Building Details

Year built 2018

Floors in Building 1

Building materials Brick

Roof type Shingle

Listing Agency: Keller Williams Realty RGV j***@gmail.com Show Phone

Listed By: Juan Guerra Show Phone

Added: Mar 15 Changed: Aug 4 Last Checked: Sep 3 at 6:06PM

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MLS# 449641

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.

This multifamily property in La Villa, Texas, presents an opportunity for investors seeking income-producing assets. The property features two fully leased fourplexes, totaling 8 units. Additionally, there is another fourplex that is 70% completed, offering the potential for increased rental income upon completion. The listing also includes land with the potential to build another fourplex, providing further expansion possibilities. The property is zoned RM. The property size is 5,824 square feet and the lot size is approximately 0.4991 acres.

Key Highlights

• Fully leased 8‑unit apartment complex providing immediate income.
• Additional fourplex 70% completed, offering near‑term expansion potential.
• Land included with potential to build another fourplex, allowing for future growth.

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

$46,892

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

7.27%

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%

$937,840 $937.8K

Cap Rate 7%

$669,886 $669.9K

Cap Rate 9%

$521,022 $521.0K

Market Conditions

NOI Build-Up for 5,824 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

$96.4K $16.56/SF

− Vacancy

−$11.2K −$1.92/SF

EGI

$85.3K $14.64/SF

− OpEx

−$38.4K −$6.59/SF

NOI

$46.9K $8.05/SF

Area

Hidalgo County, TX

Vacancy

11.60%

Lease Rate

$16.56 /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%

$937,840

Cap Rate 7%

$669,886

Cap Rate 9%

$521,022

Alternative Uses

Best Use

Apartment 5plus

$669.9K

$586.2K – $781.5K (±1% cap)

NOI $46,892 @ 7.0% cap · market cap 7.27%

Second Best

—

—

no second resolved use

Theoretical Best

Hotel Hospitality

$4.39M

$3.84M – $5.12M (±1% cap)

NOI $307,070 @ 7.0% cap · market cap 47.61%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Apartment buildings

Lease Details

8

Residential units

Location Intelligence

Trade Area within ½ mile

62

Businesses Nearby

Explore this area Business Placement

Demographics for 78562, TX

3,081

Population

631

Households

4.9

Avg Household Size

34

Median Age

6%

College-Educated

53%

High-School Grad

21.5 sq mi

ZIP Area

143

Density / Sq Mi

$51,583

Median Household Income

$25,000

Median Earnings

$117,800

Median Home Value

Market

Vacancy Rate% for Multifamily in South region

8.5% 2022

10.2% 2023

11.4% 2024

11.3% 2025

Questions? Ask Rey

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What type of property is this? Where is this apartment buildings located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Apartment building - Fully leased 8-unit apartments with expansion potential in La Villa.

Where is this apartment building located?

The property is located at Mike Chapa Avenue La Villa, TX.

What is the asking price?

The asking price for this property is $645,000.

What are key features of this property?

This property features: Fully leased 8‑unit apartment complex providing immediate income.; Additional fourplex 70% completed, offering near‑term expansion potential.; Land included with potential to build another fourplex, allowing for future growth.