Updated Duplex with Separate
For Sale
$449,950
1123 S M Street, Tacoma, WA 98405
Two residential units offer flexible owner-occupant or rental use near Tacoma Link Light Rail and UW Tacoma.
Property Size1,386 SF
Price / SF$324.64
Days on Market162
Property Features for 1123 S M Street
General Information
Standard status
Active
Size
1,386 SF
Property subtype
Multi-Family
Net Operating Income
$27,312
Taxes and HOA fees
Annual Taxes
$2,988
Amenities
Vinyl,Vinyl Plank
Yes
No
1
Electric
Corner Lot,Curbs,Paved,Sidewalk
Public
0.0253
Cement/Concrete
Slab
1386
Building Details
Building Size
1,386 SF
Year Built
1959
Stories
1
Listing Agency:
Theory Real Estate
(971) 275-3691
Listed By:
Claire & Mark Widmark-Wright
(971) 275-3691
Source:
Premierepropertygroup
Added: Mar 13
Changed: Aug 21
Last Checked: Aug 21 at 4:20AM
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 Theory Real Estate
Investment Insights
Based on property information with market context.
This duplex contains two separate residences: a one-bedroom, one-bath unit and a two-bedroom unit with a three-quarter bath. Interior updates include vinyl plank flooring, fresh paint, and updated appliances. The property was built in 1959 and provides 1,386 square feet of building area on a 0.0253-acre corner lot with paved surfaces, curbs, and sidewalks.
Located at 1123 S M Street in Tacoma, the property is near Tacoma Link Light Rail, UW Tacoma, the Stadium District, hospitals, restaurants, shops, and entertainment. Public water service and a slab foundation are also noted.
Located at 1123 S M Street in Tacoma, the property is near Tacoma Link Light Rail, UW Tacoma, the Stadium District, hospitals, restaurants, shops, and entertainment. Public water service and a slab foundation are also noted.
Key Highlights
- Two‑unit duplex with one 1‑bed/1‑bath residence and one 2‑bed/0.75‑bath residence
- 1,386 SF building on a 0.0253‑acre corner lot
- Updated with vinyl plank flooring, paint, and appliances
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
$18,261
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
4.06%
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%
$365,220
$365.2K
Cap Rate 7%
$260,871
$260.9K
Cap Rate 9%
$202,900
$202.9K
Market Conditions
NOI Build-Up for 1,386 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
$27.4K $19.80/SF
− Vacancy
−$1.4K −$0.98/SF
EGI
$26.1K $18.82/SF
− OpEx
−$7.8K −$5.65/SF
NOI
$18.3K $13.18/SF
Area
Tacoma, WA
Vacancy
4.94%
Lease Rate
$19.80 /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%
$365,220
Cap Rate 7%
$260,871
Cap Rate 9%
$202,900
Alternative Uses
Best Use
Multifamily LT 5
$260.9K
$228.3K – $304.4K
NOI $18,261 @ 7.0% cap · market cap 4.06%
Second Best
Apartment 5plus
$226.7K
$198.4K – $264.5K
NOI $15,870 @ 7.0% cap · market cap 3.53%
Theoretical Best
Office A
$426.0K
$372.8K – $497.0K
NOI $29,821 @ 7.0% cap · market cap 6.63%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,013
Businesses Nearby
Explore this area
Business Placement
Demographics for 98405, WA
24,617
Population
11,645
Households
2.1
Avg Household Size
37
Median Age
31%
College-Educated
94%
High-School Grad
4.1 sq mi
ZIP Area
6,004
Density / Sq Mi
$80,024
Median Household Income
$51,028
Median Earnings
$1,480
Median Rent
$443,800
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?
Duplex - Two residential units offer flexible owner-occupant or rental use near Tacoma Link Light Rail and UW Tacoma.
Where is this duplex located?
The property is located at 1123 S M Street Tacoma, WA.
What is the asking price?
The asking price for this property is $449,950.
What are key features of this property?
This property features: Two‑unit duplex with one 1‑bed/1‑bath residence and one 2‑bed/0.75‑bath residence; 1,386 SF building on a 0.0253‑acre corner lot; Updated with vinyl plank flooring, paint, and appliances
