| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 74th | Fair |
| Demographics | 81st | Best |
| Amenities | 61st | Good |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 1631 University Ave, Berkeley, CA, 94703, US |
| Region / Metro | Berkeley |
| Year of Construction | 1998 |
| Units | 34 |
| Transaction Date | 2019-09-16 |
| Transaction Price | $14,000,000 |
| Buyer | STERLING BERKELEY JEFFERWSON LLC |
| Seller | EQR FINE ARTS BERKELEY LIMITED PARTNERSH |
1631 University Ave Berkeley Multifamily Investment
Positioned in Berkeley s Urban Core, the asset benefits from strong renter demand in a high-cost ownership market, according to CRE market data from WDSuite. Neighborhood metrics referenced here reflect area conditions (not the property itself), pointing to durable leasing fundamentals with selective risks to underwrite.
The location sits within an Urban Core neighborhood that ranks 111 out of 469 in the Oakland Berkeley Livermore metro, with amenity density that is top tier nationally. Restaurants are in the 99th percentile and cafes in the 95th percentile nationwide, and grocery access is similarly strong (91st percentile). Average school ratings score at the top nationally (100th percentile), a differentiator for family-oriented renters.
The surrounding housing stock skews older (average vintage 1940 across the neighborhood), which positions a 1998 asset as relatively competitive versus much of the local inventory. Investors should still plan for modernization of building systems and common areas to meet current renter expectations and sustain retention.
Renter concentration in the neighborhood is high, with 65.2% of housing units renter-occupied (ranked 39 of 469), indicating a deep tenant base for multifamily. Median contract rents benchmark high (92nd percentile nationally), supporting pricing power, while a neighborhood-level rent-to-income ratio near 30% suggests some affordability pressure that may warrant attentive lease management.
Within a 3-mile radius, population and household counts have grown in recent years and are projected to continue increasing, expanding the local renter pool and supporting occupancy stability. These demographic trends, based on WDSuite s CRE market data, reinforce demand tailwinds even as lease-up and renewal strategies should remain disciplined.
Safety indicators for the immediate neighborhood trend below metro and national averages. The area ranks 438 out of 469 metro neighborhoods on overall crime, placing it well below typical metro levels and in a lower national percentile for safety. Recent movement has been mixed, with an estimated year-over-year decline in property offenses alongside an increase in estimated violent offenses. Investors should underwrite with prudent security measures and tenant-experience planning rather than assume block-level conditions.
Proximity to major Bay Area employers supports renter demand and commute convenience for professionals, with a cluster of corporate offices within roughly 5 8 miles that can help sustain leasing and renewal velocity. Employers highlighted below reflect this diversified white-collar base.
- Clorox — corporate offices (4.68 miles) — HQ
- Gap — corporate offices (8.28 miles) — HQ
- Aig — corporate offices (8.29 miles)
- Salesforce.com — corporate offices (8.31 miles) — HQ
- Charles Schwab — corporate offices (8.36 miles) — HQ
1631 University Ave offers a rare blend of Urban Core amenity access and a renter-heavy neighborhood that supports multifamily absorption. Based on commercial real estate analysis from WDSuite, the surrounding area s high ownership costs and strong school scores reinforce demand depth, while the property s 1998 construction positions it competitively versus older local stock. Within a 3-mile radius, recent and projected increases in population and households point to a larger tenant base that can support occupancy over time.
Key underwriting considerations include neighborhood-level occupancy that trails metro leaders, affordability pressure implied by high rents relative to income, and safety metrics that fall below regional benchmarks. These risks are manageable with targeted capital planning, thoughtful renovations, and disciplined leasing strategy.
- 1998 vintage competes well against older neighborhood stock, with potential value-add via selective modernization.
- High renter concentration supports a deep tenant base and leasing durability.
- Elevated home values in the area sustain reliance on rental housing, supporting pricing power.
- Risks: neighborhood occupancy below metro leaders, affordability pressure, and safety metrics below average warrant conservative underwriting.