Milpitas Land Development
For Sale
$1,100,000
7280 Marylinn Drive, Milpitas, CA 95035
Land suitable for commercial or residential development in Milpitas, CA.
Property Size4,435 SF
Price / SF$248.03
Days on Market1112
Property Features for 7280 Marylinn Drive
General Information
Standard status
Active
Size
4,435 SF
Property subtype
Land or Vacant Lot
Amenities
Level
Listing Agency:
UNIVERSAL NETWORK GROUP
(510) 371-8377
Listed By:
JENNIFER LI · License #01714039
Source:
Corcoran
Added: Jul 25, 2023
Changed: Aug 8
Last Checked: Aug 8 at 1:32PM
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 UNIVERSAL NETWORK GROUP
Investment Insights
Based on property information with market context.
This property, subject to city planner approval, presents a development opportunity with a frontage of 281.42 ft. The buildable area is one story, 4,435 SF per the old building plan from the 90s. The R3B zoning is phasing out and will be replaced under IND, allowing a developer to plan and apply for variances. The city welcomes low-income, high-density affordable housing, and developers may receive a density bonus of up to 35%. The property allows for the construction of a 3-story building with a maximum of 13,305 SF (4,435 SF per floor), accommodating up to 9 units. The first floor can serve as a versatile commercial space suitable for medical clinics, retail stores, showrooms, pre-schools, kindergartens, OEMs/branches/sales offices, low-income housing, or senior housing for high-density residential development.
Key Highlights
- High‑Density Development Potential: Suited for residential development, including low‑income or senior housing.
- Density Bonus: Developers can receive a density bonus of up to 35%.
- Versatile Commercial Space: The 1st floor is adaptable to medical clinics, retail stores, showrooms, pre‑school, kindergarten, OEMs\/branches\/sales offices.
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
$84,300
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
7.66%
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%
$1,686,000
$1.7M
Cap Rate 7%
$1,204,286
$1.2M
Cap Rate 9%
$936,667
$936.7K
Market Conditions
NOI Build-Up for 4,435 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
$159.7K $36.00/SF
− Vacancy
−$6.4K −$1.44/SF
EGI
$153.3K $34.56/SF
− OpEx
−$69.0K −$15.55/SF
NOI
$84.3K $19.01/SF
Area
Santa Clara County, CA
Vacancy
4.00%
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%
$1,686,000
Cap Rate 7%
$1,204,286
Cap Rate 9%
$936,667
Alternative Uses
Best Use
Office B
$2.23M
$1.95M – $2.60M
NOI $156,019 @ 7.0% cap · market cap 14.18%
Second Best
Retail
$1.71M
$1.50M – $2.00M
NOI $119,796 @ 7.0% cap · market cap 10.89%
Theoretical Best
Office A
$2.68M
$2.34M – $3.12M
NOI $187,423 @ 7.0% cap · market cap 17.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
830
Businesses Nearby
Explore this area
Business Placement
Demographics for 95035, CA
80,440
Population
25,851
Households
3.1
Avg Household Size
37
Median Age
59%
College-Educated
90%
High-School Grad
22.4 sq mi
ZIP Area
3,591
Density / Sq Mi
$176,723
Median Household Income
$81,070
Median Earnings
$3,110
Median Rent
$1,180,700
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Commercial land - Land suitable for commercial or residential development in Milpitas, CA.
Where is this commercial land located?
The property is located at 7280 Marylinn Drive Milpitas, CA.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: High‑Density Development Potential: Suited for residential development, including low‑income or senior housing.; Density Bonus: Developers can receive a density bonus of up to 35%.; Versatile Commercial Space: The 1st floor is adaptable to medical clinics, retail stores, showrooms, pre‑school, kindergarten, OEMs\/branches\/sales offices.
