8-Unit Apartment Building with
For Sale
$1,350,000
1222 Sierra Boulevard, South Lake Tahoe, CA 96150
Fully occupied apartment property with studio and one-bedroom units, tenant parking, and a separate included parcel.
Property Size3,600 SF
Price / SF$375
Days on Market445
Property Features for 1222 Sierra Boulevard
General Information
Standard status
Active
Size
3,600 SF
Property subtype
Multi-Family / Apt Build 5-12 Units
Zoning
Multi-Family
Occupancy
100%
Lease Type
Net
Additional Details
Cap Rate
6.46%
Multifamily Units
8
Amenities
in-unit laundry hookups
private parking lot
Other/See Remarks
Double Pane
Composition
Wood Frame, Wood Siding
Storage Shed
Building Details
Year Built
1960
Buildings
1
Listing Agency:
Berkshire Hathaway Home Services Drysdale Properties - South Lake Tahoe
Listed By:
Michelle A Blue-Benedict · License #01197880
(530) 546-6676
Source:
Compass
Added: Jun 16, 2025
Changed: Sep 2
Last Checked: Sep 2 at 11:41PM
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 Berkshire Hathaway Home Services Drysdale Properties - South Lake Tahoe
Investment Insights
Based on property information with market context.
This 8-unit apartment property contains a mix of studio and 1-bedroom residences within a 3,600-square-foot building constructed in 1960. Some units include in-unit laundry hookups, while double-pane windows, wood-frame construction with wood siding, composition roofing, and a storage shed add to the physical improvements. The property is fully occupied and zoned Multi-Family.
The sale includes a separate parcel at 2544 Rose Ave under a separate APN. That parcel is currently used as a private parking lot reserved for tenants, providing parking associated with the apartment property. Both parcels are being sold together with the building at 1222 Sierra Boulevard.
The sale includes a separate parcel at 2544 Rose Ave under a separate APN. That parcel is currently used as a private parking lot reserved for tenants, providing parking associated with the apartment property. Both parcels are being sold together with the building at 1222 Sierra Boulevard.
Key Highlights
- 8‑unit apartment building with a mix of studio and 1‑bedroom units
- 3,600‑square‑foot building constructed in 1960
- Separate parcel at 2544 Rose Ave included under a separate APN
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
$53,546
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
3.97%
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%
$1,070,920
$1.1M
Cap Rate 7%
$764,943
$764.9K
Cap Rate 9%
$594,956
$595.0K
Market Conditions
NOI Build-Up for 3,600 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
$103.7K $28.80/SF
− Vacancy
−$6.3K −$1.76/SF
EGI
$97.4K $27.04/SF
− OpEx
−$43.8K −$12.17/SF
NOI
$53.5K $14.87/SF
Area
El Dorado County, CA
Vacancy
6.10%
Lease Rate
$28.80 /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%
$1,070,920
Cap Rate 7%
$764,943
Cap Rate 9%
$594,956
Alternative Uses
Best Use
Apartment 5plus
$764.9K
$669.3K – $892.4K
NOI $53,546 @ 7.0% cap · market cap 3.97%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.29M
$1.13M – $1.50M
NOI $90,095 @ 7.0% cap · market cap 6.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
8
Residential units
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
318
Businesses Nearby
Explore this area
Business Placement
Demographics for 96150, CA
29,518
Population
23,472
Households
1.3
Avg Household Size
40
Median Age
39%
College-Educated
92%
High-School Grad
163.2 sq mi
ZIP Area
181
Density / Sq Mi
$83,738
Median Household Income
$45,582
Median Earnings
$1,497
Median Rent
$649,100
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 - Fully occupied apartment property with studio and one-bedroom units, tenant parking, and a separate included parcel.
Where is this apartment building located?
The property is located at 1222 Sierra Boulevard South Lake Tahoe, CA.
What is the asking price?
The asking price for this property is $1,350,000.
What are key features of this property?
This property features: 8‑unit apartment building with a mix of studio and 1‑bedroom units; 3,600‑square‑foot building constructed in 1960; Separate parcel at 2544 Rose Ave included under a separate APN
