21-Unit Apartment
New
For Sale
$4,388,000
2801 College Ave, Berkeley, CA 94705
RM-zoned multifamily property with studios and one- and two-bedroom residences near College Avenue retail and UC Berkeley.
Property Size9,172 SF
Days on Market4
Property Features for 2801 College Ave
General Information
Standard status
Active
Size
9,172 SF
Total Parking Spaces
2
Property subtype
Multi Family Home
Zoning
RM
Units
Unit Mix
1BR, 2BR, studio
Multifamily Units
21
Additional Details
Cap Rate
6.29%
Building Details
Building Size
9,172 SF
Year Built
1957
Buildings
1
Listing Agency:
Marcus & Millichap
(650) 546-1030
Listed By:
Eymon Binesh · License #02060059
(650) 546-1030
Source:
Dualprideproperties
Added: Aug 8
Changed: Aug 9
Last Checked: Aug 10 at 12:24PM
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 Marcus & Millichap
Investment Insights
Based on property information with market context.
This 21-unit apartment property, built in 1957, offers a mix of studio, one-bedroom, and two-bedroom floor plans. The varied configuration supports multiple residential needs within a single multifamily asset, while RM zoning provides the stated land-use designation.
The property is located at 2801 College Avenue in Berkeley’s Elmwood neighborhood, adjacent to the College Avenue retail corridor and its restaurants and cafés. UC Berkeley is also identified as nearby. The asset is offered at a 6.29% in-place cap rate, with future rental growth and value-add potential referenced in the property information.
The property is located at 2801 College Avenue in Berkeley’s Elmwood neighborhood, adjacent to the College Avenue retail corridor and its restaurants and cafés. UC Berkeley is also identified as nearby. The asset is offered at a 6.29% in-place cap rate, with future rental growth and value-add potential referenced in the property information.
Key Highlights
- 21‑unit apartment community at 2801 College Avenue
- Studio, one‑bedroom, and two‑bedroom floor plans
- RM zoning designation
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
$182,302
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%
$3,646,040
$3.6M
Cap Rate 7%
$2,604,314
$2.6M
Cap Rate 9%
$2,025,578
$2.0M
Market Conditions
NOI Build-Up for 9,172 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
$348.9K $38.04/SF
− Vacancy
−$17.4K −$1.90/SF
EGI
$331.5K $36.14/SF
− OpEx
−$149.2K −$16.26/SF
NOI
$182.3K $19.88/SF
Area
Berkeley, CA
Vacancy
5.00%
Lease Rate
$38.04 /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%
$3,646,040
Cap Rate 7%
$2,604,314
Cap Rate 9%
$2,025,578
Alternative Uses
Best Use
Apartment 5plus
$2.60M
$2.28M – $3.04M
NOI $182,302 @ 7.0% cap · market cap 4.15%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$3.55M
$3.10M – $4.14M
NOI $248,304 @ 7.0% cap · market cap 5.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
21
Residential units
Location Intelligence
Trade Area within ½ mile
3,451
Businesses Nearby
Explore this area
Business Placement
Demographics for 94705, CA
13,591
Population
6,335
Households
2.1
Avg Household Size
42
Median Age
79%
College-Educated
98%
High-School Grad
3.4 sq mi
ZIP Area
3,997
Density / Sq Mi
$163,254
Median Household Income
$75,864
Median Earnings
$2,330
Median Rent
$1,892,300
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?
Apartment building - RM-zoned multifamily property with studios and one- and two-bedroom residences near College Avenue retail and UC Berkeley.
Where is this apartment building located?
The property is located at 2801 College Ave Berkeley, CA.
What is the asking price?
The asking price for this property is $4,388,000.
What are key features of this property?
This property features: 21‑unit apartment community at 2801 College Avenue; Studio, one‑bedroom, and two‑bedroom floor plans; RM zoning designation
