Renovated Three-Unit Short-Term
For Sale
$619,900
1515 W Tonto St, Phoenix, AZ 85007
Furnished lodging property with independent entrances, private kitchens, and a shared courtyard with guest amenities.
Property Size1,485 SF
Price / SF$417.44
Days on Market37
Property Features for 1515 W Tonto St
General Information
Standard status
Active
Size
1,485 SF
Property subtype
Business Opportunity
Units
Unit Mix
1 x 2BR/1BA, 1 x 1BR/1BA, 1 x studio
Multifamily Units
3
Additional Details
Furnished
Yes
Business Included
Yes
Amenities
separate laundry room
storage shed
fenced common courtyard with grill
fire pit
lounge seating
hammock
Listing Agency:
My Home Group Real Estate
(602) 525-3224
Listed By:
Natalia Yalin · License #SA695323000
Source:
Ryhometeam
Added: Jul 24
Changed: Aug 28
Last Checked: Aug 29 at 11:37AM
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 My Home Group Real Estate
Investment Insights
Based on property information with market context.
This fully renovated, furnished short-term rental property at 1515 W Tonto Street includes three independent units under one roof. The configuration comprises a two-bedroom, one-bath unit, a one-bedroom, one-bath unit, and a private studio. Each unit has its own kitchen, full bathroom, and separate entrance, creating distinct accommodations within the property. A dedicated laundry room and storage shed support ongoing operations, while the fenced common courtyard includes a grill, fire pit, lounge seating, and hammock.
The property is in Downtown Phoenix, minutes from Chase Field, the Convention Center, ASU Downtown, Roosevelt Row, and Van Buren. The short-term rental has a documented 4.8+ star Airbnb rating and reported operating margins of about 52%.
The property is in Downtown Phoenix, minutes from Chase Field, the Convention Center, ASU Downtown, Roosevelt Row, and Van Buren. The short-term rental has a documented 4.8+ star Airbnb rating and reported operating margins of about 52%.
Key Highlights
- Three independent units: 2‑bed/1‑bath, 1‑bed/1‑bath, and a private studio
- Fully renovated and furnished short‑term rental property
- Each unit includes a kitchen, full bath, and separate entrance
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
$19,450
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
3.14%
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%
$389,000
$389.0K
Cap Rate 7%
$277,857
$277.9K
Cap Rate 9%
$216,111
$216.1K
Market Conditions
NOI Build-Up for 1,485 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
$29.4K $19.80/SF
− Vacancy
−$1.6K −$1.09/SF
EGI
$27.8K $18.71/SF
− OpEx
−$8.3K −$5.61/SF
NOI
$19.5K $13.10/SF
Area
Phoenix, AZ
Vacancy
5.50%
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%
$389,000
Cap Rate 7%
$277,857
Cap Rate 9%
$216,111
Alternative Uses
Best Use
Multifamily LT 5
$277.9K
$243.1K – $324.2K
NOI $19,450 @ 7.0% cap · market cap 3.14%
Second Best
Apartment 5plus
$247.4K
$216.5K – $288.7K
NOI $17,320 @ 7.0% cap · market cap 2.79%
Theoretical Best
Office A
$449.8K
$393.6K – $524.8K
NOI $31,487 @ 7.0% cap · market cap 5.08%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
862
Businesses Nearby
Explore this area
Business Placement
Demographics for 85007, AZ
14,442
Population
5,981
Households
2.4
Avg Household Size
36
Median Age
27%
College-Educated
81%
High-School Grad
4.6 sq mi
ZIP Area
3,140
Density / Sq Mi
$55,833
Median Household Income
$43,375
Median Earnings
$1,079
Median Rent
$447,000
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?
Short term rental property - Furnished lodging property with independent entrances, private kitchens, and a shared courtyard with guest amenities.
Where is this short term rental property located?
The property is located at 1515 W Tonto St Phoenix, AZ.
What is the asking price?
The asking price for this property is $619,900.
What are key features of this property?
This property features: Three independent units: 2‑bed/1‑bath, 1‑bed/1‑bath, and a private studio; Fully renovated and furnished short‑term rental property; Each unit includes a kitchen, full bath, and separate entrance
