Multifamily Residential
For Sale
Contact for pricing
2102 & 2106 Palolo Avenue, Honolulu, HI 96816
Fee-simple asset spanning two addresses in an established East Honolulu residential community.
Property Size11,100 SF
Price / SF$441.44
Days on Market53
Property Features for 2102 & 2106 Palolo Avenue
General Information
Standard status
Active
Size
11,100 SF
Property subtype
Multifamily
Zoning
R-5
Building Details
Buildings
2
Listing Agency:
Colliers - Honolulu, Hawaii
Listed By:
Alexander Peach (S), CCIM, SIOR · License #RS-76881
(808) 523-8378
Source:
Crexi
Added: Aug 6
Changed: Sep 21
Last Checked: Sep 26 at 6:17AM
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 Colliers - Honolulu, Hawaii
Investment Insights
Based on property information with market context.
This fee-simple multifamily asset includes 2102 and 2106 Palolo Avenue within Palolo Valley, an established residential area of East Honolulu. The surrounding community includes long-term homeowners and is characterized by limited land availability.
The property is positioned near Honolulu employment, education, healthcare, and retail districts. It is located in ZIP code 96816 and sits within a market described as having constrained housing inventory and ongoing residential demand.
The property is positioned near Honolulu employment, education, healthcare, and retail districts. It is located in ZIP code 96816 and sits within a market described as having constrained housing inventory and ongoing residential demand.
Key Highlights
- Fee‑simple multifamily asset comprising 2102 and 2106 Palolo Avenue
- Located in Palolo Valley in East Honolulu
- Established residential community with long‑term homeownership
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
$203,516
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
4.15%
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%
$4,070,320
$4.1M
Cap Rate 7%
$2,907,371
$2.9M
Cap Rate 9%
$2,261,289
$2.3M
Market Conditions
NOI Build-Up for 11,100 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
$399.6K $36.00/SF
− Vacancy
−$29.6K −$2.66/SF
EGI
$370.0K $33.34/SF
− OpEx
−$166.5K −$15.00/SF
NOI
$203.5K $18.33/SF
Area
Honolulu County, HI
Vacancy
7.40%
Lease Rate
$36.00 /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%
$4,070,320
Cap Rate 7%
$2,907,371
Cap Rate 9%
$2,261,289
Alternative Uses
Best Use
Apartment 5plus
$2.91M
$2.54M – $3.39M
NOI $203,516 @ 7.0% cap · market cap 4.15%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$4.50M
$3.93M – $5.25M
NOI $314,797 @ 7.0% cap · market cap 6.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Unlock full access to Insights
Subscribe to Realmo Intelligence
Open Analytics
Current Use
Location Intelligence
Demographics for 96816, HI
51,586
Population
19,818
Households
2.6
Avg Household Size
45
Median Age
48%
College-Educated
94%
High-School Grad
9.6 sq mi
ZIP Area
5,374
Density / Sq Mi
$114,744
Median Household Income
$48,929
Median Earnings
$1,879
Median Rent
$1,121,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
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?
Multifamily property - Fee-simple asset spanning two addresses in an established East Honolulu residential community.
Where is this multifamily property located?
The property is located at 2102 & 2106 Palolo Avenue Honolulu, HI.
What is the asking price?
The asking price for this property is $4,900,000.
What are key features of this property?
This property features: Fee‑simple multifamily asset comprising 2102 and 2106 Palolo Avenue; Located in Palolo Valley in East Honolulu; Established residential community with long‑term homeownership
