East Sacramento Multi-Story Office
For Sale
$1,399,000
722 Alhambra Boulevard, Sacramento, CA 95816
Income-producing office building in a sought-after urban neighborhood.
Property Size5,320 SF
Price / SF$262.97
Days on Market140
Property Features for 722 Alhambra Boulevard
General Information
Standard status
Active
Size
5,320 SF
Property subtype
Commercial/Industrial
Building Details
Year Built
1952
Listing Agency:
ROME Real Estate Group, Inc.
(916) 705-8132
Listed By:
Chase S. Burke · License #01879336
(916) 705-8132
Source:
Exitrealty
Added: Apr 6
Changed: Aug 23
Last Checked: Aug 23 at 6:27AM
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 ROME Real Estate Group, Inc.
Investment Insights
Based on property information with market context.
Located on Alhambra Boulevard in East Sacramento, this multi-story office building offers an opportunity for owner-users or investors. The 5,320 square foot complex is situated in a historically stable, high-income corridor. The property is near McKinley Park, a 32-acre landmark featuring a rose garden, farmers market, community pool, and year-round events. Several restaurants and cafes are within walking distance. The building is currently 75% leased to tenants in health services and law, providing income with potential for increased revenue from the remaining vacancy. The OB-SPD zoning (Office Business Low-Rise Mixed-Use Special Planning District) allows for a range of professional and mixed-use occupancies. With access to Business 80 and Highway 50, the property provides convenient access to Downtown, Midtown, and the greater metro area. Traffic counts are 15,806 ADT at H St Alhambra Blvd and 179,788 ADT on Capital City Freeway. The surrounding area of East Sacramento features tree-lined streets and a median household income exceeding $109,000.
Key Highlights
- Prime location in East Sacramento's Alhambra corridor.
- Adjacent to McKinley Park, offering access to amenities.
- Income‑producing multi‑story office building with established tenants.
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
$72,481
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
5.18%
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%
$1,449,620
$1.4M
Cap Rate 7%
$1,035,443
$1.0M
Cap Rate 9%
$805,344
$805.3K
Market Conditions
NOI Build-Up for 5,320 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
$114.9K $21.60/SF
− Vacancy
−$18.3K −$3.43/SF
EGI
$96.6K $18.17/SF
− OpEx
−$24.2K −$4.54/SF
NOI
$72.5K $13.62/SF
Area
Sacramento, CA
Vacancy
15.90%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
25.00%
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%
$1,449,620
Cap Rate 7%
$1,035,443
Cap Rate 9%
$805,344
Alternative Uses
Best Use
Office B
$1.04M
$906.0K – $1.21M
NOI $72,481 @ 7.0% cap · market cap 5.18%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.43M
$1.25M – $1.67M
NOI $100,069 @ 7.0% cap · market cap 7.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
5,024
Businesses Nearby
Explore this area
Business Placement
Demographics for 95816, CA
18,606
Population
11,553
Households
1.6
Avg Household Size
36
Median Age
65%
College-Educated
98%
High-School Grad
2.7 sq mi
ZIP Area
6,891
Density / Sq Mi
$90,521
Median Household Income
$61,407
Median Earnings
$1,647
Median Rent
$789,700
Median Home Value
Market
Vacancy Rate% for Office in Sacramento, CA
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Income-producing office building in a sought-after urban neighborhood.
Where is this office building located?
The property is located at 722 Alhambra Boulevard Sacramento, CA.
What is the asking price?
The asking price for this property is $1,399,000.
What are key features of this property?
This property features: Prime location in East Sacramento's Alhambra corridor.; Adjacent to McKinley Park, offering access to amenities.; Income‑producing multi‑story office building with established tenants.
