Berkeley 8-Unit Multifamily
For Sale
$2,500,000
1612 Parker St, Berkeley, CA 94703
Well-maintained 8-unit building in desirable Berkeley neighborhood.
Property Size9,205 SF
Price / SF$271.59
Days on Market184
Property Features for 1612 Parker St
General Information
Standard status
Active
Size
9,205 SF
Property subtype
5 or More Units
Building Details
Building Size
9,205 SF
Year Built
1964
Listing Agency:
Red Oak Realty
Listed By:
Negar Souza · License #01701667
(510) 543-7016
Source:
Annnewtoncane
Added: Mar 5
Changed: Sep 3
Last Checked: Sep 5 at 5:27AM
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 Red Oak Realty
Investment Insights
Based on property information with market context.
This well-maintained 8-unit building is located in a desirable Berkeley neighborhood. The property is situated on a generous lot and includes five reserved parking spots and a community laundry area. Each of the 8 units features a spacious 2-bedroom, 1-bathroom layout suitable for a variety of tenants. Several units have been updated with modern touches while retaining their classic charm. The property also includes a non-conforming manager's unit, providing flexibility for onsite management or additional rental income. Some units also have additional storage and balconies. The property size is 9205 square feet. The building is located in a city known for its eclectic mix of cultures and progressive spirit. The cap rate is 6% with huge upside potential. The property is intended for use as an apartment building, multifamily property, or residential income property.
Key Highlights
- Rare 8‑unit building in a desirable Berkeley location.
- Strong investment opportunity with an attractive 6% Cap Rate and huge upside potential.
- Spacious 2‑bedroom, 1‑bathroom layouts in all 8 units.
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
$182,958
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
7.32%
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%
$3,659,160
$3.7M
Cap Rate 7%
$2,613,686
$2.6M
Cap Rate 9%
$2,032,867
$2.0M
Market Conditions
NOI Build-Up for 9,205 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
$350.2K $38.04/SF
− Vacancy
−$17.5K −$1.90/SF
EGI
$332.7K $36.14/SF
− OpEx
−$149.7K −$16.26/SF
NOI
$183.0K $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%
$3,659,160
Cap Rate 7%
$2,613,686
Cap Rate 9%
$2,032,867
Alternative Uses
Best Use
Apartment 5plus
$2.61M
$2.29M – $3.05M
NOI $182,958 @ 7.0% cap · market cap 7.32%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$3.56M
$3.11M – $4.15M
NOI $249,198 @ 7.0% cap · market cap 9.97%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,295
Businesses Nearby
Explore this area
Business Placement
Demographics for 94703, CA
20,805
Population
9,654
Households
2.2
Avg Household Size
37
Median Age
71%
College-Educated
95%
High-School Grad
1.3 sq mi
ZIP Area
16,004
Density / Sq Mi
$108,922
Median Household Income
$66,261
Median Earnings
$2,257
Median Rent
$1,273,000
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?
Apartment building - Well-maintained 8-unit building in desirable Berkeley neighborhood.
Where is this apartment building located?
The property is located at 1612 Parker St Berkeley, CA.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: Rare 8‑unit building in a desirable Berkeley location.; Strong investment opportunity with an attractive 6% Cap Rate and huge upside potential.; Spacious 2‑bedroom, 1‑bathroom layouts in all 8 units.
