Apartment Building with Sprinkler
For Sale
$750,000
2616 Fern Avenue, Edinburg, TX 78541
MULTI_FAMILY - Edinburg, TX
Property Size3,966 SF
Lot Size0.33 Acres
Price / SF$189.11
Days on Market201
Property Features for 2616 Fern Avenue
General Information
Property type
Residential Multi Family
Property subtype
Other
Parking
10
Parking features
Garage
Exterior features
Sprinkler System
Appliances
Electric Water Heater, Electric Cooktop, Dryer, Microwave, Refrigerator, Washer
Subdivision
Mccoll Manor
Lot features
Alley, Sidewalks, Sprinkler System
Elementary school
Zavala
Middle school
B.L. Garza
High school
Edinburg North H.S.
Elementary school district
Edinburg ISD
Middle school district
Edinburg ISD
High school district
Edinburg ISD
Directions
From MonteCristo Rd, go south on McColl Rd. As soon as you pass Rogers Rd, to the east side there is Larkspur Ave. Turn east on Larkspur Ave and when you come to the end, turn on Fern Ave. Property will be located on the east side.
Standard status
Active
APN
M256000000003700
Size
3,966 SF
Lot size
0.33 Acres
Taxes and HOA fees
Tax Year
2022
Tax Annual Amount
2175
Utilities
Heating system
Electric (Heating), Central
Cooling system
Central Air, Electric
Building Details
Year built
2023
Floors in Building
1
Number of units
8
Building materials
Stucco
Roof type
Composition
Listing Agency:
BIG Realty
(956) 465-0011
Listed By:
Victor Fuentes
(956) 432-1351
Added: Jan 30
Changed: Aug 3
Last Checked: Aug 19 at 10:06AM
MLS# 458150
Copyright © 2026 Greater McAllen Association of Realtors. 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.
Apartment building constructed in 2023 on a 0.3306-acre lot at 2616 Fern Avenue, Edinburg, TX 78541. The property totals 3,966 square feet and includes an open floor plan in every unit. Exterior features include a sprinkler system, and the building is finished with stucco and a composition roof.
Heating is provided by central electric systems, with central air electric cooling. Interior features include electric appliances and electric water heating, along with electric cooktop, microwave, refrigerator, washer, and dryer. Parking is available via garage.
The listing presents this as a new multi-family investment with an approximate 8% cap rate, with proximity described as about 5 minutes to UTRGV and easy access to major thoroughfares, with nearby retail, restaurants, and interstate access.
Heating is provided by central electric systems, with central air electric cooling. Interior features include electric appliances and electric water heating, along with electric cooktop, microwave, refrigerator, washer, and dryer. Parking is available via garage.
The listing presents this as a new multi-family investment with an approximate 8% cap rate, with proximity described as about 5 minutes to UTRGV and easy access to major thoroughfares, with nearby retail, restaurants, and interstate access.
Key Highlights
- Approx. 8% cap rate for this new multi‑family investment
- Constructed in 2023
- 0.3306‑acre lot with 3,966 SF total
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
$33,296
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
4.44%
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%
$665,920
$665.9K
Cap Rate 7%
$475,657
$475.7K
Cap Rate 9%
$369,956
$370.0K
Market Conditions
NOI Build-Up for 3,966 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
$62.3K $15.72/SF
− Vacancy
−$1.8K −$0.46/SF
EGI
$60.5K $15.26/SF
− OpEx
−$27.2K −$6.87/SF
NOI
$33.3K $8.40/SF
Area
Edinburg, TX
Vacancy
2.90%
Lease Rate
$15.72 /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%
$665,920
Cap Rate 7%
$475,657
Cap Rate 9%
$369,956
Alternative Uses
Best Use
Apartment 5plus
$475.7K
$416.2K – $554.9K
NOI $33,296 @ 7.0% cap · market cap 4.44%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.03M
$900.4K – $1.20M
NOI $72,035 @ 7.0% cap · market cap 9.60%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
61
Businesses Nearby
Explore this area
Business Placement
Demographics for 78541, TX
48,513
Population
17,669
Households
2.7
Avg Household Size
28
Median Age
25%
College-Educated
77%
High-School Grad
290.2 sq mi
ZIP Area
167
Density / Sq Mi
$50,567
Median Household Income
$30,752
Median Earnings
$945
Median Rent
$142,600
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - New 2023 apartment building offering central electric HVAC, garage parking, and an open floor plan in every unit.
Where is this apartment building located?
The property is located at 2616 Fern Avenue Edinburg, TX.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: Approx. 8% cap rate for this new multi‑family investment; Constructed in 2023; 0.3306‑acre lot with 3,966 SF total
