10-Unit Apartment
New
For Sale
$3,725,000
138-140 Berkshire AVE, Redwood City, CA 94063
Two adjacent residential buildings offer spacious floor plans, updated systems, garages, and access to Peninsula employment centers.
Property Size9,246 SF
Days on Market5
Property Features for 138-140 Berkshire AVE
General Information
Standard status
Active
Size
9,246 SF
Total Parking Spaces
2
Property subtype
FiveOrMoreUnits
Site & Location
Highway Access
Yes
Public Transit
Yes
Units
Unit Mix
4 x 2BD/1BA, 6 x 1BD/1BA
Multifamily Units
10
Additional Details
Cap Rate
6.4%
Building Details
Building Size
9,246 SF
Year Built
1960
Buildings
2
Listing Agency:
Magnify Real Estate
Listed By:
David Katz · License #01971921
(408) 438-0585
Source:
Johnpaye
Added: Sep 17
Changed: Sep 19
Last Checked: Sep 20 at 11:47AM
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 Magnify Real Estate
Investment Insights
Based on property information with market context.
This multifamily property comprises two contiguous five-unit apartment buildings on separate APNs at 138-140 Berkshire Avenue in Redwood City. The 10-unit configuration includes four 2BD/1BA residences and six 1BD/1BA residences, with spacious floor plans throughout. The improvements include roofs installed in 2023, upgraded electrical subpanels completed in 2025, Square D main electrical disconnects, dual-pane windows, newer central water heaters, and exterior paint completed in 2026. The property also received a passing SB-721 inspection.
Two oversized rear garages provide off-street parking and may support ADU conversion, subject to applicable requirements. The 138 Berkshire parcel may also accommodate new-construction ADUs, subject to zoning and permitting. The property is less than 1 mile from the Atherton border, with access to Highway 101, Downtown Redwood City, Caltrain, and major employers. The site is outside the City of Redwood City's jurisdiction and current rent control ordinance, subject to buyer verification. The in-place cap rate is 6.4%.
Two oversized rear garages provide off-street parking and may support ADU conversion, subject to applicable requirements. The 138 Berkshire parcel may also accommodate new-construction ADUs, subject to zoning and permitting. The property is less than 1 mile from the Atherton border, with access to Highway 101, Downtown Redwood City, Caltrain, and major employers. The site is outside the City of Redwood City's jurisdiction and current rent control ordinance, subject to buyer verification. The in-place cap rate is 6.4%.
Key Highlights
- 10‑unit property comprising two contiguous 5‑unit apartment buildings on separate APNs
- Unit mix includes (4) 2BD/1BA and (6) 1BD/1BA residences
- New roofs installed in 2023; upgraded electrical subpanels completed in 2025
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
$251,649
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
6.76%
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%
$5,032,980
$5.0M
Cap Rate 7%
$3,594,986
$3.6M
Cap Rate 9%
$2,796,100
$2.8M
Market Conditions
NOI Build-Up for 9,246 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
$482.6K $52.20/SF
− Vacancy
−$25.1K −$2.71/SF
EGI
$457.5K $49.49/SF
− OpEx
−$205.9K −$22.27/SF
NOI
$251.6K $27.22/SF
Area
San Mateo County, CA
Vacancy
5.20%
Lease Rate
$52.20 /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%
$5,032,980
Cap Rate 7%
$3,594,986
Cap Rate 9%
$2,796,100
Alternative Uses
Best Use
Apartment 5plus
$3.59M
$3.15M – $4.19M
NOI $251,649 @ 7.0% cap · market cap 6.76%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$7.34M
$6.43M – $8.57M
NOI $514,095 @ 7.0% cap · market cap 13.80%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
10
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,461
Businesses Nearby
Explore this area
Business Placement
Demographics for 94063, CA
35,836
Population
12,162
Households
2.9
Avg Household Size
34
Median Age
35%
College-Educated
74%
High-School Grad
6.5 sq mi
ZIP Area
5,513
Density / Sq Mi
$115,528
Median Household Income
$50,960
Median Earnings
$2,802
Median Rent
$1,077,100
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 - Two adjacent residential buildings offer spacious floor plans, updated systems, garages, and access to Peninsula employment centers.
Where is this apartment building located?
The property is located at 138-140 Berkshire AVE Redwood City, CA.
What is the asking price?
The asking price for this property is $3,725,000.
What are key features of this property?
This property features: 10‑unit property comprising two contiguous 5‑unit apartment buildings on separate APNs; Unit mix includes (4) 2BD/1BA and (6) 1BD/1BA residences; New roofs installed in 2023; upgraded electrical subpanels completed in 2025
