Fruitvale/Bay Area

Ricky Rosay's picture
Rank: Neanderthal | 3,416

Guys--

I'm starting to dig in pretty closely to a small multi-family deal in Fruitvale. I don't know the area very well, and am being sold on the location as a 15-minute BART ride from downtown SF and a going-in per door basis that definitely has some future growth wiggle room on a long term hold.

That thesis resonates with me, but it's tough to proxy these rents. How much sh**tier is this area vs. downtown Oakland? What do you think the nominal rent discount is there, and what other areas would you comp off of for rents? Is all the redevelopment in Alameda going to boost that area in the next couple of years, or not necessarily?

Thanks all.

Comments (7)

Aug 7, 2019

hoping someone answers your questions but doubt anyone will, seems to specific. went on loopnet and found an owner/investor selling a 21 unit building in area, maybe he will be able to answer some of your questions

Aug 7, 2019

Javier Leon San Jose Apartments 925-765-9009

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Aug 8, 2019

Have you ever driven around the neighborhoods? East Oakland is still ghetto as fuck and it's a much different vibe than West Oakland/Uptown.

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Aug 8, 2019

As long as it's right by the BART station it should be fine for a medium to long term hold. One of the original TOD projects that BART setup is there to give you an idea of newer construction rents. Good food in the area and easy access to Alameda like you said. Alameda is already desirable so redevelopment there won't impact this project either way.

You can check rents on Craigslist using map view actually depending on what you are building/buying. I would only comp rents in the immediate area though. Oakland markets change pretty quickly as you move blocks. Also, the core value proposition is easy access to BART.

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Aug 8, 2019

Extremely seedy and not comparable to DT Oakland / West Oakland / Jack London Square. Then again, West Oakland used to be straight up dog shit 4 years ago and from what I've heard has come a long way.

IMO Fruitvale is next cycle path of growth so if you're medium/long-term then you should be okay to Ben-U's point.

I know you're a pro so get this but there is not substitute to driving every Oakland neighborhood to get a feel for whats going on and the flow of gentrification/growth.

Aug 8, 2019

I don't mean this to be obnoxious... but if you don't know the area you probably shouldn't be investing there, ya know? So many fucking things can go wrong with small scale MF as it is, why take the additional macro risks that come with going into a neighborhood blind.

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Aug 11, 2019
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