4-Unit Quadplex with Expansion
For Sale
$2,250,000
1803 Halterman Avenue, Santa Cruz, CA 95062
Well-maintained multifamily property with remodeled kitchens and bathrooms, individual electric meters, and completed balcony safety work.
Property Size4,991 SF
Price / SF$450.81
Days on Market237
Property Features for 1803 Halterman Avenue
General Information
Standard status
Active
Size
4,991 SF
Property subtype
Multi Family
Additional Details
Multifamily Units
4
Building Details
Year Built
1966
Listing Agency:
Bailey Properties
(831) 818-0406
Listed By:
Paul Bailey · License #00546781
(831) 818-0406
Source:
Exitrealty
Added: Jan 7
Changed: Aug 31
Last Checked: Aug 31 at 5:23PM
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 Bailey Properties
Investment Insights
Based on property information with market context.
This four-unit residential income property was built in 1966 and has been maintained with updates to all four kitchens and bathrooms. Interior features include electric appliances, wall furnaces, built-in and freestanding ovens, refrigerators, garbage disposals, and washer/dryer equipment. Each unit has an individual electric meter, and the building has received Pest Inspection Clearance.
The property is positioned on a parcel in a quiet neighborhood near 41st Avenue, Simpkins Swim Center, and the beach. A second-floor balcony and its access have completed SB 721 work. A land use planner’s report identifies a strong possibility for adding two modular, single-level units; the parcel has been surveyed and building envelopes have been identified.
The property is positioned on a parcel in a quiet neighborhood near 41st Avenue, Simpkins Swim Center, and the beach. A second-floor balcony and its access have completed SB 721 work. A land use planner’s report identifies a strong possibility for adding two modular, single-level units; the parcel has been surveyed and building envelopes have been identified.
Key Highlights
- Four‑unit property with all kitchens and bathrooms remodeled
- Potential addition of 2 modular single‑level units identified by a land use planner
- Parcel surveyed with building envelopes identified
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
$139,150
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
6.18%
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%
$2,783,000
$2.8M
Cap Rate 7%
$1,987,857
$2.0M
Cap Rate 9%
$1,546,111
$1.5M
Market Conditions
NOI Build-Up for 4,991 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
$203.6K $40.80/SF
− Vacancy
−$4.8K −$0.97/SF
EGI
$198.8K $39.83/SF
− OpEx
−$59.6K −$11.95/SF
NOI
$139.2K $27.88/SF
Area
Santa Cruz County, CA
Vacancy
2.38%
Lease Rate
$40.80 /SF/Yr
Expense Ratio
30.00%
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%
$2,783,000
Cap Rate 7%
$1,987,857
Cap Rate 9%
$1,546,111
Alternative Uses
Best Use
Multifamily LT 5
$1.99M
$1.74M – $2.32M
NOI $139,150 @ 7.0% cap · market cap 6.18%
Second Best
Apartment 5plus
$1.84M
$1.61M – $2.14M
NOI $128,468 @ 7.0% cap · market cap 5.71%
Theoretical Best
Retail
$2.85M
$2.50M – $3.33M
NOI $199,770 @ 7.0% cap · market cap 8.88%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Residential units
Location Intelligence
Trade Area within ½ mile
836
Businesses Nearby
Explore this area
Business Placement
Demographics for 95062, CA
36,268
Population
17,055
Households
2.1
Avg Household Size
43
Median Age
51%
College-Educated
93%
High-School Grad
5.1 sq mi
ZIP Area
7,111
Density / Sq Mi
$108,261
Median Household Income
$54,059
Median Earnings
$2,291
Median Rent
$1,064,600
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Quadplex - Well-maintained multifamily property with remodeled kitchens and bathrooms, individual electric meters, and completed balcony safety work.
Where is this quadplex located?
The property is located at 1803 Halterman Avenue Santa Cruz, CA.
What is the asking price?
The asking price for this property is $2,250,000.
What are key features of this property?
This property features: Four‑unit property with all kitchens and bathrooms remodeled; Potential addition of 2 modular single‑level units identified by a land use planner; Parcel surveyed with building envelopes identified
