Multifamily Property with Wall
For Sale
$839,999
127 N Madeira Avenue, Salinas, CA 93905
The residence includes ceiling fans, a wall furnace, and no garage or swimming pool.
Property Size1,616 SF
Lot Size0.14 Acres
Price / SF$519.80
Days on Market64
Property Features for 127 N Madeira Avenue
General Information
Standard status
Active
Size
1,616 SF
Lot size
0.14 Acres
Property subtype
Multi Family
Amenities
ceiling fans
wall furnace
Building Details
Year Built
1931
Listing Agency:
Compass
(408) 665-9378
Listed By:
Giovanni Amador · License #02124479
(408) 665-9378
Source:
Exitrealty
Added: Jun 30
Changed: Aug 30
Last Checked: Aug 31 at 3:04PM
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 Compass
Investment Insights
Based on property information with market context.
This multifamily property at 127 N Madeira Avenue in Salinas contains approximately 1,616 square feet on an approximately 6,000-square-foot lot. Built in 1931, the residence is equipped with ceiling fans for cooling and a wall furnace for heat. The property does not include a garage or swimming pool.
The property is located within the Salinas City Elementary School District and carries a Salinas address of 127 N Madeira Avenue, Salinas, CA 93905.
The property is located within the Salinas City Elementary School District and carries a Salinas address of 127 N Madeira Avenue, Salinas, CA 93905.
Key Highlights
- Approximately 1,616 square feet of living space
- Approximately 6,000‑square‑foot lot
- Ceiling fans provide cooling
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
$25,997
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
3.09%
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%
$519,940
$519.9K
Cap Rate 7%
$371,386
$371.4K
Cap Rate 9%
$288,856
$288.9K
Market Conditions
NOI Build-Up for 1,616 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
$48.5K $30.00/SF
− Vacancy
−$1.2K −$0.75/SF
EGI
$47.3K $29.25/SF
− OpEx
−$21.3K −$13.16/SF
NOI
$26.0K $16.09/SF
Area
Salinas, CA
Vacancy
2.50%
Lease Rate
$30.00 /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%
$519,940
Cap Rate 7%
$371,386
Cap Rate 9%
$288,856
Alternative Uses
Best Use
Apartment 5plus
$371.4K
$325.0K – $433.3K
NOI $25,997 @ 7.0% cap · market cap 3.09%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$508.8K
$445.2K – $593.7K
NOI $35,619 @ 7.0% cap · market cap 4.24%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,049
Businesses Nearby
Explore this area
Business Placement
Demographics for 93905, CA
64,209
Population
14,534
Households
4.4
Avg Household Size
29
Median Age
7%
College-Educated
45%
High-School Grad
9.2 sq mi
ZIP Area
6,979
Density / Sq Mi
$75,716
Median Household Income
$30,715
Median Earnings
$1,799
Median Rent
$570,000
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?
Multifamily property - The residence includes ceiling fans, a wall furnace, and no garage or swimming pool.
Where is this multifamily property located?
The property is located at 127 N Madeira Avenue Salinas, CA.
What is the asking price?
The asking price for this property is $839,999.
What are key features of this property?
This property features: Approximately 1,616 square feet of living space; Approximately 6,000‑square‑foot lot; Ceiling fans provide cooling
