Furnished Downtown Residential Income
For Sale
$250,000
111 Prospect Avenue, Hot Springs, AR 71901
Residential, Traditional, Hot Springs, AR
Property Size1,320 SF
Price / SF$189.39
Days on Market63
Property Features for 111 Prospect Avenue
General Information
Property type
Residential
Property subtype
Duplex
Bedrooms
3
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 1, Bedroom 2, Bedroom 1, Bedroom 3, Bathroom 2
Parking features
Assigned
Patio and Porch features
Patio
Interior features
Washer Connection, Washer-Stays, Dryer Connection-Electric, Dryer-Stays, Water Heater-Electric, Smoke Detector(s), Window Treatments, Balcony/Loft, Ceiling Fan(s), Walk-in Shower
Exterior features
Patio, Inground Pool, Enclosed Pool
Appliances
Free-Standing Stove, Microwave, Electric Range, Dishwasher
Subdivision
COURTYARD HPR
Directions
From Central Ave: Head N towards Downtown Hot Springs. L on Prospect Ave. Condo Complex on L. Unit 52.
Standard status
Active
Size
1,320 SF
Taxes and HOA fees
Tax Description
Courtyard HPR Unit 52
Tax Annual Amount
1135
HOA Fee
$247 Monthly
Legal Description
Courtyard HPR Unit 52
Amenities
gated community
in-unit washer/dryer
assigned parking
Building Details
Year built
1947
Floors in Building
2
Flooring type
Vinyl, Tile - Stone, Wood
Architectural style
Other
Listing Agency:
McGraw Realtors - HS
(501) 881-3331
Listed By:
Michael Morgridge
(575) 770-0487
Added: Jul 22
Changed: Sep 15
Last Checked: Sep 22 at 3:06PM
MLS# 26029812
Copyright © 2026 Cooperative Arkansas Realtors Multiple Listing Service. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Located at 111 Prospect Avenue in Hot Springs, this 1,320-square-foot residential income property occupies the penthouse level of a gated community built in 1947. The layout includes 3 bedrooms and 2 bathrooms, with a loft offering its own closet and private bath. Tall ceilings define the living and dining areas, while hardwood floors, vinyl flooring, tile finishes, and stained-glass details add character. The residence is furnished, excluding select personal items, and includes an in-unit washer and dryer, kitchen appliances, balcony/loft space, and assigned parking.
The property is positioned in downtown Hot Springs near thermal spas, restaurants, antique shops, art galleries, and retail. Oaklawn Racing Casino Resort is 2 mi away, Northwoods Mountain Bike Trail is 2.5 mi away, Garvan Woodland Gardens is 8 mi away, and Lake Hamilton is a short drive. Community features include a gated entrance, common-area maintenance, an inground enclosed pool, and patio space.
The property is positioned in downtown Hot Springs near thermal spas, restaurants, antique shops, art galleries, and retail. Oaklawn Racing Casino Resort is 2 mi away, Northwoods Mountain Bike Trail is 2.5 mi away, Garvan Woodland Gardens is 8 mi away, and Lake Hamilton is a short drive. Community features include a gated entrance, common-area maintenance, an inground enclosed pool, and patio space.
Key Highlights
- 1,320 square feet with 3 bedrooms and 2 bathrooms
- Loft includes a closet and private bath
- Furnished residence with select personal items excluded
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$8,146
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.26%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$162,920
$162.9K
Cap Rate 7%
$116,371
$116.4K
Cap Rate 9%
$90,511
$90.5K
Market Conditions
NOI Build-Up for 1,320 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$15.8K $12.00/SF
− Vacancy
−$1.0K −$0.78/SF
EGI
$14.8K $11.22/SF
− OpEx
−$6.7K −$5.05/SF
NOI
$8.1K $6.17/SF
Area
Garland County, AR
Vacancy
6.50%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
45.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$162,920
Cap Rate 7%
$116,371
Cap Rate 9%
$90,511
Alternative Uses
Best Use
Apartment 5plus
$116.4K
$101.8K – $135.8K
NOI $8,146 @ 7.0% cap · market cap 3.26%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$241.4K
$211.2K – $281.6K
NOI $16,898 @ 7.0% cap · market cap 6.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
1,639
Businesses Nearby
Explore this area
Business Placement
Demographics for 71901, AR
29,363
Population
14,952
Households
2
Avg Household Size
43
Median Age
26%
College-Educated
88%
High-School Grad
101.9 sq mi
ZIP Area
288
Density / Sq Mi
$52,410
Median Household Income
$35,604
Median Earnings
$797
Median Rent
$173,400
Median Home Value
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Frequently Asked Questions
What type of property is this?
Residential income property - Furnished penthouse-style residence with loft, assigned parking, and access to a gated community near downtown amenities.
Where is this residential income property located?
The property is located at 111 Prospect Avenue Hot Springs, AR.
What is the asking price?
The asking price for this property is $250,000.
What are key features of this property?
This property features: 1,320 square feet with 3 bedrooms and 2 bathrooms; Loft includes a closet and private bath; Furnished residence with select personal items excluded
