Renovated 11-Unit Apartment
For Sale
Contact for pricing
4022 42nd Street, San Diego, CA 92105
Gated residential property with updated interiors, on-site laundry, and off-street parking.
Property Size7,740 SF
Price / SF$400.52
Days on Market17
Property Features for 4022 42nd Street
General Information
Standard status
Active
Size
7,740 SF
Property subtype
Multifamily
Investment Type
Stabilized
Building Details
Year Built
1969
Year Renovated
2024
Buildings
1
Units
11
Tenancy
Multi
Listing Agency:
Colliers - Los Angeles - La Jolla, California
(858) 373-3237
Listed By:
Aaron Bove · License #CA 01318320
Source:
Crexi
Added: Jul 28
Changed: Aug 5
Last Checked: Aug 12 at 6:00AM
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 Colliers - Los Angeles - La Jolla, California
Investment Insights
Based on property information with market context.
This 11-unit apartment property includes six one-bedroom, one-bath residences and five two-bedroom, one-bath residences. Two units are newly constructed ADUs with modern finishes and efficient layouts. The community has undergone renovations and includes gated access, off-street parking, on-site laundry facilities, and updated interiors. The building was constructed in 1969.
Located at 4022 42nd Street in San Diego’s Teralta West neighborhood, the property offers access to Downtown San Diego, North Park, City Heights, SDSU, public transportation, and major regional freeways. The existing unit mix combines one- and two-bedroom layouts within a private residential setting, while the reported 6% in-place cap rate provides an additional investment metric.
Located at 4022 42nd Street in San Diego’s Teralta West neighborhood, the property offers access to Downtown San Diego, North Park, City Heights, SDSU, public transportation, and major regional freeways. The existing unit mix combines one- and two-bedroom layouts within a private residential setting, while the reported 6% in-place cap rate provides an additional investment metric.
Key Highlights
- 11‑unit apartment property with six one‑bedroom and five two‑bedroom residences
- Two newly constructed ADUs with modern finishes
- Renovated property with gated access and updated interiors
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
$144,823
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
4.67%
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%
$2,896,460
$2.9M
Cap Rate 7%
$2,068,900
$2.1M
Cap Rate 9%
$1,609,144
$1.6M
Market Conditions
NOI Build-Up for 7,740 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
$278.6K $36.00/SF
− Vacancy
−$15.3K −$1.98/SF
EGI
$263.3K $34.02/SF
− OpEx
−$118.5K −$15.31/SF
NOI
$144.8K $18.71/SF
Area
ZIP 92105
Vacancy
5.50%
Lease Rate
$36.00 /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%
$2,896,460
Cap Rate 7%
$2,068,900
Cap Rate 9%
$1,609,144
Alternative Uses
Best Use
Apartment 5plus
$2.07M
$1.81M – $2.41M
NOI $144,823 @ 7.0% cap · market cap 4.67%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$3.06M
$2.67M – $3.57M
NOI $213,996 @ 7.0% cap · market cap 6.90%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,890
Businesses Nearby
Explore this area
Business Placement
Demographics for 92105, CA
66,579
Population
23,862
Households
2.8
Avg Household Size
34
Median Age
21%
College-Educated
71%
High-School Grad
5.8 sq mi
ZIP Area
11,479
Density / Sq Mi
$65,174
Median Household Income
$34,469
Median Earnings
$1,687
Median Rent
$593,800
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 - Gated residential property with updated interiors, on-site laundry, and off-street parking.
Where is this apartment building located?
The property is located at 4022 42nd Street San Diego, CA.
What is the asking price?
The asking price for this property is $3,100,000.
What are key features of this property?
This property features: 11‑unit apartment property with six one‑bedroom and five two‑bedroom residences; Two newly constructed ADUs with modern finishes; Renovated property with gated access and updated interiors
