Approved Triplex
For Sale
$299,000
7406 Ellis ST, Fort Smith, AR 72916
Multifamily, Fixer Upper, Fort Smith, AR
Property Size2,841 SF
Lot Size0.19 Acres
Price / SF$105.24
Days on Market122
Property Features for 7406 Ellis ST
General Information
Property type
Residential Multi Family
Property subtype
Other
Subdivision
Fort Chaffee Barracks Ph I, Ii, & Iii
Lot features
Curbing, Level
Directions
From Chad Colley Blvd in Chaffee Crossing, Take Roberts Blvd across the interstate into Historic Chaffee. Ellis will be the second street on the left. The property is next to the large parking lot.
Standard status
Active
APN
1
Size
2,841 SF
Lot size
0.19 Acres
Taxes and HOA fees
Tax Description
1
Tax Annual Amount
1
Legal Description
1
Building Details
Year built
1940
Floors in Building
1
Number of units
3
Flooring type
Vinyl
Roof type
Shingle
Architectural style
Other
Listing Agency:
O'Neal Real Estate- Fort Smith
(479) 242-4609
Listed By:
Team Shoppach
(918) 774-5743
Added: May 10
Changed: Aug 19
Last Checked: Sep 8 at 5:06AM
MLS# 1088979
Copyright © 2026 Western River Valley Board 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.
This 2,841-square-foot property is a former military barracks and office building offered in its current as-is condition. Approved architectural and permitting plans convey with the sale and provide for conversion into three separate townhome-style residences. The planned layout includes open living areas, kitchens with islands, updated bathrooms, LVT flooring, individual front porches, composite decking, and dedicated parking.
Built in 1940, the property is located on Ellis Street in Fort Smith’s Chaffee Crossing district. The surrounding area includes ACHE, Heritage, Fort Smith Brewing, Conex Bar, trails, medical facilities, manufacturing, industrial uses, and new residential development. The approved plans establish a defined redevelopment path for a three-unit residential project, subject to completion by the purchaser.
Built in 1940, the property is located on Ellis Street in Fort Smith’s Chaffee Crossing district. The surrounding area includes ACHE, Heritage, Fort Smith Brewing, Conex Bar, trails, medical facilities, manufacturing, industrial uses, and new residential development. The approved plans establish a defined redevelopment path for a three-unit residential project, subject to completion by the purchaser.
Key Highlights
- 2,841‑square‑foot former military barracks and office building
- Approved plans for three separate townhome‑style residential units
- City of Fort Smith permitting and architectural plans convey with sale
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
$18,840
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
6.30%
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%
$376,800
$376.8K
Cap Rate 7%
$269,143
$269.1K
Cap Rate 9%
$209,333
$209.3K
Market Conditions
NOI Build-Up for 2,841 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
$29.0K $10.20/SF
− Vacancy
−$2.1K −$0.73/SF
EGI
$26.9K $9.47/SF
− OpEx
−$8.1K −$2.84/SF
NOI
$18.8K $6.63/SF
Area
Sebastian County, AR
Vacancy
7.12%
Lease Rate
$10.20 /SF/Yr
Expense Ratio
30.00%
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%
$376,800
Cap Rate 7%
$269,143
Cap Rate 9%
$209,333
Alternative Uses
Best Use
Multifamily LT 5
$269.1K
$235.5K – $314.0K
NOI $18,840 @ 7.0% cap · market cap 6.30%
Second Best
Apartment 5plus
$240.3K
$210.3K – $280.4K
NOI $16,824 @ 7.0% cap · market cap 5.63%
Theoretical Best
Healthcare Medical
$604.5K
$528.9K – $705.2K
NOI $42,312 @ 7.0% cap · market cap 14.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
Location Intelligence
Trade Area within ½ mile
94
Businesses Nearby
Explore this area
Business Placement
Demographics for 72916, AR
10,250
Population
4,720
Households
2.2
Avg Household Size
41
Median Age
45%
College-Educated
92%
High-School Grad
37.7 sq mi
ZIP Area
272
Density / Sq Mi
$88,125
Median Household Income
$51,444
Median Earnings
$1,212
Median Rent
$257,100
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Triplex - City-approved plans support three townhome-style residences with dedicated parking and updated interior finishes.
Where is this triplex located?
The property is located at 7406 Ellis ST Fort Smith, AR.
What is the asking price?
The asking price for this property is $299,000.
What are key features of this property?
This property features: 2,841‑square‑foot former military barracks and office building; Approved plans for three separate townhome‑style residential units; City of Fort Smith permitting and architectural plans convey with sale
