Anaheim is the most economically diverse submarket in Orange County, anchored by the Disneyland Resort corridor, the Convention Center, and a large healthcare employment base. Per Northmarq Q1 2026, South Anaheim recorded some of the strongest rent growth in OC even as the broader county vacancy ticked up to 4.3 percent.
Building stock is dominated by 1950s to 1970s wood frame stucco, the classic California rental product. There is no local rent control beyond AB1482, which gives ownership the 5 percent plus CPI headroom on qualifying assets. Per Strands Realty Group, Class C pricing in early 2026 jumped 32 percent, pushing above the Class B median of 2025, which means the value add spread is narrowing for the most obvious candidates.
Vacancy across the city sits near 4.5 percent. 55.4 percent of residents are renters, which creates durable occupancy fundamentals. New Class A supply is landing in the southern corridor and in the Platinum Triangle near Angel Stadium, but small 2 to 10 unit assets in north and west Anaheim are insulated from that competition. Cap rates in the 5.5 to 6.5 percent range were available on Class C assets as of mid 2025.
For investors looking for stabilized cashflow without the rent ordinance overlay you would carry in Santa Ana or LA City, Anaheim is the cleanest underwriting environment in OC right now. We can also model the ADU upside under SB 1211 on parcels with surplus parking.
