Santa Ana Gated Income
For Sale
$1,275,000
217 N Mcclay, Santa Ana, CA 92701
Two homes on a large lot with income potential.
Property Size1,800 SF
Price / SF$708.33
Days on Market102
Property Features for 217 N Mcclay
General Information
Standard status
Active
Size
1,800 SF
Property subtype
Investment
Building Details
Building Size
1,800 SF
Year Built
1910
Stories
1
Units
2
Listing Agency:
Compass Land Advisors, Inc.
(949) 339-8918
Listed By:
Raffaele Suprano · License #01979686
(949) 339-8918
Source:
Elliman
Added: May 20
Changed: Aug 25
Last Checked: Aug 29 at 10:01AM
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 Land Advisors, Inc.
Investment Insights
Based on property information with market context.
This rare two-home gated compound in Santa Ana offers income potential, private yards, and remodeled interiors, situated on a large usable lot. The property is ideal for multigenerational living, a live/rent strategy, investors, or buyers seeking future SFR & ADU upside. It features approximately 1,800 square feet of living space across two residences, with a total of 5 bedrooms and 2 bathrooms. The front home offers 3 bedrooms, 1 bathroom, an attached garage, and a private fenced yard, making it ideal as a primary residence or rental unit. The second home features 2 bedrooms and 1 bathroom with its own gated entry, large yard area, pergola, mature fruit trees, and outdoor space perfect for relaxing or entertaining. Both homes have been extensively remodeled, including brand new kitchens, upgraded bathrooms, new flooring, new water heaters, newly installed split A/C systems, updated cabinetry and countertops, and refreshed landscaping throughout the property. These improvements make the homes move-in ready while providing strong rental appeal. A standout feature of the property is the additional large graded lot area, offering exceptional flexibility for future use. The space may allow for additional improvements such as a SFR with a Jr. ADU (buyer to verify with the City), a contractor yard, storage area, workshop, recreational space, or expanded outdoor entertaining area. The entire property is fully gated, offering privacy and security, creating a unique environment that can function as a private family compound.
Key Highlights
- Two Homes on One Large Gated Lot: ideal for multigenerational living or rental income.
- Extensively Remodeled Interiors: both homes feature new kitchens, upgraded bathrooms, new flooring, and split A/C systems.
- Income Potential: live in one, rent the other for immediate income.
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
$38,987
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
3.06%
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%
$779,740
$779.7K
Cap Rate 7%
$556,957
$557.0K
Cap Rate 9%
$433,189
$433.2K
Market Conditions
NOI Build-Up for 1,800 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
$58.3K $32.40/SF
− Vacancy
−$2.6K −$1.46/SF
EGI
$55.7K $30.94/SF
− OpEx
−$16.7K −$9.28/SF
NOI
$39.0K $21.66/SF
Area
ZIP 92701
Vacancy
4.50%
Lease Rate
$32.40 /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%
$779,740
Cap Rate 7%
$556,957
Cap Rate 9%
$433,189
Alternative Uses
Best Use
Multifamily LT 5
$557.0K
$487.3K – $649.8K
NOI $38,987 @ 7.0% cap · market cap 3.06%
Second Best
Apartment 5plus
$511.1K
$447.2K – $596.3K
NOI $35,775 @ 7.0% cap · market cap 2.81%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,455
Businesses Nearby
Explore this area
Business Placement
Demographics for 92701, CA
48,789
Population
13,470
Households
3.6
Avg Household Size
32
Median Age
11%
College-Educated
62%
High-School Grad
3.2 sq mi
ZIP Area
15,247
Density / Sq Mi
$68,697
Median Household Income
$33,846
Median Earnings
$1,650
Median Rent
$608,300
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?
Duplex - Two homes on a large lot with income potential.
Where is this duplex located?
The property is located at 217 N Mcclay Santa Ana, CA.
What is the asking price?
The asking price for this property is $1,275,000.
What are key features of this property?
This property features: Two Homes on One Large Gated Lot: ideal for multigenerational living or rental income.; Extensively Remodeled Interiors: both homes feature new kitchens, upgraded bathrooms, new flooring, and split A/C systems.; Income Potential: live in one, rent the other for immediate income.
