Boutique Apartment Community in
For Sale
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1017 E Fairmount Ave, Phoenix, AZ 85014
Meticulously maintained 8-unit apartment community with modern upgrades and lush landscaping.
Property Size6,559 SF
Price / SF$288.92
Days on Market164
Property Features for 1017 E Fairmount Ave
General Information
Standard status
Active
Size
6,559 SF
Property subtype
Multifamily
Zoning
R-3
Occupancy
100%
Net Operating Income
$126,680
Building Details
Year Built
1966
Year Renovated
2021
Buildings
3
Units
8
Listing Agency:
Matthews
Listed By:
Brad Skenderian · License #SA692958000 (AZ)
Source:
Crexi
Added: Mar 12
Changed: Aug 21
Last Checked: Aug 20 at 8:00PM
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 Matthews
Investment Insights
Based on property information with market context.
The property at 1017-1031 E Fairmount Ave is an 8-unit apartment community located in Phoenix. Constructed in 1966, the property totals approximately 6,559 square feet. The unit mix includes three 1-bedroom/1-bathroom units, three 2-bedroom/1-bathroom units, and two 2-bedroom/1.5-bathroom units. The average unit size is approximately 820 square feet. Six of the eight units have been renovated with luxury vinyl plank flooring, quartz countertops, workstation-style extra-wide sinks, mini range hoods, updated light fixtures, and refreshed bathrooms featuring new tubs, tile backsplash, and modern vanities. All units offer in-suite washer/dryer or dedicated W/D access. The property features abundant citrus trees, mature greenery, large private front and back yards, three private garages, and two covered carport spaces. The property is currently achieving average rents of $1,528.00. The property is intended for use as an apartment community.
Key Highlights
- Boutique 8‑unit apartment community in a highly desirable Phoenix location.
- Strong in‑place yield with a 6.03% cap rate and 6.28% cash‑on‑cash return.
- Six of eight units renovated with luxury vinyl plank flooring, quartz countertops, and updated bathrooms.
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
$76,501
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
4.04%
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%
$1,530,020
$1.5M
Cap Rate 7%
$1,092,871
$1.1M
Cap Rate 9%
$850,011
$850.0K
Market Conditions
NOI Build-Up for 6,559 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
$148.0K $22.56/SF
− Vacancy
−$8.9K −$1.35/SF
EGI
$139.1K $21.21/SF
− OpEx
−$62.6K −$9.54/SF
NOI
$76.5K $11.66/SF
Area
Phoenix, AZ
Vacancy
6.00%
Lease Rate
$22.56 /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%
$1,530,020
Cap Rate 7%
$1,092,871
Cap Rate 9%
$850,011
Alternative Uses
Best Use
Apartment 5plus
$1.09M
$956.3K – $1.28M
NOI $76,501 @ 7.0% cap · market cap 4.04%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.99M
$1.74M – $2.32M
NOI $139,074 @ 7.0% cap · market cap 7.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,561
Businesses Nearby
Explore this area
Business Placement
Demographics for 85014, AZ
26,381
Population
14,778
Households
1.8
Avg Household Size
37
Median Age
43%
College-Educated
90%
High-School Grad
4.0 sq mi
ZIP Area
6,595
Density / Sq Mi
$69,995
Median Household Income
$48,465
Median Earnings
$1,339
Median Rent
$447,500
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Meticulously maintained 8-unit apartment community with modern upgrades and lush landscaping.
Where is this apartment building located?
The property is located at 1017 E Fairmount Ave Phoenix, AZ.
What is the asking price?
The asking price for this property is $1,895,000.
What are key features of this property?
This property features: Boutique 8‑unit apartment community in a highly desirable Phoenix location.; Strong in‑place yield with a 6.03% cap rate and 6.28% cash‑on‑cash return.; Six of eight units **renovated with luxury vinyl plank flooring, quartz countertops, and updated bathrooms.**
