Jonesboro Multifamily Investment
For Sale
$420,000
324 Russell Dr, Jonesboro, AR 72401
Seven-unit multifamily property in established Jonesboro residential area.
Property Size5,950 SF
Price / SF$70.59
Days on Market167
Property Features for 324 Russell Dr
General Information
Standard status
Active
Size
5,950 SF
Property subtype
Multifamily
Building Details
Building Size
5,950 SF
Year Built
1978
Listing Agency:
(256) 337-8803
Listed By:
Mason McCrary
(256) 337-8803
Source:
Svn
Added: Mar 6
Changed: Aug 11
Last Checked: Aug 20 at 5:35AM
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 Mason McCrary
Investment Insights
Based on property information with market context.
The Vue on Sybel & Russell Apartments is a 5,950-square-foot multifamily community featuring 7 units. It is located in an established residential area of Jonesboro, Arkansas, near key employment drivers, retail corridors, and essential services. This stabilized, income-producing asset is suitable for investors seeking exposure in a growing secondary market. The property offers an attractive acquisition for both local and regional multifamily investors. The Jonesboro MSA serves as the economic and population center of Northeast Arkansas, supported by healthcare, education, manufacturing, and logistics. Major institutions such as St. Bernards Healthcare and Arkansas State University provide stable job growth and consistent housing demand. Jonesboro benefits from a central location within the region, offering convenient access to Memphis and other key Mid-South markets via U.S. Highways 63 and 49. The property has historically exceptional occupancy and was renovated in 2022. The property is positioned to capture "Class B+" rents at a "Class C" acquisition basis.
Key Highlights
- Stabilized, cash‑flowing asset with historically exceptional occupancy.
- Renovated in 2022, with room to add additional value through further upgrades.
- 7‑unit multifamily community in an established residential area of Jonesboro, Arkansas.
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
$35,692
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
8.50%
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%
$713,840
$713.8K
Cap Rate 7%
$509,886
$509.9K
Cap Rate 9%
$396,578
$396.6K
Market Conditions
NOI Build-Up for 5,950 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
$69.3K $11.64/SF
− Vacancy
−$4.4K −$0.73/SF
EGI
$64.9K $10.91/SF
− OpEx
−$29.2K −$4.91/SF
NOI
$35.7K $6.00/SF
Area
Craighead County, AR
Vacancy
6.30%
Lease Rate
$11.64 /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%
$713,840
Cap Rate 7%
$509,886
Cap Rate 9%
$396,578
Alternative Uses
Best Use
Apartment 5plus
$509.9K
$446.2K – $594.9K
NOI $35,692 @ 7.0% cap · market cap 8.50%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.04M
$911.5K – $1.22M
NOI $72,918 @ 7.0% cap · market cap 17.36%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
335
Businesses Nearby
Explore this area
Business Placement
Demographics for 72401, AR
43,127
Population
19,328
Households
2.2
Avg Household Size
33
Median Age
23%
College-Educated
89%
High-School Grad
88.5 sq mi
ZIP Area
487
Density / Sq Mi
$43,412
Median Household Income
$32,970
Median Earnings
$897
Median Rent
$185,400
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Seven-unit multifamily property in established Jonesboro residential area.
Where is this apartment building located?
The property is located at 324 Russell Dr Jonesboro, AR.
What is the asking price?
The asking price for this property is $420,000.
What are key features of this property?
This property features: Stabilized, cash‑flowing asset with historically exceptional occupancy.; Renovated in 2022, with room to add additional value through further upgrades.; 7‑unit multifamily community in an established residential area of Jonesboro, Arkansas.
