6315 Telegraph Ave, Oakland, CA 94609

Mixed-Use in Oakland with 13 Apartments & 2 Ground-Floor Retail

Sold: $2,600,000

Property Highlights

15 unit mixed use property built in 1964
10,422 SF property on a .16 acre lot
Mix of (8) 1+1 , (4) 2+1 , (1) 4 +2, and (2) retail units
Two storage rooms available to rent
Many recent plumbing upgrades, fresh paint, new roof & engineering plans for future repair work
Solid Berkeley adjacent North Oakland location along Telegraph Avenue
Strong current tenants, two vacant units, lucrative retail spaces with reputable tenants
Near UC Berkeley Campus, primary and secondary education, hot restaurants, and thriving retail
11 gated secured parking

The Deal Story

The Glaser Group is pleased to announce the successful closing of 6315 Telegraph Ave, a fantastic 15-unit mixed-use investment property located in North Oakland, CA. This is the first time this beautifully maintained, Berkeley adjacent, income property was introduced to the market after many decades under the same ownership. Primed for an investor to capitalize on this well located mixed-use property, it features a fantastic mix of (8) 1-bed 1-bath units, (4) 2-bed 1-bath units, (1) 4-bed 2-bath master unit, and (2) ground-floor retail spaces currently occupied by a reputable acupuncturist and a popular hair braiding salon. Spanning a generous 10,422 square feet of living space on a 7,013 square foot lot, this investment was ideal for an investor looking to capitalize on a well-positioned mixed-use building.

Although our team is not local to the Oakland area, our client was looking for an experienced team with a niche expertise in complicated multifamily transactions. The property came with major dry-rot issues on the cantilevered sections of the 2nd and 3rd floor rear balconies, deeming the building essentially uninsurable and un-lendable to most providers out in the market place. Additionally, the building had old Zinsco electrical panels & circuit breakers from the 70s, which have since been recalled in mass, leading to further insurability hurdles.

Given the issues at hand with the property, our team knew a creative solution would be necessary to make the deal happen. By structuring attractive seller financing at 8% interest-only for a 12-month period, we were able to earn our clients an additional ~$150,000 in interest income while providing the buyer the time he needed to complete the necessary repair work post-closing. The buyer plans to utilize the year of seller financing as private bridge debt so that he can stabilize & repair the asset, and then re-insure and refinance it once the work is completed.

Our clients received a stepped-up basis upon inheriting the building from their parents, so they plan to just cash-out and enjoy the fruits of their family's labor! If you're interested in exploring a similar sale, please shoot us an email or call us at 310-230-5157.