Turnkey 5-Unit Short-Term Rental
For Sale
$449,000
2513 Beaumont Avenue, McAllen, TX 78501
Renovated 5-unit portfolio with (4) 2BR/1BA and (1) 1BR/1BA units, turnkey and actively income-producing with paved parking.
Property Size3,660 SF
Price / SF$122.68
Days on Market98
Property Features for 2513 Beaumont Avenue
General Information
Standard status
Active
Size
3,660 SF
Property subtype
Multifamily
Additional Details
Cap Rate
12.36%
Multifamily Units
5
Amenities
paved on-site parking
Building Details
Building Size
3,660 SF
Year Built
1992
Listing Agency:
SVN | Hanna Solutions CRE
(956) 821-8001
Listed By:
Mark Hanna, CCIM
(956) 821-8001
Source:
Svn
Added: May 14
Changed: Aug 8
Last Checked: Aug 18 at 5:40AM
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 SVN | Hanna Solutions CRE
Investment Insights
Based on property information with market context.
A renovated 5-unit short-term rental portfolio totaling 3,660 SF, currently set up and operating as turnkey accommodations. The unit mix is four (4) 2BR/1BA units and one (1) 1BR/1BA unit. Seller-reported FY 2025 performance includes $82,563 in gross revenue and $55,623 NOI, reflecting a 12.36% cap rate, with a 32.6% seller-reported operating expense ratio.
The property is located near McAllen’s Medical Corridor, close to Rio Grande Regional Hospital, South Texas Health System, and La Plaza Mall. On-site parking is paved.
This is presented as a 1031-exchange friendly investment opportunity with an asking price of $450,000.
The property is located near McAllen’s Medical Corridor, close to Rio Grande Regional Hospital, South Texas Health System, and La Plaza Mall. On-site parking is paved.
This is presented as a 1031-exchange friendly investment opportunity with an asking price of $450,000.
Key Highlights
- Renovated 5‑unit short‑term rental portfolio totaling 3,660 SF with (4) 2BR/1BA and (1) 1BR/1BA units
- Seller‑reported FY 2025 gross revenue of $82,563 and FY 2025 NOI of $55,623
- Reported 12.36% cap rate at a $450,000 asking price
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
$30,393
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
6.77%
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%
$607,860
$607.9K
Cap Rate 7%
$434,186
$434.2K
Cap Rate 9%
$337,700
$337.7K
Market Conditions
NOI Build-Up for 3,660 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
$59.3K $16.20/SF
− Vacancy
−$4.0K −$1.10/SF
EGI
$55.3K $15.10/SF
− OpEx
−$24.9K −$6.79/SF
NOI
$30.4K $8.30/SF
Area
McAllen, TX
Vacancy
6.80%
Lease Rate
$16.20 /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%
$607,860
Cap Rate 7%
$434,186
Cap Rate 9%
$337,700
Alternative Uses
Best Use
Apartment 5plus
$434.2K
$379.9K – $506.6K
NOI $30,393 @ 7.0% cap · market cap 6.77%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$993.8K
$869.6K – $1.16M
NOI $69,569 @ 7.0% cap · market cap 15.49%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
Location Intelligence
Trade Area within ½ mile
2,038
Businesses Nearby
Explore this area
Business Placement
Demographics for 78501, TX
60,817
Population
24,807
Households
2.5
Avg Household Size
37
Median Age
27%
College-Educated
77%
High-School Grad
15.5 sq mi
ZIP Area
3,924
Density / Sq Mi
$49,451
Median Household Income
$29,092
Median Earnings
$943
Median Rent
$149,000
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?
Short term rental property - Renovated 5-unit portfolio with (4) 2BR/1BA and (1) 1BR/1BA units, turnkey and actively income-producing with paved parking.
Where is this short term rental property located?
The property is located at 2513 Beaumont Avenue McAllen, TX.
What is the asking price?
The asking price for this property is $449,000.
What are key features of this property?
This property features: Renovated 5‑unit short‑term rental portfolio totaling 3,660 SF with (4) 2BR/1BA and (1) 1BR/1BA units; Seller‑reported FY 2025 gross revenue of $82,563 and FY 2025 NOI of $55,623; Reported 12.36% cap rate at a $450,000 asking price
