8397 Jackson Road

Highway 50 Corridor

8397 Jackson Road

Region: Highway 50 Corridor
Use: Multifamily
Lease or Sale: Sale
Building Size: ±3,408 SF
Sale Price: $775,000

The three-story, 3,400 square foot property features seven one-bedroom, one bath units. The back of the property is leased to the adjacent commercial tenant providing an additional stream of income.

The nicely renovated property has great character and highly efficient configured units with below-market rents. Every unit is charming and boasts wood laminate flooring, tile, carpet, updated kitchens with granite countertops, appliances. Some units have balconies. Rental income on the units are insulated from any downturn with considerable upside to an investor who can bring a high level of property management. Proximity to major employment centers of the Power Inn Alliance, Sacramento State and major transit routes including two light rail stations.

The year-one capitalization rate based on a $775,000 purchase price is 5.5% with proforma capitalization rate of 7-7.5% by increasing below market rents to $895/unit. Priced at approximately $110,000 per door, this one of a kind property is below replacement cost and a great long-term and stable investment. The property currently generates a gross annual income of $66,720 and a net operating income of $42,500.

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