- For Sale Contact for pricing
- Property Type Retail
- Property Size 8,125 SF
- Lot Size 10,743 SF
- Year Built 1955
- Date Updated Oct 28, 2026
Description
Carbon Beach Bungalows is a rare, permitted short-term rental and retail investment on one of California’s most coveted coastlines — Malibu’s
Carbon Beach, widely known as “Billionaire’s Beach.” The property offers an investor a diversified income stream combining six fully permitted
STR bungalows, two retail/office tenants under long-term leases, and a spa operation, all within a recently renovated ±8,125 SF mixed-use
complex on ±10,743 SF of fee-simple land.
The asset benefits from an active City of Malibu Annual Short-Term Rental Permit (STR26-0014, valid through February 19, 2027) — an increasingly
scarce entitlement that is extremely difficult to obtain in Malibu’s highly regulated coastal environment. This permit alone represents significant
embedded value for any acquirer.
KEY INVESTMENT HIGHLIGHTS
• Prime Malibu beachfront location on Pacific Coast Highway — Carbon Beach (“Billionaire’s Beach”)
• Active City of Malibu Short-Term Rental Permit for 6 units (STR26-0014) — valid through Feb 2027
• Diversified income: 5 STR bungalows + 1 long-term residential unit + 2 retail/office leases + spa
• ±8,125 SF building on ±10,743 SF land — recently renovated (2019), originally built 1955
• In-place NOI of $473,399.73 at a 5.0% cap rate; proforma NOI of $635,449.08 at 6.7% cap rate
• 12 surface parking spaces — extremely valuable in Malibu’s parking-constrained environment
• LCC2 (Community Commercial) zoning — supports retail, office, and residential uses
• Fee simple ownership — no ground lease encumbrances
• Neighboring flagship retail district anchored by Whole Foods, Blue Bottle, Erewhon corridor
False
