Craftsman Live-Work
For Sale
$493,000
1814 Chapel Hill Rd, Durham, NC 27707
Located in Durham’s Office/Institutional, Urban Tier district with flexible residential and professional-use potential.
Property Size1,922 SF
Price / SF$256.50
Days on Market33
Property Features for 1814 Chapel Hill Rd
General Information
Standard status
Active
Size
1,922 SF
Zoning
Office/Institutional, Urban Tier
Building Details
Year Built
1938
Construction
Craftsman
Listing Agency:
Weichert, Realtors-Mark Thomas
(919) 423-3463
Listed By:
Lisa Janes
Source:
Rubyhenderson
Added: Jul 28
Changed: Aug 28
Last Checked: Aug 25 at 5:24AM
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 Weichert, Realtors-Mark Thomas
Investment Insights
Based on property information with market context.
Built in 1938, this 1,922-square-foot Craftsman-style bungalow combines residential character with a configuration suited to live-work use. The interior includes a front parlor with fireplace, separate dining room, and bright breakfast room with extensive windows. German-board wood siding, a newer roof, updated gutters, and a newer water heater add to the property’s physical profile.
An unfinished walk-out basement with concrete flooring provides additional utility, while parking is arranged around the detached garage building at the rear. The property sits in Durham’s Office/Institutional, Urban Tier district and is less than a block from Lakewood Social Restaurant. Duke University, the Lakewood YMCA, Durham Performing Arts Center, Durham Bulls Ballpark, restaurants, shopping, and places of worship are within minutes.
An unfinished walk-out basement with concrete flooring provides additional utility, while parking is arranged around the detached garage building at the rear. The property sits in Durham’s Office/Institutional, Urban Tier district and is less than a block from Lakewood Social Restaurant. Duke University, the Lakewood YMCA, Durham Performing Arts Center, Durham Bulls Ballpark, restaurants, shopping, and places of worship are within minutes.
Key Highlights
- 1,922 SF Craftsman‑style bungalow built in 1938
- Located in Durham’s Office/Institutional, Urban Tier district
- Front parlor with fireplace, separate dining room, and window‑lined breakfast room
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
$29,683
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
6.02%
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%
$593,660
$593.7K
Cap Rate 7%
$424,043
$424.0K
Cap Rate 9%
$329,811
$329.8K
Market Conditions
NOI Build-Up for 1,922 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
$48.0K $24.96/SF
− Vacancy
−$8.4K −$4.37/SF
EGI
$39.6K $20.59/SF
− OpEx
−$9.9K −$5.15/SF
NOI
$29.7K $15.44/SF
Area
Durham, NC
Vacancy
17.50%
Lease Rate
$24.96 /SF/Yr
Expense Ratio
25.00%
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%
$593,660
Cap Rate 7%
$424,043
Cap Rate 9%
$329,811
Alternative Uses
Best Use
Office B
$424.0K
$371.0K – $494.7K
NOI $29,683 @ 7.0% cap · market cap 6.02%
Second Best
Mixed Use
$370.7K
$324.3K – $432.5K
NOI $25,947 @ 7.0% cap · market cap 5.26%
Theoretical Best
Office A
$620.6K
$543.1K – $724.1K
NOI $43,444 @ 7.0% cap · market cap 8.81%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
486
Businesses Nearby
Explore this area
Business Placement
Demographics for 27707, NC
49,787
Population
23,528
Households
2.1
Avg Household Size
34
Median Age
57%
College-Educated
92%
High-School Grad
20.7 sq mi
ZIP Area
2,405
Density / Sq Mi
$72,432
Median Household Income
$45,803
Median Earnings
$1,364
Median Rent
$371,500
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Live-work space - Located in Durham’s Office/Institutional, Urban Tier district with flexible residential and professional-use potential.
Where is this live-work space located?
The property is located at 1814 Chapel Hill Rd Durham, NC.
What is the asking price?
The asking price for this property is $493,000.
What are key features of this property?
This property features: 1,922 SF Craftsman‑style bungalow built in 1938; Located in Durham’s Office/Institutional, Urban Tier district; Front parlor with fireplace, separate dining room, and window‑lined breakfast room
