20-Unit Duplex Community For
For Sale
$4,300,000
Pending
18304 Nutmeg St SW, Rochester, WA 98579
Well-maintained 20-unit duplex community on 5.59 acres in Thurston County.
Property Size22,080 SF
Days on Market442
Property Features for 18304 Nutmeg St SW
General Information
Standard status
Pending
Size
22,080 SF
Property subtype
Commercial
Building Details
Year Built
1978
Listing Agency:
ABBEY REALTY, INC.
Listed By:
JOSHUA ABBEY · License #73788
(360) 459-0428
Source:
Corcoran
Added: Jun 27, 2025
Changed: Jul 6
Last Checked: Sep 11 at 8:14AM
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 ABBEY REALTY, INC.
Investment Insights
Based on property information with market context.
This is a 20-unit duplex community for sale in Thurston County, presenting an exceptional investment opportunity. The well-maintained property spans 5.59 acres and includes 10 duplexes. Each unit features 2 bedrooms, 1 bathroom, and a one-car garage. The property includes newer roofs, a shared well, and a central shared park space. The units are designed for comfort and low maintenance. Located just minutes from Centralia and less than 20 minutes from Tumwater, the property offers easy access to I-5 for convenient commuting. Long-term tenants appreciate the location, sense of community, and generous space, ensuring consistent occupancy and reliable cash flow. The property is priced to deliver a 7% cap rate, presenting a turnkey investment opportunity.
Key Highlights
- Strong 7% Cap Rate: Priced to deliver a compelling return on investment.
- 20 Units on 5.59 Acres: Substantial property with significant investment potential.
- Consistent Occupancy: Long‑term tenants contribute to reliable cash flow.
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
$300,326
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
6.98%
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%
$6,006,520
$6.0M
Cap Rate 7%
$4,290,371
$4.3M
Cap Rate 9%
$3,336,956
$3.3M
Market Conditions
NOI Build-Up for 22,080 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
$450.4K $20.40/SF
− Vacancy
−$21.4K −$0.97/SF
EGI
$429.0K $19.43/SF
− OpEx
−$128.7K −$5.83/SF
NOI
$300.3K $13.60/SF
Area
Thurston County, WA
Vacancy
4.75%
Lease Rate
$20.40 /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%
$6,006,520
Cap Rate 7%
$4,290,371
Cap Rate 9%
$3,336,956
Alternative Uses
Best Use
Multifamily LT 5
$4.29M
$3.75M – $5.01M
NOI $300,326 @ 7.0% cap · market cap 6.98%
Second Best
Apartment 5plus
$3.96M
$3.46M – $4.61M
NOI $276,883 @ 7.0% cap · market cap 6.44%
Theoretical Best
Office A
$6.47M
$5.66M – $7.54M
NOI $452,552 @ 7.0% cap · market cap 10.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
18
Businesses Nearby
Explore this area
Business Placement
Demographics for 98579, WA
13,648
Population
5,005
Households
2.7
Avg Household Size
42
Median Age
19%
College-Educated
92%
High-School Grad
94.2 sq mi
ZIP Area
145
Density / Sq Mi
$94,284
Median Household Income
$47,834
Median Earnings
$1,222
Median Rent
$405,500
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in West region
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Frequently Asked Questions
What type of property is this?
Duplex - Well-maintained 20-unit duplex community on 5.59 acres in Thurston County.
Where is this duplex located?
The property is located at 18304 Nutmeg St SW Rochester, WA.
What is the asking price?
The asking price for this property is $4,300,000.
What are key features of this property?
This property features: Strong 7% Cap Rate: Priced to deliver a compelling return on investment.; 20 Units on 5.59 Acres: Substantial property with significant investment potential.; Consistent Occupancy: Long‑term tenants contribute to reliable cash flow.
