| Summary | National Percentile | Rank vs Metro |
|---|---|---|
| Housing | 70th | Poor |
| Demographics | 52nd | Poor |
| Amenities | 45th | Fair |
Multifamily Valuation
| Property Details | |
|---|---|
| Address | 651 W 6th St, Gilroy, CA, 95020, US |
| Region / Metro | Gilroy |
| Year of Construction | 1993 |
| Units | 110 |
| Transaction Date | 2017-11-02 |
| Transaction Price | $19,608,181 |
| Buyer | REDWOODS WHEELER LP |
| Seller | WHEELER MANOR LLC |
651 W 6th St, Gilroy CA Multifamily Investment
Neighborhood occupancy trends and a high-cost ownership market point to durable renter demand for this 110-unit asset in Gilroy, according to WDSuite’s CRE market data.
Situated in Gilroy within the San Jose–Sunnyvale–Santa Clara metro, the neighborhood posts an estimated 93.5% occupancy (neighborhood metric), placing it above the national midpoint for stability. Renter-occupied housing represents a meaningful share of local units (neighborhood measure), supporting a deeper tenant base for multifamily operators. Built in 1993, the property is newer than much of the area’s housing stock (average neighborhood vintage is 1950), which can translate into a relative competitive edge while still leaving room for targeted modernization.
Amenity access skews toward essentials: grocery stores and pharmacies are abundant by national comparison (top quartile nationally), and parks are a standout strength (very high nationally). Dining and cafe density within the immediate neighborhood is limited, so resident lifestyle appeal leans more on everyday convenience and open space than on walkable restaurant clusters. Average school ratings are around the metro middle, which may be adequate for broad workforce appeal.
Within a 3-mile radius, population and households have expanded over the past five years, with further growth projected, indicating a larger tenant base over time. Household incomes are high and rising in the 3-mile area, while current rent levels remain manageable relative to incomes locally, which can support retention and reduce turnover risk for well-managed assets.
Home values in the neighborhood rank high nationally, reflecting a high-cost ownership market that tends to sustain multifamily demand as renters weigh more accessible options. Compared with metro peers (344 neighborhoods total), overall neighborhood positioning is below the metro median, but core fundamentals like occupancy, income depth, and daily-needs access remain supportive for multifamily operations.
Safety indicators for the neighborhood are mixed. Relative to neighborhoods nationwide, the area sits below the national midpoint for safety; within the San Jose–Sunnyvale–Santa Clara metro (344 neighborhoods), it performs below the metro average. However, both violent and property offense rates have improved year over year, pointing to a modest positive trend rather than deterioration.
Investors should underwrite with standard risk controls—lighting, access management, and resident screening—and monitor local trends over time. The directional improvement is constructive, but the comparative standing suggests ongoing attention to operating practices and policy engagement.
Proximity to major Silicon Valley employers supports commuter appeal and leasing durability, with a concentration in software, e‑commerce, and payments represented by IBM, Netflix, eBay, Adobe, and PayPal.
- IBM Silicon Valley Lab — software R&D (16.2 miles)
- Netflix — streaming media (27.6 miles) — HQ
- eBay — e‑commerce (27.8 miles) — HQ
- Adobe Systems — software (28.5 miles)
- PayPal Holdings — digital payments (31.9 miles) — HQ
The investment case centers on durable renter demand supported by a high-cost ownership market, above‑midpoint neighborhood occupancy, and an expanding 3‑mile renter pool with rising incomes. Built in 1993, the property is newer than much of the area’s mid‑century housing stock, suggesting relative competitive positioning with clear opportunities for strategic value‑add (interiors, amenities, energy systems) to drive rent and retention without overextending capital plans.
According to CRE market data from WDSuite, neighborhood occupancy trends compare favorably against national norms, while nearby daily‑needs amenities and access to large regional employers underpin leasing consistency. Forward 3‑mile projections indicate continued population and household growth, which can support occupancy stability and measured pricing power for well‑managed multifamily assets.
- High-cost ownership market reinforces rental demand and lease retention
- Neighborhood occupancy above national midpoint supports stability
- 1993 vintage offers value‑add and modernization upside versus older stock
- Regional employers within commuting range bolster tenant base depth
- Risks: safety metrics below metro average and limited dining density require operating focus