Two-Residence Multifamily
For Sale
$400,000
1111 Midland Terrace, Durham, NC 27704
Two residences include updated major systems, refreshed kitchens and bathrooms, and a detached garage on a shared lot.
Property Size1,802 SF
Lot Size0.31 Acres
Price / SF$221.98
Days on Market22
Property Features for 1111 Midland Terrace
General Information
Standard status
Active
Size
1,802 SF
Lot size
0.31 Acres
Property subtype
Multi-Family
Units
Unit Mix
1 x 2BR/1BA (1226 SF), 1 x 1BR/1BA (576 SF)
Multifamily Units
2
Building Details
Year Built
1946
Buildings
2
Listing Agency:
Keller Williams Elite Realty
(919) 699-3210
Listed By:
Robert Hunt · License #278551
Source:
Bonniestrowd
Added: Aug 10
Changed: Aug 28
Last Checked: Aug 30 at 8:19PM
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 Keller Williams Elite Realty
Investment Insights
Based on property information with market context.
This multifamily property comprises two separate residences totaling 1,802 square feet on a 0.31-acre lot. The primary dwelling is a 1,226-square-foot ranch home with two bedrooms and one bathroom, while the second is a 576-square-foot cottage with one bedroom and one bathroom. Both residences date to the 1946 construction year and include updated major systems along with cosmetic improvements in the kitchens and bathrooms. A detached garage provides additional on-site utility.
The property is located at 1111 Midland Terrace in Durham, North Carolina, near Downtown Durham. The separate-home configuration offers distinct living spaces within one parcel, supported by functional floor plans and the existing garage improvement.
The property is located at 1111 Midland Terrace in Durham, North Carolina, near Downtown Durham. The separate-home configuration offers distinct living spaces within one parcel, supported by functional floor plans and the existing garage improvement.
Key Highlights
- Two residences totaling 1,802 SF on a 0.31‑acre lot
- 1,226 SF ranch home with 2 bedrooms and 1 bathroom
- 576 SF cottage with 1 bedroom and 1 bathroom
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
$13,547
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
3.39%
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%
$270,940
$270.9K
Cap Rate 7%
$193,529
$193.5K
Cap Rate 9%
$150,522
$150.5K
Market Conditions
NOI Build-Up for 1,802 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
$27.9K $15.48/SF
− Vacancy
−$3.3K −$1.81/SF
EGI
$24.6K $13.67/SF
− OpEx
−$11.1K −$6.15/SF
NOI
$13.5K $7.52/SF
Area
Durham, NC
Vacancy
11.70%
Lease Rate
$15.48 /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%
$270,940
Cap Rate 7%
$193,529
Cap Rate 9%
$150,522
Alternative Uses
Best Use
Apartment 5plus
$193.5K
$169.3K – $225.8K
NOI $13,547 @ 7.0% cap · market cap 3.39%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$581.9K
$509.2K – $678.9K
NOI $40,732 @ 7.0% cap · market cap 10.18%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
2
Residential units
Location Intelligence
Trade Area within ½ mile
23
Businesses Nearby
Explore this area
Business Placement
Demographics for 27704, NC
39,532
Population
16,824
Households
2.3
Avg Household Size
36
Median Age
33%
College-Educated
85%
High-School Grad
41.4 sq mi
ZIP Area
955
Density / Sq Mi
$62,435
Median Household Income
$36,955
Median Earnings
$1,306
Median Rent
$270,000
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?
Multifamily property - Two residences include updated major systems, refreshed kitchens and bathrooms, and a detached garage on a shared lot.
Where is this multifamily property located?
The property is located at 1111 Midland Terrace Durham, NC.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: Two residences totaling 1,802 SF on a 0.31‑acre lot; 1,226 SF ranch home with 2 bedrooms and 1 bathroom; 576 SF cottage with 1 bedroom and 1 bathroom
