Berkeley Mixed-Use Trophy
For Sale
$4,700,000
1444 Walnut Street, Berkeley, CA 94709
Eleven-unit building in Berkeley's Gourmet Ghetto with apartments and commercial spaces.
Property Size7,167 SF
Price / SF$655.78
Days on Market317
Property Features for 1444 Walnut Street
General Information
Standard status
Active
Size
7,167 SF
Property subtype
Multi-family
Building Details
Year Built
1965
Listing Agency:
KW Advisors East Bay
(510) 775-1079
Listed By:
Justin Paek
(714) 497-3550
Source:
Sevengables
Added: Oct 18, 2025
Changed: Aug 27
Last Checked: Aug 29 at 10:52AM
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 KW Advisors East Bay
Investment Insights
Based on property information with market context.
Located in Berkeley's Gourmet Ghetto, 1444 Walnut St presents a rare opportunity to acquire an eleven-unit trophy asset building. The property is conveniently accessible from the original Peet's coffee and is situated just three blocks from the University of California, Berkeley. The building features nine apartments and two commercial spaces, along with an elevator and secured parking that includes six spaces and six storage units. The unit mix consists of five 2-bed 1-bath units, three 1-bed 1-bath units, and a 2-bed 2-bath 2-level penthouse with a fireplace. All residential units have been updated and include balconies with Bay Views. The two commercial spaces consist of an 800-square-foot corner office space and a 450-square-foot retail space, which has been occupied by the same business for over 24 years. The property is in the heart of the Gourmet Ghetto, offering a variety of dining and food options, and is close to Downtown Berkeley BART, public transportation, and shopping. The property has a Walkscore of 96.
Key Highlights
- Prime location in Berkeley's Gourmet Ghetto with a Walkscore of 96, near dining, transportation, and shopping.
- Rare 11‑unit trophy asset building with a mix of 9 apartments and 2 commercial spaces.
- Close proximity (3 blocks) to the University of California, Berkeley.
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
$142,451
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
3.03%
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%
$2,849,020
$2.8M
Cap Rate 7%
$2,035,014
$2.0M
Cap Rate 9%
$1,582,789
$1.6M
Market Conditions
NOI Build-Up for 7,167 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
$272.6K $38.04/SF
− Vacancy
−$13.6K −$1.90/SF
EGI
$259.0K $36.14/SF
− OpEx
−$116.6K −$16.26/SF
NOI
$142.5K $19.88/SF
Area
Berkeley, CA
Vacancy
5.00%
Lease Rate
$38.04 /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%
$2,849,020
Cap Rate 7%
$2,035,014
Cap Rate 9%
$1,582,789
Alternative Uses
Best Use
Apartment 5plus
$2.04M
$1.78M – $2.37M
NOI $142,451 @ 7.0% cap · market cap 3.03%
Second Best
Mixed Use
$1.91M
$1.67M – $2.23M
NOI $133,521 @ 7.0% cap · market cap 2.84%
Theoretical Best
Specialty Retail
$2.77M
$2.43M – $3.23M
NOI $194,025 @ 7.0% cap · market cap 4.13%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,145
Businesses Nearby
Explore this area
Business Placement
Demographics for 94709, CA
12,514
Population
6,139
Households
2
Avg Household Size
29
Median Age
80%
College-Educated
96%
High-School Grad
0.7 sq mi
ZIP Area
17,877
Density / Sq Mi
$95,223
Median Household Income
$42,958
Median Earnings
$1,988
Median Rent
$1,240,500
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?
Mixed-use property - Eleven-unit building in Berkeley's Gourmet Ghetto with apartments and commercial spaces.
Where is this mixed-use property located?
The property is located at 1444 Walnut Street Berkeley, CA.
What is the asking price?
The asking price for this property is $4,700,000.
What are key features of this property?
This property features: Prime location in Berkeley's Gourmet Ghetto with a Walkscore of 96, near dining, transportation, and shopping.; Rare 11‑unit trophy asset building with a mix of 9 apartments and 2 commercial spaces.; Close proximity (3 blocks) to the University of California, Berkeley.
