| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 75th | Fair |
| Demographics | 78th | Best |
| Amenities | 97th | Best |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 2004 University Ave, Berkeley, CA, 94704, US |
| Region / Metro | Berkeley |
| Year of Construction | 2004 |
| Units | 35 |
| Transaction Date | 2019-09-16 |
| Transaction Price | $17,923,500 |
| Buyer | STERLING BERKELEY UNIVERSITY AVENUE LP |
| Seller | EQR TOURIEL BERKELEY LIMITED PARTNERSHIP |
2004 University Ave, Berkeley Multifamily Investment
Amenity-rich Urban Core location with a high renter concentration and elevated home values supports durable renter demand, according to WDSuite s CRE market data. Investors should weigh strong neighborhood fundamentals against softer local occupancy trends.
Located in Berkeley s Urban Core, the property sits in a neighborhood rated A and ranked 20 out of 469 metro neighborhoods placing it firmly in the top quartile among Oakland-Berkeley-Livermore submarkets by overall score. Amenity access is a standout advantage: restaurants and childcare density rank near the top of the metro with national percentiles around the high-90s, and parks, groceries, and pharmacies are likewise strong. These fundamentals typically support leasing appeal and day-to-day convenience for residents.
The asset s 2004 construction is materially newer than the neighborhood s older housing stock (average vintage 1940). For investors, this generally points to a more competitive position versus prewar buildings and potentially lower near-term capital needs, while still planning for mid-life systems updates or modernization to meet today s renter expectations.
Multifamily demand depth is reinforced by a high share of renter-occupied housing units in the neighborhood, indicating a sizable tenant base. However, the neighborhood s occupancy rate trends below metro norms (ranked 450 of 469), so underwriting should account for leasing velocity, pricing discipline, and potential concessions in certain seasons.
Within a 3-mile radius, WDSuite data shows recent population growth with additional growth projected, alongside a meaningful increase in households and a trend toward smaller average household sizes by 2028. Together, these dynamics point to a larger renter pool over time and support for occupancy stability. Elevated home values relative to incomes in the neighborhood (top national percentiles) suggest a high-cost ownership market, which typically sustains reliance on multifamily rentals and can aid lease retention and pricing power when managed carefully. School quality also compares well (above the 90th percentile nationally), adding to livability for family renters.
Safety metrics for the neighborhood are weaker relative to both metro and national comparisons. The area ranks 451 out of 469 metro neighborhoods for overall crime, placing it among the less safe parts of the Oakland-Berkeley-Livermore region. Nationally, the neighborhood sits in low safety percentiles, indicating higher reported crime than many neighborhoods across the country.
Recent one-year trends indicate increases in both violent and property offense rates. Investors typically account for this with practical measures such as controlled access, lighting, and active property management, and by calibrating underwriting assumptions for insurance, operating expenses, and renewal strategies. Conditions can vary block to block, so property-level measures and tenant mix remain important considerations.
Proximity to major Bay Area employers supports renter demand and commute convenience for a diverse workforce. The employers below represent nearby headquarters and large corporate offices that can underpin leasing stability.
- Clorox consumer products HQ (4.7 miles) HQ
- Gap retail apparel HQ (8.6 miles) HQ
- Aig insurance offices (8.7 miles)
- Salesforce.com enterprise software HQ (8.7 miles) HQ
- Charles Schwab financial services offices (8.7 miles)
2004 University Ave offers newer-vintage construction (2004) in a top-quartile Urban Core neighborhood where amenity density, school quality, and a high-cost ownership market support sustained renter reliance on multifamily housing. Within a 3-mile radius, population growth and a projected increase in households point to a larger tenant base over time, aiding occupancy stability. At the same time, neighborhood occupancy ranks below metro norms, warranting disciplined leasing and active management.
Based on CRE market data from WDSuite, the neighborhood shows strong national percentiles for amenities and home values, with renter-occupied housing concentration indicating depth of demand. Investors should balance these strengths against affordability pressure (relative rent levels to income) and safety metrics that lag both metro and national benchmarks, aligning capital plans and operations accordingly.
- Newer 2004 vintage versus older local stock competitive positioning with manageable mid-life capex planning
- Amenity-rich Urban Core and strong schools supports leasing appeal and retention
- High-cost ownership market reinforces renter reliance and potential pricing power
- Growing 3-mile household base larger tenant pool and support for occupancy over time
- Risks: below-metro occupancy and weaker safety metrics underwrite leasing velocity, operating expenses, and security measures