Building Details

Buildings 1

Listing Agency: RE/MAX Dynamic Properties - Eagle River Branch b***@gmail.com Show Phone

Listed By: Bryan J Trombley · License #129408 Show Phone

Source: Exprealty

Added: Jul 7 Changed: Aug 22 Last Checked: Aug 23 at 3:37AM

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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 RE/MAX Dynamic Properties - Eagle River Branch

Investment Insights

Based on property information with market context.

This updated side-by-side townhouse duplex contains 4,006 square feet across two well-configured units. Each residence offers four bedrooms, 2.5 baths, a den, large bedrooms, and a fenced yard. Oversized double-car heated garages provide dedicated parking and additional convenience for both households.

Located at 16608 Mercy Dr in Eagle River, the property is positioned centrally within the community. Separate gas and electric meters serve each unit, while water and sewer are paid monthly by the owner. The townhouse-style layout and individual utility metering support distinct residential spaces within one multifamily asset.

Key Highlights

• Two‑unit townhouse‑style duplex with 4,006 total square feet
• Each unit includes 4 bedrooms and 2.5 baths
• Each unit is over 2000 s.f. and includes a den

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

$43,443

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

5.14%

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%

$868,860 $868.9K

Cap Rate 7%

$620,614 $620.6K

Cap Rate 9%

$482,700 $482.7K

Market Conditions

NOI Build-Up for 4,006 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

$64.9K $16.20/SF

− Vacancy

−$2.8K −$0.71/SF

EGI

$62.1K $15.49/SF

− OpEx

−$18.6K −$4.65/SF

NOI

$43.4K $10.84/SF

Area

Anchorage County, AK

Vacancy

4.37%

Lease Rate

$16.20 /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%

$868,860

Cap Rate 7%

$620,614

Cap Rate 9%

$482,700

Alternative Uses

Best Use

Multifamily LT 5

$620.6K

$543.0K – $724.1K (±1% cap)

NOI $43,443 @ 7.0% cap · market cap 5.14%

Second Best

Apartment 5plus

$572.9K

$501.3K – $668.4K (±1% cap)

NOI $40,105 @ 7.0% cap · market cap 4.75%

Theoretical Best

Office A

$1.05M

$918.0K – $1.22M (±1% cap)

NOI $73,439 @ 7.0% cap · market cap 8.69%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Duplexes

Lease Details

2

Residential units

Yes

Utilities to site

Location Intelligence

Demographics for 99577, AK

26,947

Population

10,854

Households

2.5

Avg Household Size

35

Median Age

46%

College-Educated

96%

High-School Grad

287.2 sq mi

ZIP Area

94

Density / Sq Mi

$135,011

Median Household Income

$62,137

Median Earnings

$1,709

Median Rent

$413,400

Median Home Value

Market

Vacancy Rate% for Multifamily in West region

7% 2022

7.8% 2023

8.6% 2024

8.6% 2025

Questions? Ask Rey

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What type of property is this? Where is this duplexes located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Duplex - Side-by-side units offer dens, fenced yards, and separate gas and electric meters.

Where is this duplex located?

The property is located at 16608 Mercy Dr Eagle River, AK.

What is the asking price?

The asking price for this property is $844,900.

What are key features of this property?

This property features: Two‑unit townhouse‑style duplex with 4,006 total square feet; Each unit includes 4 bedrooms and 2.5 baths; Each unit is over 2000 s.f. and includes a den