| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 53rd | Poor |
| Demographics | 44th | Good |
| Amenities | 37th | Good |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 2123 Fontana Ave, Stockton, CA, 95204, US |
| Region / Metro | Stockton |
| Year of Construction | 1972 |
| Units | 40 |
| Transaction Date | 2019-12-17 |
| Transaction Price | $3,190,000 |
| Buyer | SPSSM INVESTMENTS IV LP |
| Seller | GROUP XIII PROPERTIES LP |
2123 Fontana Ave Stockton 40-Unit Multifamily Investment
This 1972-built property offers value-add potential in an inner suburb neighborhood where median household incomes have grown 85% over five years, according to CRE market data from WDSuite.
Located in Stockton's inner suburb environment, this neighborhood ranks 109th among 179 metro neighborhoods with a C+ rating. The area maintains 90% occupancy rates despite a slight 2.9% decline over five years, while median contract rents of $1,146 have grown 44% during the same period. With 25.6% of housing units renter-occupied, the neighborhood provides a stable rental base for multifamily operators.
Built in 1972, this property aligns with the neighborhood's average construction year of 1973, indicating potential for value-add renovations and capital improvements to capture upside in a market where home values have appreciated 54% over five years. The area's median household income of $88,522 ranks above the metro median, while demographic data within a 3-mile radius shows population growth of 4.2% and household formation increasing 3.4%.
Essential amenities support tenant retention, with 2.28 grocery stores per square mile ranking in the 85th percentile nationally. However, limited recreational amenities including no parks or cafes per square mile may present tenant attraction challenges. The neighborhood's rent-to-income ratio of 0.14 suggests manageable affordability for residents, while the 78th percentile national ranking for home value-to-income ratios indicates elevated ownership costs that can sustain rental demand.
Safety metrics show mixed trends for this Stockton neighborhood. Property crime rates of 579 incidents per 100,000 residents rank 76th among 179 metro neighborhoods, placing the area below metro median performance. However, recent trends indicate improvement with property crime declining 16.7% year-over-year, ranking in the 60th percentile nationally for crime reduction.
Violent crime rates of 125 incidents per 100,000 residents rank 100th among metro neighborhoods, though the area has experienced a 25.9% decline in violent offenses over the past year. This downward trend in both property and violent crime suggests improving conditions that could support tenant retention and property values over time.
The Stockton area benefits from proximity to established corporate employers that provide workforce housing demand, including major consumer goods and retail headquarters within commuting distance.
- Clorox — consumer goods manufacturing (8.4 miles)
- Ross Stores — retail headquarters (34.9 miles) — HQ
- The Clorox Company — consumer products (36.2 miles)
- Chevron — energy headquarters (36.8 miles) — HQ
- DISH Network Distribution Center — telecommunications distribution (39.3 miles)
This 40-unit property presents a value-add opportunity in a neighborhood experiencing positive income growth trends. Built in 1972, the asset offers renovation potential to capture rent premiums in a market where household incomes have increased 85% over five years while contract rents have grown 44%. The neighborhood's 90% occupancy rate provides operational stability, though investors should monitor the recent 2.9% decline in occupancy trends.
Demographic fundamentals within a 3-mile radius support long-term rental demand with population growth of 4.2% and household formation increasing 3.4%. The area's elevated home value-to-income ratios in the 78th percentile nationally indicate ownership costs that can sustain renter reliance on multifamily housing, while improving crime trends suggest potential for neighborhood stabilization.
- Value-add potential with 1972 construction year allowing for strategic renovations
- Strong income growth of 85% over five years supporting rent escalation
- Stable 90% neighborhood occupancy rates with established rental demand
- Population and household growth trends support tenant pool expansion
- Monitor recent occupancy decline and limited recreational amenities for tenant retention