Two-Building Apartment
For Sale
$330,000
1403 South Hughes Street, Amarillo, TX 79102
Five residential units occupy separate buildings with individual electric and gas metering in the first building.
Property Size2,785 SF
Price / SF$118.49
Days on Market560
Property Features for 1403 South Hughes Street
General Information
Standard status
Active
Size
2,785 SF
Property subtype
MultiFamily
Units
Unit Mix
4 x 1BR/1BA, 1 x 4BR/1.5BA
Multifamily Units
5
Additional Details
Utilities to Site
Yes
Taxes and HOA fees
Annual Taxes
$3,859
Amenities
Two
Building Details
Year Built
1927
Buildings
2
Listing Agency:
Realty Central Services
Listed By:
Ana Harrison · License #697162
(806) 452-5267
Source:
Compass
Added: Feb 20, 2025
Changed: Aug 31
Last Checked: Aug 30 at 11:21AM
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 Realty Central Services
Investment Insights
Based on property information with market context.
This apartment property includes five units distributed across two buildings on three adjoining lots. The 1927 building contains four one-bedroom, one-bath apartments, each with a large living room, dining room, wall heater, and window AC. Electric and gas are separately metered by unit, while water serves the building as a whole. An unused basement provides additional interior space.
Constructed in 1975, the second building offers a 4/1.5 layout and an attached cinder block workshop that has previously functioned as an art studio. The tenant pays all utilities. The property is located at 1403 South Hughes Street in Amarillo, Texas, with a total property size of 2,785 square feet.
Constructed in 1975, the second building offers a 4/1.5 layout and an attached cinder block workshop that has previously functioned as an art studio. The tenant pays all utilities. The property is located at 1403 South Hughes Street in Amarillo, Texas, with a total property size of 2,785 square feet.
Key Highlights
- Five units across two buildings on three lots
- 1927 building contains four 1‑bedroom, 1‑bath units
- Each unit in the first building has a wall heater and window AC
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
$18,471
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
5.60%
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%
$369,420
$369.4K
Cap Rate 7%
$263,871
$263.9K
Cap Rate 9%
$205,233
$205.2K
Market Conditions
NOI Build-Up for 2,785 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
$35.4K $12.72/SF
− Vacancy
−$1.8K −$0.66/SF
EGI
$33.6K $12.06/SF
− OpEx
−$15.1K −$5.43/SF
NOI
$18.5K $6.63/SF
Area
Amarillo, TX
Vacancy
5.20%
Lease Rate
$12.72 /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%
$369,420
Cap Rate 7%
$263,871
Cap Rate 9%
$205,233
Alternative Uses
Best Use
Apartment 5plus
$263.9K
$230.9K – $307.9K
NOI $18,471 @ 7.0% cap · market cap 5.60%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$621.8K
$544.1K – $725.4K
NOI $43,526 @ 7.0% cap · market cap 13.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
1,630
Businesses Nearby
Explore this area
Business Placement
Demographics for 79102, TX
9,252
Population
4,695
Households
2
Avg Household Size
35
Median Age
20%
College-Educated
78%
High-School Grad
2.7 sq mi
ZIP Area
3,427
Density / Sq Mi
$48,551
Median Household Income
$34,911
Median Earnings
$891
Median Rent
$146,500
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?
Apartment building - Five residential units occupy separate buildings with individual electric and gas metering in the first building.
Where is this apartment building located?
The property is located at 1403 South Hughes Street Amarillo, TX.
What is the asking price?
The asking price for this property is $330,000.
What are key features of this property?
This property features: Five units across two buildings on three lots; 1927 building contains four 1‑bedroom, 1‑bath units; Each unit in the first building has a wall heater and window AC
