4585 Felton St, San Diego, CA 92116
7 Units – Five 2 bedroom/2 Bath | Two 1 bedroom/1 Bath
Main
THE OFFERING – 4585 Felton St San Diego 92116
7 Units – Five 2 bedroom/2 Bath | Two 1 bedroom/1 Bath
Palm Villas II is located in Normal Heights, one of San Diego’s highest demand and most resilient submarkets, prized for its walkable access to the shops, restaurants, and nightlife along Adams Avenue, the cultural energy of North Park, and the charm and architectural character associated with neighboring Kensington. This central location consistently attracts long-term tenants who value lifestyle, convenience, and neighborhood identity, supporting strong rent durability and low vacancy. The property has been thoughtfully remodeled, allowing it to compete at the upper end of the rental market without relying on speculative upgrades. Current in-place rents align closely with nearby comparable properties, offering buyers immediate confidence in the income stream, with future upside driven by organic market growth and allowable annual rent increases rather than aggressive repositioning.
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HIGHLIGHTS
Investment Highlights
Key Investment Strengths
This 7-unit multifamily property in 92116 is performing based on in-place income, not speculative future assumptions. Current rents support an in-place cap rate of approximately 5.27%, with a clear path to a 5.81% market cap through modest rent normalization to market levels. This allows the asset to be evaluated on price per unit, cap rate, and GRM, rather than relying on renovation or ADU-driven projections that are common in this market.
Desirable Unit Mix & Parking Ratio
The unit mix of five 2BR units and two 1BR units aligns well with tenant demand in the area. The 6,652 SF lot and 8 parking spaces for a total of 1.14 per unit provide a practical layout with limited operational complexit
92116 Location Fundamentals
The property benefits from sustained rental demand driven by proximity to employment centers, transit corridors, and neighborhood retail. While pricing has normalized from peak levels, 92116 remains one of San Diego’s more defensive rental submarkets due to limited true infill supply.
Final Thoughts
This property 4585 Felton St San Diego 92116 is positioned and valued based on what the income supports today, not what a future buyer might achieve through renovations or regulatory changes. With stable in-place performance, modest rent upside, and balanced financial metrics, the asset aligns well with how capital is currently trading in the San Diego multifamily market.
As the market continues to reset toward historical norms, properties that rely on real income and realistic execution are best positioned to protect value and transact
efficiently.
Let’s Sell Your Property the Right Way.
With ACI Apartments, you don’t just get a listing — you get a full marketing machine across digital + traditional channels, with real data and proven results.
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