Oakland Multifamily Near Lake
For Sale
$2,250,000
1009 Madison St, Oakland, CA 94607
Eight-unit Italianate building near Lake Merritt with upside potential.
Property Size6,028 SF
Price / SF$373.26
Days on Market242
Property Features for 1009 Madison St
General Information
Standard status
Active
Size
6,028 SF
Property subtype
Commercial
Amenities
Dryer
Washer
Assigned Spaces
Carpet - Partial Flooring
Community Facility
Composition Roof
Laminate Flooring
Level
Other
Regular
Rolled Composition Roof
Tile Flooring
Wall Furnace Heating
Building Details
Year Built
1870
Listing Agency:
WESTERN MANAGEMENT PROPERTIES, INC
(510) 451-7197
Listed By:
BRUCE CHAMBERS · License #00776842
Source:
Corcoran
Added: Dec 13, 2025
Changed: Aug 8
Last Checked: Apr 5 at 8:26PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of WESTERN MANAGEMENT PROPERTIES, INC
Investment Insights
Based on property information with market context.
This three-story Italianate building, comprising 8 units, is located blocks from Lake Merritt and downtown Oakland. Constructed in 1870, the building exhibits features characteristic of grand Bay Area residences of the period, including a flat roof with angled, overhanging eaves and cornices decorated with brackets, 8-foot tall narrow windows on the first floor, windows with decorative hoods, quoins extending from the ground to the roof, and ornate balconies. Beginning in 2002, the building underwent major renovations to meet California Building Codes. Due to these renovations, the property has a Certificate of Exemption from the City of Oakland Rent Adjustment Ordinance. Interior features include a grand entry and high ceilings ranging from 11 to 13 feet. The property includes 6 off-street parking spaces, a garden area, and a partial basement suitable for storage or a workshop. A shared laundry room is available, along with a separate laundry area for an owner's unit. The building has a total size of 6028 square feet.
Key Highlights
- Certificate of Exemption from Oakland Rent Adjustment Ordinance offers immediate upside potential.
- Prime location: Blocks from Lake Merritt and downtown Oakland.
- Eight units provide substantial income potential.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$127,282
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.66%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$2,545,640
$2.5M
Cap Rate 7%
$1,818,314
$1.8M
Cap Rate 9%
$1,414,244
$1.4M
Market Conditions
NOI Build-Up for 6,028 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$242.3K $40.20/SF
− Vacancy
−$10.9K −$1.81/SF
EGI
$231.4K $38.39/SF
− OpEx
−$104.1K −$17.28/SF
NOI
$127.3K $21.12/SF
Area
Oakland, CA
Vacancy
4.50%
Lease Rate
$40.20 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$2,545,640
Cap Rate 7%
$1,818,314
Cap Rate 9%
$1,414,244
Alternative Uses
Best Use
Apartment 5plus
$1.82M
$1.59M – $2.12M
NOI $127,282 @ 7.0% cap · market cap 5.66%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$1.97M
$1.73M – $2.30M
NOI $138,148 @ 7.0% cap · market cap 6.14%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
7,428
Businesses Nearby
Explore this area
Business Placement
Demographics for 94607, CA
31,067
Population
14,362
Households
2.2
Avg Household Size
38
Median Age
47%
College-Educated
86%
High-School Grad
5.9 sq mi
ZIP Area
5,266
Density / Sq Mi
$87,937
Median Household Income
$67,107
Median Earnings
$1,875
Median Rent
$744,600
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Eight-unit Italianate building near Lake Merritt with upside potential.
Where is this apartment building located?
The property is located at 1009 Madison St Oakland, CA.
What is the asking price?
The asking price for this property is $2,250,000.
What are key features of this property?
This property features: Certificate of Exemption from Oakland Rent Adjustment Ordinance offers immediate upside potential.; Prime location: Blocks from Lake Merritt and downtown Oakland.; Eight units provide substantial income potential.
