5-Unit Townhome Apartment
For Sale
$950,000
10 12 14 16 20 Addi Ln, Waco, TX 76705
Occupied units with tenant-paid utilities and recently replaced roofing support straightforward operations.
Property Size6,036 SF
Price / SF$157.39
Days on Market27
Property Features for 10 12 14 16 20 Addi Ln
General Information
Standard status
Active
Size
6,036 SF
Property subtype
Commercial
Units
Unit Mix
3 x 3BR/2BA, 2 x 1BR/1BA
Multifamily Units
5
Additional Details
Highway Access
Yes
Building Details
Year Built
2007
Listing Agency:
Texas Luxury and Land
(254) 749-2175
Listed By:
Kolbey Carpenter
Source:
Northtexashomeguide
Added: Aug 4
Changed: Aug 28
Last Checked: Aug 29 at 10:33AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Texas Luxury and Land
Investment Insights
Based on property information with market context.
This multifamily offering includes five townhomes within one complex, totaling 6,036 SF. The unit mix comprises three three-bedroom, two-bath residences measuring 1,520 SF each, along with two one-bedroom, one-bath residences of 738 SF each. Every unit received a new roof in July 2025.
All five residences are occupied, with tenants responsible for utilities. Four units are subject to long-term leases, while one is leased month to month. The property is positioned near I-35, TSTC Technical College, and Downtown Waco, providing access to regional transportation, an area educational institution, and the downtown district.
All five residences are occupied, with tenants responsible for utilities. Four units are subject to long-term leases, while one is leased month to month. The property is positioned near I-35, TSTC Technical College, and Downtown Waco, providing access to regional transportation, an area educational institution, and the downtown district.
Key Highlights
- Five townhomes within the same complex
- Unit mix includes three 3 bed, 2 bath units at 1,520 SF each
- Two 1 bed, 1 bath units measure 738 SF each
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
$48,109
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
5.06%
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%
$962,180
$962.2K
Cap Rate 7%
$687,271
$687.3K
Cap Rate 9%
$534,544
$534.5K
Market Conditions
NOI Build-Up for 6,036 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
$96.3K $15.96/SF
− Vacancy
−$8.9K −$1.47/SF
EGI
$87.5K $14.49/SF
− OpEx
−$39.4K −$6.52/SF
NOI
$48.1K $7.97/SF
Area
Waco, TX
Vacancy
9.20%
Lease Rate
$15.96 /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%
$962,180
Cap Rate 7%
$687,271
Cap Rate 9%
$534,544
Alternative Uses
Best Use
Apartment 5plus
$687.3K
$601.4K – $801.8K
NOI $48,109 @ 7.0% cap · market cap 5.06%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.59M
$1.39M – $1.86M
NOI $111,473 @ 7.0% cap · market cap 11.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
133
Businesses Nearby
Explore this area
Business Placement
Demographics for 76705, TX
31,736
Population
12,107
Households
2.6
Avg Household Size
34
Median Age
17%
College-Educated
80%
High-School Grad
118.6 sq mi
ZIP Area
268
Density / Sq Mi
$54,881
Median Household Income
$33,076
Median Earnings
$941
Median Rent
$167,000
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 - Occupied units with tenant-paid utilities and recently replaced roofing support straightforward operations.
Where is this apartment building located?
The property is located at 10 12 14 16 20 Addi Ln Waco, TX.
What is the asking price?
The asking price for this property is $950,000.
What are key features of this property?
This property features: Five townhomes within the same complex; Unit mix includes three 3 bed, 2 bath units at 1,520 SF each; Two 1 bed, 1 bath units measure 738 SF each
