2423 L St 8 Unit Apartment Building $2,773,407 CAD ($346,676 CAD/Unit) 5.25% Cap Rate Sacramento, CA 95816

2423 L Street presents a rare opportunity to acquire a boutique multifamily asset in the heart of Midtown Sacramento, one of the regions most desirable and vibrant urban neighborhoods. The property consists of Six large Studio Apartments that have been tastefully remodeled and complemented by two newly constructed detached ADU units, each offering approximately 600 square feet with 2bedroom/1bathroom floor plans. The combination of existing rental income and brand-new construction creates an attractive investment opportunity with a diverse unit mix and a strong long-term rental demand.
Positioned on a tree-lined street in Midtown, the property offers residents an unparalleled live-work-play lifestyle within walking distance of Sacramento’s premier dining, entertainment, shopping, and employment centers. Residents enjoy easy access to popular destinations including Sutter’s Fort, McKinley Park, the Midtown Farmers Market, East Sacramento, Downtown Sacramento, and the State Capitol.
The location is also surrounded by some of the city’s most acclaimed restaurants, coffeeshops, breweries, fitness studios, and boutique retailers.
The property benefits from Midtown Sacramento’s exceptionally strong rental fundamentals, driven by a growing population of young professionals, healthcare workers, government employees, and students seeking walkable housing options close to major employment centers. Nearby employers include the State of California, Sutter Health, UC Davis Health, Dignity Health, and numerous private-sector employers throughout Downtown and Midtown.
The front building consists of six studio apartments that provide efficient and affordable housing in a highly sought-after rental market. Behind the main structure are two newly completed detached ADUs, each featuring modern 2-bedroom/1-bathroom floor plans, contemporary finishes, open-concept living spaces, and approximately 600 square feet of living area. These newly built units offer investors minimal deferred maintenance and command premium rental rates relative to traditional apartment inventory.
Recent capital improvements to the property include a new roof on the front building (2024), replacement and upsizing of the sewer lateral with new 4-inch ABS piping (2026), a main building electrical upgrade with Square D panels (2019), extensive dry rot remediation, and a complete exterior repaint (2026). The property also received significant landscaping enhancements featuring lush new plantings, along with all-new perimeter fencing completed in 2026. Additionally, four of the six studio units have been renovated, providing investors with a blend of stabilized income and continued value-add potential.
Residents benefit from immediate access to Midtown’s highly walkable urban environment. Popular nearby destinations include Temple Coffee Roasters, Beast +Bounty, LowBrau, Paragary’s, Mulvaney’s B&L, The Rind, and countless other dining and entertainment options. Recreational amenities such as McKinley Park, the American River Parkway trail system, neighborhood dog parks, and community gathering spaces further enhance the property’s appeal.
As new multifamily development becomes increasingly difficult and expensive within Sacramento’s urban core, properties such as 2423 L Street continue to benefit from limited housing supply, strong renter demand, and consistent rent growth. The property’s blend of existing apartments and newly constructed ADUs provides investors with a unique opportunity to acquire a well-located asset with attractive cash flow characteristics and long-term appreciation potential.
Whether you are seeking a stable income-producing asset, a value-add investment in Midtown Sacramento, or a property positioned to benefit from the continued growth of Sacramento’s urban core, 2423 L Street represents a compelling investment opportunity in one of Northern California’s most dynamic rental markets.