Six-Unit Apartment
For Sale
$869,000
1217-1227 W Porter Ave, Chesterton, IN 46304
Two-story masonry construction with individual HVAC systems and on-site parking supports efficient multifamily operations.
Property Size4,952 SF
Lot Size0.27 Acres
Price / SF$175.48
Days on Market15
Property Features for 1217-1227 W Porter Ave
General Information
Standard status
Active
Size
4,952 SF
Total Parking Spaces
16
Lot size
0.27 Acres
Net Operating Income
$52,281
Financials
Cap Rate
6.02%
Average Monthly Rent
$1,158
Site & Location
Highway Access
Yes
Public Transit
Yes
Units
Unit Mix
4 x 2BR/1BA, 2 x 1BR/1BA
Multifamily Units
6
Taxes and HOA fees
Annual Taxes
$14,286
Building Details
Year Built
1999
Stories
2
Construction
masonry-framed
Listing Agency:
Ellsbury Group
(219) 200-5133
Listed By:
Tariq Suboh · License #475192080
(219) 805-5200
Source:
Exprealty
Added: Sep 9
Changed: Sep 21
Last Checked: Sep 22 at 8:53PM
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 Ellsbury Group
Investment Insights
Based on property information with market context.
This two-story apartment property contains six units within 4,952 SF of masonry-framed construction completed in 1999. The unit mix includes four two-bedroom, one-bath residences and two one-bedroom, one-bath residences, averaging 825 SF per unit. Each apartment has its own forced-air furnace, central air conditioning, and water heater. The property includes 16 off-street parking spaces on a 0.27-acre parcel.
Residents pay their own gas, electric, and in-unit water, while ownership handles common-area electric, water and sewer, trash, and grounds. Two units are currently on month-to-month terms, with a third scheduled to roll in January 2027. In-place performance reflects a 6.02 percent going-in cap rate, while the stated pro forma supports an 8.00 percent cap rate without changes to the physical plant.
The property is located in Chesterton within the Duneland School Corporation, with access to I-94, US-20, and the Dune Park South Shore station. Indiana Dunes National Park is adjacent to the community.
Residents pay their own gas, electric, and in-unit water, while ownership handles common-area electric, water and sewer, trash, and grounds. Two units are currently on month-to-month terms, with a third scheduled to roll in January 2027. In-place performance reflects a 6.02 percent going-in cap rate, while the stated pro forma supports an 8.00 percent cap rate without changes to the physical plant.
The property is located in Chesterton within the Duneland School Corporation, with access to I-94, US-20, and the Dune Park South Shore station. Indiana Dunes National Park is adjacent to the community.
Key Highlights
- Six‑unit apartment property with four two‑bedroom and two one‑bedroom units
- 4,952 SF building on a 0.27‑acre parcel, built in 1999
- Each unit includes a forced‑air furnace, central air conditioning, and water heater
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
$39,324
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
4.53%
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%
$786,480
$786.5K
Cap Rate 7%
$561,771
$561.8K
Cap Rate 9%
$436,933
$436.9K
Market Conditions
NOI Build-Up for 4,952 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
$76.1K $15.36/SF
− Vacancy
−$4.6K −$0.92/SF
EGI
$71.5K $14.44/SF
− OpEx
−$32.2K −$6.50/SF
NOI
$39.3K $7.94/SF
Area
Porter County, IN
Vacancy
6.00%
Lease Rate
$15.36 /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%
$786,480
Cap Rate 7%
$561,771
Cap Rate 9%
$436,933
Alternative Uses
Best Use
Apartment 5plus
$561.8K
$491.6K – $655.4K
NOI $39,324 @ 7.0% cap · market cap 4.53%
Second Best
—
—
no second resolved use
Theoretical Best
Healthcare Medical
$1.88M
$1.64M – $2.19M
NOI $131,379 @ 7.0% cap · market cap 15.12%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
6
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
378
Businesses Nearby
Explore this area
Business Placement
Demographics for 46304, IN
26,835
Population
11,521
Households
2.3
Avg Household Size
41
Median Age
35%
College-Educated
96%
High-School Grad
57.8 sq mi
ZIP Area
464
Density / Sq Mi
$88,551
Median Household Income
$52,704
Median Earnings
$1,169
Median Rent
$278,300
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Two-story masonry construction with individual HVAC systems and on-site parking supports efficient multifamily operations.
Where is this apartment building located?
The property is located at 1217-1227 W Porter Ave Chesterton, IN.
What is the asking price?
The asking price for this property is $869,000.
What are key features of this property?
This property features: Six‑unit apartment property with four two‑bedroom and two one‑bedroom units; 4,952 SF building on a 0.27‑acre parcel, built in 1999; Each unit includes a forced‑air furnace, central air conditioning, and water heater
