Historic Loft Income
For Sale
$125,000
423 E 3Rd St #221, Little Rock, AR 72201
Residential, Contemporary, Little Rock, AR
Property Size500 SF
Price / SF$250
Days on Market11
Property Features for 423 E 3Rd St #221
General Information
Property type
Residential
Property subtype
Duplex
Bedrooms
1
Bathrooms
1
Full bathrooms
1
Rooms
Bathroom 1, Bedroom 1
Appliances
Free-Standing Stove, Dishwasher
Subdivision
TUF NUT BLDG HPR
Lot features
Zero Lot Line
Directions
Tuf Nut Building, 423 E Third St, Little Rock. Paid parking available on street and across in parking garage.
Standard status
Active
Size
500 SF
Taxes and HOA fees
Tax Year
2024
Tax Description
UNIT 216
Tax Annual Amount
643
HOA Fee
$100 Monthly
Legal Description
UNIT 216
Amenities
secure controlled access
pet-friendly
shared laundry
Building Details
Year built
1930
Flooring type
Concrete, Wood
Roof type
Flat
Architectural style
Contemporary
Listing Agency:
Berkshire Hathaway HomeServices Arkansas Realty
(501) 255-2000
Listed By:
Scott Sandlin
(501) 529-2084
Added: Aug 16
Changed: Aug 24
Last Checked: Aug 26 at 12:06AM
MLS# 26033487
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.
This 500-square-foot contemporary loft residence is within a 1930 building listed on the National Historic Register. Post-and-beam construction, 15-foot ceilings, exposed brick, and a combination of concrete and Birdseye maple flooring create a distinctive interior. The efficient kitchen includes a free-standing stove and dishwasher, while shared washers and dryers serve the second-floor condos. Controlled access and pet-friendly policies are additional building features.
The property is located at 423 E 3rd St in Little Rock’s 72201 postal area. Nearby amenities named in the property information include a grocery store, gourmet liquor store, River Market, River Trail, gyms, parks, and restaurants. The building’s former use as a blue jean factory adds documented industrial history to the residential setting.
The property is located at 423 E 3rd St in Little Rock’s 72201 postal area. Nearby amenities named in the property information include a grocery store, gourmet liquor store, River Market, River Trail, gyms, parks, and restaurants. The building’s former use as a blue jean factory adds documented industrial history to the residential setting.
Key Highlights
- 500‑square‑foot loft residence in a 1930 building
- Listed on the National Historic Register
- 15‑foot ceilings with post‑and‑beam construction and exposed brick
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
$4,041
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
3.23%
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%
$80,820
$80.8K
Cap Rate 7%
$57,729
$57.7K
Cap Rate 9%
$44,900
$44.9K
Market Conditions
NOI Build-Up for 500 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
$7.8K $15.60/SF
− Vacancy
−$452 −$0.90/SF
EGI
$7.3K $14.70/SF
− OpEx
−$3.3K −$6.61/SF
NOI
$4.0K $8.08/SF
Area
Little Rock, AR
Vacancy
5.80%
Lease Rate
$15.60 /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%
$80,820
Cap Rate 7%
$57,729
Cap Rate 9%
$44,900
Alternative Uses
Best Use
Apartment 5plus
$57.7K
$50.5K – $67.4K
NOI $4,041 @ 7.0% cap · market cap 3.23%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$90.8K
$79.5K – $106.0K
NOI $6,358 @ 7.0% cap · market cap 5.09%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
3,079
Businesses Nearby
Explore this area
Business Placement
Demographics for 72201, AR
961
Population
628
Households
1.5
Avg Household Size
44
Median Age
78%
College-Educated
100%
High-School Grad
1.2 sq mi
ZIP Area
801
Density / Sq Mi
$112,045
Median Household Income
$71,188
Median Earnings
$1,344
Median Rent
$262,300
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income property - Contemporary loft residence with exposed brick, high ceilings, wood flooring, and controlled building access.
Where is this residential income property located?
The property is located at 423 E 3Rd St #221 Little Rock, AR.
What is the asking price?
The asking price for this property is $125,000.
What are key features of this property?
This property features: 500‑square‑foot loft residence in a 1930 building; Listed on the National Historic Register; 15‑foot ceilings with post‑and‑beam construction and exposed brick
