% discount to those trades, consistent with documented post-fire distress on Malibu fire-impacted parcels. The recommendation is conservative-to-defensible on the downside, with material step-up potential once the 8-unit MF entitlement and Ordinance 524 rebuild rights are credited in negotiation — neither of which applied to the 2017 or 2024 trades.
Pacific Coast Highway Land Comparables
The comp set is anchored by two PCH land trades that converge tightly on the corridor's $/SF basis: 22141 PCH — same-block, same-APN-book, same lot size, raw vacant land — and 22611 PCH, the most recent inland-PCH land trade in the corridor. Additional comparables will be added as the listing team supplies them.
| Map | Address / Comp | Lot SF | Price | $/Land SF | Notes | Date |
|---|---|---|---|---|---|---|
| ★ | 22159 Pacific Coast Hwy |
19,612 | $3,000,000 | $153 | Ocean-view MF rebuild site, 8 units protected by SB 166 | Proposed |
| A | 22141 Pacific Coast Hwy Same Block |
20,351 (0.47 ac) | $4,900,000 | $241 | Pure raw-land trade (no structures, no entitlements). Current assessed $5,575,361. Canadian holding-co buyer (Toronto). The gold-standard comp. | 12/18/2017 |
| B | 22611 Pacific Coast Hwy PCH Corridor FLYER → |
6,916 (0.16 ac) | $1,586,500 | $229 | Pre-fire 2024 trade; small commercial parcel with tear-down 838 SF office (1945). Current assessed $3,000,000. Confirms the ~$230–$241 / SF PCH land basis. | 7/23/2024 |
On-Market Pacific Coast Highway Listings
Active PCH listings provide current asking-price context across the corridor. These span land, commercial and improved residential product, so they bracket the market rather than anchor the subject's land basis — which is set by the two closed land trades above.
| Address | Type | Lot Size | List Price | Per Unit / $ SF | Notes |
|---|---|---|---|---|---|
| 22411 Pacific Coast Hwy On Market View on Zillow → |
Ocean-view land | 37,771 SF (0.87 ac) |
$2,400,000 | $64 / land SF | Elevated hillside lot across from Carbon Beach; 145 ft frontage; RTI architectural plans (~6,085 SF SFR). MLS 25619537. |
| 22467 Pacific Coast Hwy On Market View on Zillow → |
Commercial (CV-1) | 25,830 SF (0.59 ac) |
$5,750,000 | $223 / land SF | Improved 2,650 SF structure (built 1947); income + redevelopment play; grandfathered lighted pylon sign. |
| 22357 Pacific Coast Hwy On Market View on Zillow → |
4-unit multifamily | 7,884 SF (0.18 ac) |
$3,450,000 | $862,500 / unit | Remodeled, fully tenant-occupied — two 2BR/2BA + two 1BR/1BA. A finished-product / income comp. |
| 22548 Pacific Coast Hwy — Malibu Outrigger On Market View on Zillow → |
Oceanfront condos | 1.52 ac (complex) |
$1.995M–$5.95M |
~$2,200–$3,800 / SF | Multiple resale units on Carbon Beach; finished oceanfront condo pricing (1BR–2BR, 900–1,580 SF). |
Land Residual — Developer's Profit Analysis
As a development / rebuild parcel, value is driven by what a developer can pay for the land and still earn a market profit on the finished 8-unit building. The model below traces the seller's land-residual workbook: build cost, the stabilized income and $8.0M finished value, and the residual land value across a profit range. All figures derive from the workbook; finished-value and rent inputs are to be validated by the listing team against Malibu apartment building sales and current market rents.
STABILIZED INCOME & FINISHED VALUE
8 units × 1BR/1BA + den at $4,500 / mo — the income that supports the finished-building exit.
DEVELOPMENT COST & LAND RESIDUAL
Hard + parking + soft cost to deliver the ±5,592 SF / 8-unit building, then the land value that backs out of the finished sale at a target profit.
Residual Land Value Across the Profit Range
| Land Price | $/Buildable Unit | $/Land SF | Developer Profit | Profit % |
|---|---|---|---|---|
| $3,200,000 | $400,000 | $163 | $605,065 | 8% |
| $3,100,000 | $387,500 | $158 | $715,535 | 9% |
| $3,000,000 ★ | $375,000 | $153 | $826,005 | 11% |
| $2,900,000 | $362,500 | $148 | $936,475 | 12% |
| $2,800,000 | $350,000 | $143 | $1,046,945 | 14% |
Interactive Project Math — Build Your Own Scenario
Three rebuild programs are modeled side by side: a by-right rebuild of the existing density, the same rebuild with Ordinance 524's +10% fire-rebuild bonus, and the +10% rebuild with a detached-ADU addition. Every white field is editable — change the shared assumptions or any program's inputs and the developer profit recalculates instantly. Defaults trace the seller's land-residual workbook.
Pricing Recommendation
As a development / rebuild parcel, value is land-residual driven and cross-checked against the finished 8-unit building the site supports. At the recommended basis the parcel prices at $153 / land SF while leaving a developer ~21% profit on the stabilized $9.0M exit — a balanced position that supports a clean execution and a deep coastal-developer buyer pool.
Recommended List Price
Rationale: at $3,000,000 the parcel is priced as a rebuild-ready development site. Three independent anchors converge on this value: (1) the same-block 2017 trade at 22141 PCH — an essentially identical lot two doors east — closed at $4,900,000 raw, supporting the recommendation as a meaningful discount even before adjusting for 2017–2024 land appreciation and crediting the subject for its preserved 8-unit MF entitlement; (2) the developer's residual: a developer delivering the 8-unit, ±5,592 SF building for ~$3.3M of cost (plus carry) and selling the stabilized asset for $9.0M earns roughly $1.79M of profit (~21% on the sellout) at this land basis; and (3) Ordinance 524's like-for-like + 10% rebuild right, SB 166 density protection, and irreplaceable PCH frontage that anchor the entitlement value. The same-block comp positions $3.0M as conservative-to-defensible with material step-up potential in negotiation.
Market Overview — Malibu
Malibu is a 21-mile stretch of Pacific coastline in western Los Angeles County — one of the most supply-constrained and highest-value residential markets in the United States. Coastal regulation, topography and the Coastal Act sharply limit new development, making rebuild-ready, density-protected multifamily parcels exceptionally rare. The 2025 Palisades Fire, which destroyed roughly 300 buildings along Pacific Coast Highway, has further constrained near-term coastal housing supply even as Ordinance 524 streamlines the rebuild path.
Coastline
(2025 Palisades Fire)
(planning, 7/2025)
(Ordinance 524)
Demand Drivers
- Severe coastal supply constraint — the Coastal Act, topography and Malibu's LCP limit new multifamily development; rebuild-ready, density-protected parcels are rare.
- Ordinance 524 rebuild momentum — a streamlined like-for-like + 10% pathway with CDP relief for in-kind replacement and an active, precedented approval track.
- Ocean-view PCH location — beach-side frontage in the Carbon Beach / La Costa corridor, among the most sought-after addresses on the California coast.
- Durable rental demand — Malibu's constrained housing stock and premium coastal lifestyle support strong rents and low vacancy for new product.
LAAA Land & Development Pipeline
The LA Apartment Advisors Team maintains one of the most active land & development listing practices in Southern California — 19 active land / development listings spanning by-right infill sites, ED1 mixed-use, RTI projects, small-lot subdivisions and coastal rebuild opportunities. 22159 Pacific Coast Highway joins that pipeline as the team's rare Malibu ocean-view rebuild parcel.
Dev Listings
Across Pipeline
List Price
Covered
Active Land & Development Inventory
| Address | Submarket | Lot Size | Units | List Price | Detail |
|---|---|---|---|---|---|
| 3219–3249 Overland Ave | West LA | 0.91 ac | 100 | $11,995,000 | View → |
| 5151 E Arrow Hwy | Montclair / IE | 5.97 ac | 300 | $10,500,000 | View → |
| 1120–1164 W Sunset Blvd | Hollywood / East Side | 15,398 SF | 237 | $9,000,000 | View → |
| 5511 Ethel Ave | Sherman Oaks / SFV | 0.96 ac | 199 | $9,000,000 | View → |
| 2600 S Robertson Blvd | West LA (ED1) | 16,220 SF | 150 | $7,995,000 | View → |
| 4623–4631 Beverly Blvd | Mid-City / Koreatown | 21,000 SF | 121 | $5,250,000 | View → |
| 12335 Osborne Pl | Pacoima / SFV | 1.06 ac | 293 | $4,250,000 | View → |
| 601 Pearl Street | Ojai / VTA-SB | 1.14 ac | 9 | $3,700,000 | View → |
| ★ 22159 Pacific Coast Hwy |
Malibu / Coast | 0.45 ac | 8–16* | $3,000,000 | This BOV |
| 2338–2354 Lake Shore Ave | Hollywood / East Side | 0.77 ac | 4 | $2,800,000 | View → |
| 10425 Independence Ave | Chatsworth / SFV | 1.03 ac | 8 | $2,500,000 | View → |
| 10898 Olinda St | Sun Valley / SFV | 0.70 ac | 78 | $2,500,000 | View → |
| 5321 Riverton Ave | NoHo / SFV | 10,799 SF | 27 | $2,000,000 | View → |
| 3837 College Ave | Culver City / West LA | 7,500 SF | 21 | $2,000,000 | View → |
| 631–637 W 6th St | San Pedro / South LA | 13,798 SF | 39 | $1,800,000 | View → |
| 1431 N Vista St | Hollywood / East Side | 6,534 SF | 18 | $1,700,000 | View → |
| 646 W 6th St | San Pedro / South LA | 10,001 SF | 27 | $1,600,000 | View → |
| 6901 Woodman Ave | Van Nuys / SFV | 10,005 SF | 55 | $1,550,000 | View → |
| 302 N Pacific Ave | San Pedro / South LA | 10,424 SF | 26 | $1,500,000 | View → |
The LAAA Team & The SK Group
This offering is exclusively listed by the LA Apartment Advisors (LAAA) Team and The SK Group at Marcus & Millichap — among Southern California's most active multifamily and development-land investment sales practices.
Combined Team Track Record
Sales Volume
Transactions
Multifamily Tenure
Producer Ranking
Co-founder of the LAAA Team at Marcus & Millichap. A UC Santa Barbara graduate in Economics, Glen launched his career at M&M in 2014 and earned Rookie of the Year from the SFV Business Journal by 2016. A former Division I golfer, he captured three collegiate titles and was named UCSB Male Athlete of the Year. He and the LAAA Team have closed over $1.4 billion in multifamily and land transactions across Los Angeles.
Co-founder of the LAAA Team at Marcus & Millichap. Born in Romania and raised in the San Fernando Valley, Filip began his M&M career in 2011 after studying Finance at San Diego State University. He and the LAAA Team have closed over $1.4 billion in multifamily and land transactions across Los Angeles.
Founder and leader of The SK Group at Marcus & Millichap's Encino office. Since joining the firm in 2010, Sev has consistently ranked among the top producers in Greater Los Angeles and within the firm nationwide, closing 237 transactions totaling $548.5 million in Southern California multifamily and development sales. A former construction manager, active investor and hands-on property manager, he brings a 360-degree view to repositioning and rebuild assignments.
Supporting Team
A deep bench supporting the principals across both teams: dedicated investment associates running outreach, underwriting and buyer coverage; operations managers and licensed assistants keeping the transaction moving from list to close.
