11-Unit Apartment
For Sale
$4,000,000
228 W Alamar, Santa Barbara, CA 93105
Santa Barbara property with a varied unit mix, including studios and one- and two-bedroom residences.
Property Size6,500 SF
Price / SF$615.38
Days on Market86
Property Features for 228 W Alamar
General Information
Standard status
Active
Size
6,500 SF
Property subtype
Multi-Family
Units
Unit Mix
3 x 2BR/1BA, 4 x 1BR/1BA, 4 x studio
Multifamily Units
11
Additional Details
Highway Access
Yes
Building Details
Year Built
1964
Buildings
1
Listing Agency:
Berkshire Hathaway HomeServices California Properties
Listed By:
Steve Heller
Source:
Santabarbarahomesearcher
Added: Jun 7
Changed: Aug 31
Last Checked: Aug 30 at 5:50PM
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 Berkshire Hathaway HomeServices California Properties
Investment Insights
Based on property information with market context.
Built in 1964, this apartment property at 228 W Alamar in Santa Barbara includes 11 units with a mix of three two-bedroom, one-bath units, four one-bedroom, one-bath units, and four studios. One studio does not include a kitchen. The property size is 6,500.
The property is approximately 0.7 miles from Cottage Hospital and approximately 0.4 miles from Trader Joe's. It also provides access to the De La Vina Corridor, downtown Santa Barbara, waterfront beaches, shopping, and major freeways.
The property is approximately 0.7 miles from Cottage Hospital and approximately 0.4 miles from Trader Joe's. It also provides access to the De La Vina Corridor, downtown Santa Barbara, waterfront beaches, shopping, and major freeways.
Key Highlights
- 11 apartment units in total
- Unit mix includes 3 two‑bedroom/one‑bath units, 4 one‑bedroom/one‑bath units, and 4 studios
- One studio does not include a kitchen
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
$128,601
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
3.22%
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%
$2,572,020
$2.6M
Cap Rate 7%
$1,837,157
$1.8M
Cap Rate 9%
$1,428,900
$1.4M
Market Conditions
NOI Build-Up for 6,500 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
$241.8K $37.20/SF
− Vacancy
−$8.0K −$1.23/SF
EGI
$233.8K $35.97/SF
− OpEx
−$105.2K −$16.19/SF
NOI
$128.6K $19.78/SF
Area
Santa Barbara County, CA
Vacancy
3.30%
Lease Rate
$37.20 /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%
$2,572,020
Cap Rate 7%
$1,837,157
Cap Rate 9%
$1,428,900
Alternative Uses
Best Use
Apartment 5plus
$1.84M
$1.61M – $2.14M
NOI $128,601 @ 7.0% cap · market cap 3.22%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$2.04M
$1.79M – $2.38M
NOI $142,806 @ 7.0% cap · market cap 3.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
11
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
2,389
Businesses Nearby
Explore this area
Business Placement
Demographics for 93105, CA
26,003
Population
11,401
Households
2.3
Avg Household Size
49
Median Age
60%
College-Educated
94%
High-School Grad
139.8 sq mi
ZIP Area
186
Density / Sq Mi
$129,549
Median Household Income
$64,371
Median Earnings
$2,572
Median Rent
$1,496,500
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 - Santa Barbara property with a varied unit mix, including studios and one- and two-bedroom residences.
Where is this apartment building located?
The property is located at 228 W Alamar Santa Barbara, CA.
What is the asking price?
The asking price for this property is $4,000,000.
What are key features of this property?
This property features: 11 apartment units in total; Unit mix includes 3 two‑bedroom/one‑bath units, 4 one‑bedroom/one‑bath units, and 4 studios; One studio does not include a kitchen
