Turnkey Lemon Grove Apartment
For Sale
Contact for pricing
Pending
8465 Broadway, Lemon Grove, CA 91945
Newer construction 16-unit apartment building in Lemon Grove, California.
Property Size10,659 SF
Lot Size0.51 Acres
Days on Market148
Property Features for 8465 Broadway
General Information
Standard status
Pending
Size
10,659 SF
Class
B
Total Parking Spaces
18
Lot size
0.51 Acres
Property subtype
Multifamily
Occupancy
100%
Investment Type
Stabilized
Net Operating Income
$267,061
Building Details
Year Built
2018
Buildings
1
Stories
3
Units
16
Listing Agency:
NorthMarq - San Diego
(415) 250-4947
Listed By:
Benn Vogelsang · License #CA DRE 01883437
Source:
Crexi
Added: Mar 19
Changed: Aug 9
Last Checked: Aug 12 at 8:26AM
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 NorthMarq - San Diego
Investment Insights
Based on property information with market context.
The Grove Lofts at 8465 Broadway is a 10,659 square foot, two-story apartment building constructed in 2018. It features sixteen units: twelve one-bedroom, one-bathroom loft units and four ground-floor studio units. Situated on a 22,215 square foot lot, the property includes 18 gated parking spaces, two of which are covered. Unit amenities include stainless steel appliances, dishwashers, built-in microwaves, private balconies, walk-in closets, in-unit stacked washer/dryers, and mini-split A/C units. Common areas feature a ground-level barbeque patio with seating around a firepit, as well as second and third-floor patios with pool and lawn chairs. Tenants are charged back for utilities through RUBS, and there is currently 10% upside in rents. The property is currently exempt from AB1482 due to its newer construction. Four ground-floor storage units offer potential for additional income. The property is located in Lemon Grove, 9 miles from Downtown San Diego, with convenient access to local restaurants, coffee shops, entertainment, and landmarks. The College Grove Shopping Center and Lemon Grove Plaza are nearby. Commuter options include quick access to State Route 94, leading to Interstate 5, and the Lemon Grove Depot (MTS) trolley stop within walking distance. Nearby activities include Reading Cinemas, SDCCU Stadium, Lemon Grove Park, and Berry Street Park. Educational facilities in close proximity include San Miguel Elementary School, San Altos Elementary School, Lemon Grove Academy, Liberty Charter High School, San Diego State University, and Grossmont College.
Key Highlights
- Newer construction (2018) property exempt from AB1482
- Turnkey 16‑unit apartment building with a mix of 1BR/1BA loft units and studio units
- Strong income potential with 10% rent upside and additional income from 4 storage units**
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
$177,105
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
2.98%
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%
$3,542,100
$3.5M
Cap Rate 7%
$2,530,071
$2.5M
Cap Rate 9%
$1,967,833
$2.0M
Market Conditions
NOI Build-Up for 10,659 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
$339.0K $31.80/SF
− Vacancy
−$16.9K −$1.59/SF
EGI
$322.0K $30.21/SF
− OpEx
−$144.9K −$13.59/SF
NOI
$177.1K $16.62/SF
Area
San Diego County, CA
Vacancy
5.00%
Lease Rate
$31.80 /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%
$3,542,100
Cap Rate 7%
$2,530,071
Cap Rate 9%
$1,967,833
Alternative Uses
Best Use
Apartment 5plus
$2.53M
$2.21M – $2.95M
NOI $177,105 @ 7.0% cap · market cap 2.98%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.88M
$4.27M – $5.70M
NOI $341,852 @ 7.0% cap · market cap 5.75%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
501
Businesses Nearby
Explore this area
Business Placement
Demographics for 91945, CA
27,814
Population
9,715
Households
2.9
Avg Household Size
38
Median Age
20%
College-Educated
89%
High-School Grad
4.0 sq mi
ZIP Area
6,954
Density / Sq Mi
$79,381
Median Household Income
$41,727
Median Earnings
$1,769
Median Rent
$640,500
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Apartment building - Newer construction 16-unit apartment building in Lemon Grove, California.
Where is this apartment building located?
The property is located at 8465 Broadway Lemon Grove, CA.
What is the asking price?
The asking price for this property is $5,950,000.
What are key features of this property?
This property features: Newer construction (2018) property exempt from AB1482; Turnkey 16‑unit apartment building with a mix of 1BR/1BA loft units and studio units; Strong income potential with 10% rent upside and additional income from 4 storage units**
