MikeBolen.com

So far in 2008 Napa County has only seen two apartment buildings over 4 units sell, those include:

1333 Jefferson Street- $131,666 per unit

733 Trancas Street- $147,285 per unit

This leaves an average selling price of $139,475 per unit with further declines almost assured as 1711 Lincoln in Napa just went into contract. This property has 10 units and was listed for $1,099,000 even at full asking price which is unlikely the per unit price of $109,900 will put further downward pressure on apartment pricing.

In 2005 and 2006 comp sales approached the $200,000 per unit mark since September 2006 multifamily prices in Napa County have continued to erode. The only bright spot could be downtown Napa where prices have held up but sellers are well advised to sell now into the hype of the new hotel, retail and office development then after the hype. The concept of selling into the trend rather than after the trend is a hallmark of the Warren Buffett style of investment. Otherwise a long term holding horizon of 5 years or better is advised.

Napa duplex, triplex and fourplex sales in 2008 have shaped up like this:

January 2008 average unit sale price- $200,000

1616 Muller - $242,500 per unit

480 Toyon - $157,500 per unit

February 2008 avaerage unit sale price- $247,500

1155 Sylvia - $247,500 per unit

March 2008 average unit sale price- $220,750

1164 Republic - $220,750 per unit

April 2008 average unit sale price- $208,142

1574 Silverado Trail - $188,070 per unit

702 Lawrence - $235,000 per unit

225 Valley Oak - $194,500 per unit

1638 H Street - $215,000 per unit

The small multifamily market qualifies for conforming loans and often small buildings like these appeal to residents not just investors thus keeping prices higher than 5 unit plus buildings which almost always fetch lower per unit prices. We currently have small multifamily offerings in Napa as low as $133,000 per unit.

Here at the RE/MAX Napa Valley office RE/MAX Cornerstone my team and I specialize in off market pocket listings. Over 65% of our sold deals are never advertised. Most are offered to sale only to buyers represented by our team. To gain access to the off market inventory or to learn how we work with buyers contact Mike Bolen at Mike@MikeBolen.com or 707-254-9999. We also work with over 20 investment buyers in an exclusive buyer agency agreement if you are looking to sell no one has more buyers than my team.