Berkeley Commercial Property on
For Sale
$1,550,000
3021 Telegraph Ave, Berkeley, CA 94705
Well-located commercial building with high visibility and diverse potential uses.
Property Size4,373 SF
Lot Size0.11 Acres
Price / SF$354.45
Days on Market147
Property Features for 3021 Telegraph Ave
General Information
Standard status
Active
Size
4,373 SF
Lot size
0.11 Acres
Property subtype
Commercial
Amenities
Rolled Composition Roof
Street Parking
Building Details
Year Built
1956
Listing Agency:
RED OAK REALTY
(510) 292-2000
Listed By:
THOMAS GARABEDIAN CONE · License #02034258
Source:
Corcoran
Added: Mar 29
Changed: Aug 8
Last Checked: Aug 8 at 12:19PM
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 RED OAK REALTY
Investment Insights
Based on property information with market context.
Located on Telegraph Avenue in Berkeley, this commercial property features a single-story building with 4,373 square feet of space on a 4,875-square-foot lot. The property benefits from exceptional visibility and exposure along Telegraph Avenue, a key commercial arterial connecting UC Berkeley to Downtown Oakland. The C-1 (General Commercial) zoning allows for a wide range of commercial uses, including general business offices, retail establishments, medical offices, and personal or professional services. The building is configured as five internal suites, with two currently occupied by tenants on month-to-month commercial leases, and three suites are vacant. Most suites have internal restrooms, and there are also two common area restrooms. The property is located across Telegraph Avenue from Whole Foods Market, one block south of Ashby Avenue, and one block west of the Alta Bates Summit Medical Center, offering a strong business presence in Berkeley with potential for signage enhancements. The owner will carry limited financing for qualified buyers.
Key Highlights
- Prime location on Telegraph Avenue, across from Whole Foods Market and near Alta Bates Summit Medical Center.
- High visibility and exposure on a major commercial thoroughfare connecting UC Berkeley and Downtown Oakland.
- Versatile C‑1 zoning allows for a wide range of business types (offices, retail, medical, etc.).
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
$101,935
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
6.58%
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%
$2,038,700
$2.0M
Cap Rate 7%
$1,456,214
$1.5M
Cap Rate 9%
$1,132,611
$1.1M
Market Conditions
NOI Build-Up for 4,373 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
$157.4K $36.00/SF
− Vacancy
−$11.8K −$2.70/SF
EGI
$145.6K $33.30/SF
− OpEx
−$43.7K −$9.99/SF
NOI
$101.9K $23.31/SF
Area
Berkeley, CA
Vacancy
7.50%
Lease Rate
$36.00 /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%
$2,038,700
Cap Rate 7%
$1,456,214
Cap Rate 9%
$1,132,611
Alternative Uses
Best Use
Retail
$1.46M
$1.27M – $1.70M
NOI $101,935 @ 7.0% cap · market cap 6.58%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.69M
$1.48M – $1.97M
NOI $118,386 @ 7.0% cap · market cap 7.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,167
Businesses Nearby
131k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 51%
Groceries 30%
Dining 15%
Beauty & Spa 2%
Whole Foods Market
Groceries
39,578 visits/mo
0.1 miles
Chevron
Shops & Services
17,240 visits/mo
0.1 miles
Jack in the Box
Dining
11,694 visits/mo
0.4 miles
Chevron
Shops & Services
9,823 visits/mo
0.5 miles
7-Eleven
Shops & Services
8,685 visits/mo
0.5 miles
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 Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - Well-located commercial building with high visibility and diverse potential uses.
Where is this storefront property located?
The property is located at 3021 Telegraph Ave Berkeley, CA.
What is the asking price?
The asking price for this property is $1,550,000.
What are key features of this property?
This property features: Prime location on Telegraph Avenue, across from Whole Foods Market and near Alta Bates Summit Medical Center.; High visibility and exposure on a major commercial thoroughfare connecting UC Berkeley and Downtown Oakland.; Versatile C‑1 zoning allows for a wide range of business types (offices, retail, medical, etc.).
