Side-by-Side Multifamily
For Sale
$4,950,000
971-977 Oak Lane, Menlo Park, CA 94025
Four residential units arranged in two duplex buildings, with three currently leased and separate-home layouts.
Property Size5,088 SF
Price / SF$972.88
Days on Market54
Property Features for 971-977 Oak Lane
General Information
Standard status
Active
Size
5,088 SF
Property subtype
Multi Family
Occupancy
75%
Additional Details
Multifamily Units
4
Taxes and HOA fees
Annual Taxes
$12,000
Building Details
Year Built
1949
Buildings
2
Listing Agency:
Parc Agency Corporation
(650) 533-7373
Listed By:
Keri Nicholas · License #01198898
(650) 533-7373
Source:
Exitrealty
Added: Jul 8
Changed: Aug 30
Last Checked: Jul 14 at 2:45AM
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 Parc Agency Corporation
Investment Insights
Based on property information with market context.
This 4-unit multifamily property comprises two duplex buildings configured as four individual residential homes. The units are arranged side by side, with separation between residences and shared walls limited to the garage areas. Built in 1949, the property contains 5,088 square feet and is situated on a private lane at 971-977 Oak Lane.
Three of the four units are currently leased. The property is located just off University Drive, with proximity to downtown Menlo Park, Nealon Park, Draegers, Stanford Shopping Center, and downtown Palo Alto. The address is within the Oak Knoll School District.
Three of the four units are currently leased. The property is located just off University Drive, with proximity to downtown Menlo Park, Nealon Park, Draegers, Stanford Shopping Center, and downtown Palo Alto. The address is within the Oak Knoll School District.
Key Highlights
- 4‑unit multifamily property arranged as two duplex buildings
- 5,088 square feet built in 1949
- Three of four units currently leased
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
$147,856
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
2.99%
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%
$2,957,120
$3.0M
Cap Rate 7%
$2,112,229
$2.1M
Cap Rate 9%
$1,642,844
$1.6M
Market Conditions
NOI Build-Up for 5,088 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
$225.9K $44.40/SF
− Vacancy
−$14.7K −$2.89/SF
EGI
$211.2K $41.51/SF
− OpEx
−$63.4K −$12.45/SF
NOI
$147.9K $29.06/SF
Area
San Mateo County, CA
Vacancy
6.50%
Lease Rate
$44.40 /SF/Yr
Expense Ratio
30.00%
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%
$2,957,120
Cap Rate 7%
$2,112,229
Cap Rate 9%
$1,642,844
Alternative Uses
Best Use
Multifamily LT 5
$2.11M
$1.85M – $2.46M
NOI $147,856 @ 7.0% cap · market cap 2.99%
Second Best
Apartment 5plus
$1.98M
$1.73M – $2.31M
NOI $138,481 @ 7.0% cap · market cap 2.80%
Theoretical Best
Warehouse
$4.04M
$3.54M – $4.72M
NOI $282,902 @ 7.0% cap · market cap 5.72%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
4
Residential units
75%
Occupancy
Location Intelligence
Trade Area within ½ mile
2,646
Businesses Nearby
Explore this area
Business Placement
Demographics for 94025, CA
42,354
Population
16,259
Households
2.6
Avg Household Size
39
Median Age
73%
College-Educated
94%
High-School Grad
8.4 sq mi
ZIP Area
5,042
Density / Sq Mi
$215,871
Median Household Income
$98,160
Median Earnings
$3,169
Median Rent
$2,000,001
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?
Multifamily property - Four residential units arranged in two duplex buildings, with three currently leased and separate-home layouts.
Where is this multifamily property located?
The property is located at 971-977 Oak Lane Menlo Park, CA.
What is the asking price?
The asking price for this property is $4,950,000.
What are key features of this property?
This property features: 4‑unit multifamily property arranged as two duplex buildings; 5,088 square feet built in 1949; Three of four units currently leased
