Petaluma, CA
Commercial Real Estate Market Trends & Data

Petaluma's Demographic Profile

Petaluma has 23,217 households and a median income of $111,755, providing context for rent absorption and tenant demand across retail and multifamily assets. A -1% five-year population trend is a key signal for evaluating long-term demand in this market.

Key Demographic Metric Value
Population 59,731
# Households 23,217
Median age 45
Median household income $111,755
Avg household size 3.0
Renter-occupied housing units 8,769
5-year population change -1%

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Nearby Office Markets Avg Cost/SF Typical Size Cap Max
Petaluma $297 23,473 SF 4.18%
Novato $274 10,136 SF 7.32%
Sonoma $590 2,741 SF 3.65%
Nearby Retail Markets Avg Cost/SF Typical Size
Petaluma $339 18,131 SF
Cotati $221 36,890 SF
Rohnert Park $278 29,271 SF
Sonoma $608 5,099 SF
Agua Caliente $579 5,445 SF
Nearby Multifamily Markets Avg Cost/SF Typical Size Cap Max
Petaluma $544 5,985 SF 5.37%
Cotati $297 26,528 SF 7.09%
Rohnert Park $297 26,528 SF 7.09%
Novato $425 21,424 SF 5.43%

Commercial Properties For Sale in Petaluma

The listings below reflect how current market pricing and building scale translate into active opportunities available today.
For Sale

408 Keller St

Petaluma, CA 94952

  • 5,940 SF Multifamily
  • 5.37% Cap Rate
  • $2,695,000
For Sale

409 S Petaluma Blvd

Petaluma, CA 94952

  • 18,918 SF Retail Building
  • $2,900,000
For Sale

Remodeled Vintage Cottage + Victorian 2-unit

Petaluma, CA 94952

  • 2,656 SF Multifamily
  • 4.53% Cap Rate
  • $1,599,000
For Sale

720-724 Liberty Rd, Petaluma, CA 94952-1014

Petaluma, CA 94952

  • 3.31 AC Lot
  • 1 Residential Income Lot
  • $2,750,000
For Sale

159-163 Kentucky St

Petaluma, CA 94952

  • 9,756 SF Retail Building
  • 6.02% Cap Rate
  • $2,100,000
For Sale

1000 Lakeville St

Petaluma, CA 94952

  • 24,100 SF Retail Building
  • $4,300,000

Average Price For Sale

↻ Updated Monthly

Average Price For Lease

↻ Updated Monthly

Number of Listings

↻ Updated Monthly

Cap Rate

↻ Updated Monthly

Nearby Commercial Markets

Comparing nearby markets helps investors see whether Petaluma pricing and building scale sit above, below, or in line with surrounding areas.

Commercial Markets Avg Cost/SF Average Size
Petaluma $311 38,595 SF
Cotati $290 23,019 SF
Penngrove $306 13,698 SF
Rohnert Park $284 20,348 SF
Novato $311 15,123 SF

Regional Demographic Comparison

This comparison places Petaluma alongside nearby cities to show how population size, household counts, and income levels differ across the region. Viewing these markets side by side helps investors understand whether local demand and income characteristics are concentrated in Petaluma or distributed across surrounding areas.

City Population # Households Age Median Household Income Avg Household Size Renter Occupied Housing Units Five Yr Pop Growth %
Petaluma 59,731 23,217 45 $111,755 3 8,769 -1%
Cotati 7,643 3,075 42 $92,148 3 1,345 -1%
Penngrove 1,785 747 51 $96,874 2 258 -10%
Novato 52,346 20,222 48 $107,218 3 6,901 -2%

Disclaimer: The figures on this page reflect LoopNet's active commercial listings in Petaluma, CA and update as inventory changes. Averages can shift between periods or vary across property types depending on the mix of listings available at a given time, so individual metrics may not reflect broader market trends. These figures are best used as directional benchmarks for early market evaluation. For comprehensive commercial real estate data and analytics, subscribe to CoStar.

FAQs About Commercial Investing in Petaluma

View All Commercial Real Estate For Sale in Petaluma
Is Petaluma a good market for a first-time commercial real estate investor?

Petaluma offers commercial properties across a wide range of sizes and price points. By reviewing the market data and benchmarks on this page, first-time investors can better understand what a typical commercial property looks like before committing capital and narrowing in on specific listings.

How can this market data help me decide whether to buy commercial property for my business in Petaluma?

The pricing and size metrics on this page help business owners compare the cost of ownership against leasing in Petaluma. Typical building sizes and asking prices provide a starting point for evaluating space needs, budget fit, and long term occupancy costs before engaging lenders or brokers.

What should conservative investors focus on when evaluating commercial properties in Petaluma?

Conservative investors often prioritize manageable deal sizes, stable pricing ranges, and cap rate benchmarks shown for Petaluma. These metrics help assess whether current market conditions support steady income potential without relying on aggressive assumptions.

How does Petaluma compare to nearby commercial real estate markets?

Nearby market comparisons highlight differences in pricing, building scale, and cap rate ranges relative to Petaluma. Reviewing these side by side helps experienced investors identify relative value, pricing premiums, or alternative markets that may better align with return targets.

How can this page support early-stage deal screening for Petaluma acquisitions?

This page provides high-level benchmarks for pricing, deal size, and observed cap rates in Petaluma, which are useful for initial market filtering. Institutional and data-driven investors often use these signals to prioritize listings that meet size, pricing, and return thresholds before deeper underwriting.