Seven-Unit Apartment
New
For Sale
$2,100,000
317 Ocean St, Santa Cruz, CA 95060
Multifamily property with a varied unit mix near Santa Cruz transportation, retail, education, employment, and coastal amenities.
Property Size3,136 SF
Lot Size0.17 Acres
Days on Market2
Property Features for 317 Ocean St
General Information
Standard status
Active
Size
3,136 SF
Net Rentable
3,700 SF
Lot size
0.17 Acres
Property subtype
Multifamily
Occupancy
97%
Site & Location
Highway Access
Yes
Public Transit
Yes
Units
Unit Mix
5 x 1BR, 2 x 2BR
Multifamily Units
7
Amenities
Mix of one bedroom and two bedroom units
Solar panel upgrades
Walking distance to beach and downtown
Building Details
Building Size
3,136 SF
Units
7
Listing Agency:
Marcus & Millichap
Listed By:
Fred Rubio III · License #License(s): CA: 01984041
(650) 391-1734
Source:
Marcusmillichap
Added: Sep 13
Last Checked: Sep 13 at 2:56PM
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 Marcus & Millichap
Investment Insights
Based on property information with market context.
Located at 317 Ocean St in Santa Cruz, this apartment property contains seven units with five one-bedroom residences and two two-bedroom residences. The building offers approximately 3,700 square feet of rentable area on an approximately 7,405-square-foot lot, with an established operating history and strong occupancy.
The property sits along a primary Santa Cruz transportation corridor near Highway 1, with connections to Highway 17 and access toward Scotts Valley, San Jose, and the greater Silicon Valley employment market. Downtown Santa Cruz, Pacific Avenue, the Santa Cruz Beach Boardwalk, public transportation, beaches, retail, dining, UC Santa Cruz, and local employment centers are identified within the surrounding area. The unit mix and access to educational, employment, and recreational destinations support a range of local renter needs.
The property sits along a primary Santa Cruz transportation corridor near Highway 1, with connections to Highway 17 and access toward Scotts Valley, San Jose, and the greater Silicon Valley employment market. Downtown Santa Cruz, Pacific Avenue, the Santa Cruz Beach Boardwalk, public transportation, beaches, retail, dining, UC Santa Cruz, and local employment centers are identified within the surrounding area. The unit mix and access to educational, employment, and recreational destinations support a range of local renter needs.
Key Highlights
- Seven‑unit multifamily property at 317 Ocean St, Santa Cruz, CA 95060
- Unit mix includes five one‑bedroom units and two two‑bedroom units
- Approximately 3,700 square feet of rentable building area
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
$80,721
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
3.84%
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%
$1,614,420
$1.6M
Cap Rate 7%
$1,153,157
$1.2M
Cap Rate 9%
$896,900
$896.9K
Market Conditions
NOI Build-Up for 3,136 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
$150.5K $48.00/SF
− Vacancy
−$3.8K −$1.20/SF
EGI
$146.8K $46.80/SF
− OpEx
−$66.0K −$21.06/SF
NOI
$80.7K $25.74/SF
Area
Santa Cruz County, CA
Vacancy
2.50%
Lease Rate
$48.00 /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%
$1,614,420
Cap Rate 7%
$1,153,157
Cap Rate 9%
$896,900
Alternative Uses
Best Use
Apartment 5plus
$1.15M
$1.01M – $1.35M
NOI $80,721 @ 7.0% cap · market cap 3.84%
Second Best
—
—
no second resolved use
Theoretical Best
Retail
$1.79M
$1.57M – $2.09M
NOI $125,522 @ 7.0% cap · market cap 5.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
7
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
3,709
Businesses Nearby
Explore this area
Business Placement
Demographics for 95060, CA
47,931
Population
20,181
Households
2.4
Avg Household Size
39
Median Age
55%
College-Educated
94%
High-School Grad
54.5 sq mi
ZIP Area
879
Density / Sq Mi
$106,040
Median Household Income
$46,231
Median Earnings
$2,356
Median Rent
$1,189,300
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in West region
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Frequently Asked Questions
What type of property is this?
Apartment building - Multifamily property with a varied unit mix near Santa Cruz transportation, retail, education, employment, and coastal amenities.
Where is this apartment building located?
The property is located at 317 Ocean St Santa Cruz, CA.
What is the asking price?
The asking price for this property is $2,100,000.
What are key features of this property?
This property features: Seven‑unit multifamily property at 317 Ocean St, Santa Cruz, CA 95060; Unit mix includes five one‑bedroom units and two two‑bedroom units; Approximately 3,700 square feet of rentable building area
