5-Unit Apartment
For Sale
$989,000
306 2nd St NE, Auburn, WA 98002
Fully occupied property with updated units, new roof and siding, off-street parking, and coin-operated laundry.
Property Size3,800 SF
Price / SF$260.26
Days on Market23
Property Features for 306 2nd St NE
General Information
Standard status
Active
Size
3,800 SF
Total Parking Spaces
6
Property subtype
Multi-Family
Occupancy
100%
Additional Details
Public Transit
Yes
Multifamily Units
5
Amenities
on-site laundry
Building Details
Year Built
1922
Listing Agency:
Torre Realty
(206) 915-2399
Listed By:
Elena Pike
Source:
Larissabutlerrealty
Added: Aug 9
Changed: Aug 30
Last Checked: Aug 30 at 12:56PM
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 Torre Realty
Investment Insights
Based on property information with market context.
Built in 1922, this 3,800-square-foot apartment building contains five rental units, all currently occupied. The units have been recently updated, while the roof and siding are new. On-site amenities include a coin-operated laundry room and rear off-street parking for up to 6 cars.
Located at 306 2nd St NE in Auburn, the property is within walking distance of Main Street, where shops, restaurants, and public transportation are available. The building is reported at 100% occupancy with a waitlist, and some tenants have remained for more than 7 years. A practical fit for buyers seeking an occupied multifamily property with established tenancy and recent exterior improvements.
Located at 306 2nd St NE in Auburn, the property is within walking distance of Main Street, where shops, restaurants, and public transportation are available. The building is reported at 100% occupancy with a waitlist, and some tenants have remained for more than 7 years. A practical fit for buyers seeking an occupied multifamily property with established tenancy and recent exterior improvements.
Key Highlights
- Five rental units in a 3,800‑square‑foot apartment building
- 100% occupancy with a waitlist
- New roof and siding; all units recently updated
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
$59,063
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
5.97%
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%
$1,181,260
$1.2M
Cap Rate 7%
$843,757
$843.8K
Cap Rate 9%
$656,256
$656.3K
Market Conditions
NOI Build-Up for 3,800 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
$114.0K $30.00/SF
− Vacancy
−$6.6K −$1.74/SF
EGI
$107.4K $28.26/SF
− OpEx
−$48.3K −$12.72/SF
NOI
$59.1K $15.54/SF
Area
King County, WA
Vacancy
5.80%
Lease Rate
$30.00 /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%
$1,181,260
Cap Rate 7%
$843,757
Cap Rate 9%
$656,256
Alternative Uses
Best Use
Apartment 5plus
$843.8K
$738.3K – $984.4K
NOI $59,063 @ 7.0% cap · market cap 5.97%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.52M
$1.33M – $1.78M
NOI $106,540 @ 7.0% cap · market cap 10.77%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
1,865
Businesses Nearby
Explore this area
Business Placement
Demographics for 98002, WA
38,474
Population
15,279
Households
2.5
Avg Household Size
36
Median Age
18%
College-Educated
84%
High-School Grad
7.2 sq mi
ZIP Area
5,344
Density / Sq Mi
$77,714
Median Household Income
$44,616
Median Earnings
$1,613
Median Rent
$397,700
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 - Fully occupied property with updated units, new roof and siding, off-street parking, and coin-operated laundry.
Where is this apartment building located?
The property is located at 306 2nd St NE Auburn, WA.
What is the asking price?
The asking price for this property is $989,000.
What are key features of this property?
This property features: Five rental units in a 3,800‑square‑foot apartment building; 100% occupancy with a waitlist; New roof and siding; all units recently updated
