University City Multifamily Investment
For Sale
$1,075,000
223 45TH STREET, Philadelphia, PA 19104
Located in University City, Philadelphia, near universities and amenities.
Property Size2,430 SF
Price / SF$442.39
Days on Market121
Property Features for 223 45TH STREET
General Information
Standard status
Active
Size
2,430 SF
Property subtype
Multi-Family
Taxes and HOA fees
Annual Taxes
$5,053
Amenities
Central Air
3
No Parking.
Building Details
Year Built
1935
Listing Agency:
JG Real Estate LLC
Listed By:
Ariel Morgenstein · License #AB067988
(215) 467-4100
Source:
Xome
Added: May 12
Changed: Sep 8
Last Checked: Sep 8 at 7:43AM
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 JG Real Estate LLC
Investment Insights
Based on property information with market context.
Located in Philadelphia’s University City submarket, 223 S. 45th Street presents an investment opportunity in the Spruce Hill neighborhood. The property benefits from its proximity to the University of Pennsylvania and Drexel University, which drives rental demand from students, faculty, and young professionals. The building is fully occupied with 5 units, including one studio with one bathroom, two 1-bedroom units with one bathroom each, one 2-bedroom unit with two bathrooms, and one 3-bedroom unit with three bathrooms. The location provides access to parks, retail, and dining amenities. Strong transit connectivity is available to Center City and major employment hubs. The property offers stable cash flow and long-term appreciation in a resilient rental market.
Key Highlights
- University City location with durable rental demand.
- Fully occupied 5‑unit building providing stable cash flow.
- Located in the desirable Spruce Hill neighborhood.
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
$38,223
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
3.56%
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%
$764,460
$764.5K
Cap Rate 7%
$546,043
$546.0K
Cap Rate 9%
$424,700
$424.7K
Market Conditions
NOI Build-Up for 2,430 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
$73.8K $30.36/SF
− Vacancy
−$4.3K −$1.76/SF
EGI
$69.5K $28.60/SF
− OpEx
−$31.3K −$12.87/SF
NOI
$38.2K $15.73/SF
Area
Philadelphia, PA
Vacancy
5.80%
Lease Rate
$30.36 /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%
$764,460
Cap Rate 7%
$546,043
Cap Rate 9%
$424,700
Alternative Uses
Best Use
Apartment 5plus
$546.0K
$477.8K – $637.1K
NOI $38,223 @ 7.0% cap · market cap 3.56%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$592.4K
$518.4K – $691.1K
NOI $41,468 @ 7.0% cap · market cap 3.86%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,527
Businesses Nearby
Explore this area
Business Placement
Demographics for 19104, PA
56,839
Population
23,888
Households
2.4
Avg Household Size
26
Median Age
47%
College-Educated
90%
High-School Grad
3.1 sq mi
ZIP Area
18,335
Density / Sq Mi
$39,526
Median Household Income
$18,420
Median Earnings
$1,329
Median Rent
$268,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Located in University City, Philadelphia, near universities and amenities.
Where is this apartment building located?
The property is located at 223 45TH STREET Philadelphia, PA.
What is the asking price?
The asking price for this property is $1,075,000.
What are key features of this property?
This property features: University City location with durable rental demand.; Fully occupied 5‑unit building providing stable cash flow.; Located in the desirable Spruce Hill neighborhood.
