4-Unit Multifamily
New
For Sale
$1,099,000
20 S Hebbron Ave, Salinas, CA 93905
Two-building apartment asset with single-level layouts, existing rental income, and below-market rents subject to local regulations.
Property Size4,134 SF
Days on Market3
Property Features for 20 S Hebbron Ave
General Information
Standard status
Active
Size
4,134 SF
Property subtype
Investment
Taxes and HOA fees
Annual Taxes
$1,995
Building Details
Building Size
4,134 SF
Year Built
1965
Stories
1
Units
4
Listing Agency:
Compass
(831) 801-0730
Listed By:
Betty Stringer · License #01271580
(831) 801-0730
Source:
Elliman
Added: Aug 20
Changed: Aug 21
Last Checked: Aug 21 at 12:08PM
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 contains four single-level units, each configured with three bedrooms and 1.5 bathrooms. The units are distributed between two separate buildings, with approximately 2,160 square feet in each building and approximately 4,320 square feet overall. A half bathroom is positioned within the primary bedroom’s walk-in closet, creating the possibility of adding a shower subject to permits, buyer investigation, and local requirements.
The property was built in 1965 and requires updating and general improvements. Current rents are below fair market value, while any future adjustments must comply with applicable City of Salinas rent regulations. The property is located at 20 S Hebbron Ave in Salinas, California. BikeScore is 43, WalkScore is 0, and TransitScore is 41.
The property was built in 1965 and requires updating and general improvements. Current rents are below fair market value, while any future adjustments must comply with applicable City of Salinas rent regulations. The property is located at 20 S Hebbron Ave in Salinas, California. BikeScore is 43, WalkScore is 0, and TransitScore is 41.
Key Highlights
- Four 3‑bedroom, 1.5‑bath units across two separate buildings
- Approximately 4,320 square feet of total building area
- Each building measures approximately 2,160 square feet and contains two 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
$66,506
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
6.05%
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%
$1,330,120
$1.3M
Cap Rate 7%
$950,086
$950.1K
Cap Rate 9%
$738,956
$739.0K
Market Conditions
NOI Build-Up for 4,134 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
$124.0K $30.00/SF
− Vacancy
−$3.1K −$0.75/SF
EGI
$120.9K $29.25/SF
− OpEx
−$54.4K −$13.16/SF
NOI
$66.5K $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%
$1,330,120
Cap Rate 7%
$950,086
Cap Rate 9%
$738,956
Alternative Uses
Best Use
Apartment 5plus
$950.1K
$831.3K – $1.11M
NOI $66,506 @ 7.0% cap · market cap 6.05%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.30M
$1.14M – $1.52M
NOI $91,120 @ 7.0% cap · market cap 8.29%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
931
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 - Two-building apartment asset with single-level layouts, existing rental income, and below-market rents subject to local regulations.
Where is this multifamily property located?
The property is located at 20 S Hebbron Ave Salinas, CA.
What is the asking price?
The asking price for this property is $1,099,000.
What are key features of this property?
This property features: Four 3‑bedroom, 1.5‑bath units across two separate buildings; Approximately 4,320 square feet of total building area; Each building measures approximately 2,160 square feet and contains two units
