Tenant-Occupied Income
For Sale
$249,900
200 E SOUTHERN Avenue 224, Tempe, AZ 85282
Tenant-occupied condo with split-bedroom layout, inside laundry, and a private shaded balcony.
Property Size941 SF
Days on Market121
Property Features for 200 E SOUTHERN Avenue 224
General Information
Standard status
Active
Size
941 SF
Property subtype
Apartment
Units
Unit Mix
1 x 2BR/2BA
Multifamily Units
1
Additional Details
Highway Access
Yes
Taxes and HOA fees
Annual Taxes
$1,195
Amenities
inside laundry
private shaded balcony
heated pools
hot tubs
Building Details
Building Size
941 SF
Year Built
1986
Tenancy
Single
Listing Agency:
Delex Realty
(480) 788-4016
Listed By:
Liza Rhima
(480) 788-4016
Source:
Gillettegroupaz
Added: May 4
Changed: Aug 24
Last Checked: Aug 30 at 9:25PM
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 Delex Realty
Investment Insights
Based on property information with market context.
Tenant-occupied 2 bed / 2 bath condo built in 1986 and currently stabilized as a long-term rental. The unit offers a split floorplan, spacious living areas, inside laundry, and a private shaded balcony. The property is non-warrantable and requires an all-cash close.
Located at 200 E Southern Avenue in Tempe, the condo is 2.5 miles from ASU and near shopping, dining, major valley employers, and immediate freeway access. The HOA covers exterior maintenance, roofing, blanket insurance, water, sewer, and trash. Residents also have access to 2 heated pools and hot tubs. Active community repair projects are underway, and buyers are responsible for independently verifying property rules.
Located at 200 E Southern Avenue in Tempe, the condo is 2.5 miles from ASU and near shopping, dining, major valley employers, and immediate freeway access. The HOA covers exterior maintenance, roofing, blanket insurance, water, sewer, and trash. Residents also have access to 2 heated pools and hot tubs. Active community repair projects are underway, and buyers are responsible for independently verifying property rules.
Key Highlights
- Tenant‑occupied 2 bed / 2 bath condo
- Split floorplan with spacious living areas
- Inside laundry and private shaded balcony
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
$12,754
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
5.10%
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%
$255,080
$255.1K
Cap Rate 7%
$182,200
$182.2K
Cap Rate 9%
$141,711
$141.7K
Market Conditions
NOI Build-Up for 941 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
$24.6K $26.16/SF
− Vacancy
−$1.4K −$1.52/SF
EGI
$23.2K $24.64/SF
− OpEx
−$10.4K −$11.09/SF
NOI
$12.8K $13.55/SF
Area
Tempe, AZ
Vacancy
5.80%
Lease Rate
$26.16 /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%
$255,080
Cap Rate 7%
$182,200
Cap Rate 9%
$141,711
Alternative Uses
Best Use
Apartment 5plus
$182.2K
$159.4K – $212.6K
NOI $12,754 @ 7.0% cap · market cap 5.10%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$295.9K
$258.9K – $345.2K
NOI $20,714 @ 7.0% cap · market cap 8.29%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Single-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,252
Businesses Nearby
Explore this area
Business Placement
Demographics for 85282, AZ
52,351
Population
25,667
Households
2
Avg Household Size
33
Median Age
44%
College-Educated
94%
High-School Grad
11.1 sq mi
ZIP Area
4,716
Density / Sq Mi
$79,084
Median Household Income
$43,863
Median Earnings
$1,627
Median Rent
$370,000
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?
Residential income property - Tenant-occupied condo with split-bedroom layout, inside laundry, and a private shaded balcony.
Where is this residential income property located?
The property is located at 200 E SOUTHERN Avenue 224 Tempe, AZ.
What is the asking price?
The asking price for this property is $249,900.
What are key features of this property?
This property features: Tenant‑occupied 2 bed / 2 bath condo; Split floorplan with spacious living areas; Inside laundry and private shaded balcony
