Benchmark III Apartment
For Sale
Contact for pricing
421 South Chauncey Avenue, West Lafayette, IN 47906
Apartment layouts include four-bedroom and two-bedroom configurations near Purdue University's West Lafayette campus.
Property Size14,224 SF
Price / SF$294.92
Days on Market49
Property Features for 421 South Chauncey Avenue
General Information
Standard status
Active
Size
14,224 SF
Class
B
Property subtype
Multifamily
Zoning
R3W
Occupancy
100%
Investment Type
Stabilized
Building Details
Year Built
1991
Buildings
1
Stories
2
Units
10
Tenancy
Multi
Listing Agency:
KW Commercial Lafayette, IN
(765) 807-7177
Listed By:
Nathaniel Gustus · License #IN RB14036887
Source:
Crexi
Added: Jul 14
Changed: Aug 29
Last Checked: Aug 29 at 1:57PM
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 KW Commercial Lafayette, IN
Investment Insights
Based on property information with market context.
Benchmark III is a 14,224-square-foot apartment building completed in 1991 at 421 South Chauncey Avenue in West Lafayette. The property contains 10 apartments, including nine four-bedroom, 2.5-bath units and one two-bedroom, 1.5-bath unit, totaling 38 bedrooms. The asset is zoned R3W and offers multiple residential floor plans within a student-oriented multifamily setting.
The property is positioned on the southeast side of Purdue University's West Lafayette campus, near the College of Veterinary Medicine. Purdue Memorial Union, the Mitch Daniels School of Business, and Rawls Hall are approximately four blocks away. Chauncey Hill, with restaurants, Target, and other shopping locations, is within a short walk.
A master lease with Purdue University extends through the 2027-28 school year and includes 5% annual increases each August.
The property is positioned on the southeast side of Purdue University's West Lafayette campus, near the College of Veterinary Medicine. Purdue Memorial Union, the Mitch Daniels School of Business, and Rawls Hall are approximately four blocks away. Chauncey Hill, with restaurants, Target, and other shopping locations, is within a short walk.
A master lease with Purdue University extends through the 2027-28 school year and includes 5% annual increases each August.
Key Highlights
- 10 apartments totaling 38 bedrooms
- Unit mix includes 9 4BR/2.5BA apartments and 1 2BR/1.5BA apartment
- 14,224‑square‑foot apartment building completed in 1991
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
$125,253
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
2.99%
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%
$2,505,060
$2.5M
Cap Rate 7%
$1,789,329
$1.8M
Cap Rate 9%
$1,391,700
$1.4M
Market Conditions
NOI Build-Up for 14,224 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
$230.4K $16.20/SF
− Vacancy
−$2.7K −$0.19/SF
EGI
$227.7K $16.01/SF
− OpEx
−$102.5K −$7.20/SF
NOI
$125.3K $8.81/SF
Area
Tippecanoe County, IN
Vacancy
1.17%
Lease Rate
$16.20 /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%
$2,505,060
Cap Rate 7%
$1,789,329
Cap Rate 9%
$1,391,700
Alternative Uses
Best Use
Apartment 5plus
$1.79M
$1.57M – $2.09M
NOI $125,253 @ 7.0% cap · market cap 2.99%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.28M
$2.87M – $3.83M
NOI $229,876 @ 7.0% cap · market cap 5.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,356
Businesses Nearby
Explore this area
Business Placement
Demographics for 47906, IN
73,579
Population
28,658
Households
2.6
Avg Household Size
26
Median Age
62%
College-Educated
96%
High-School Grad
133.6 sq mi
ZIP Area
551
Density / Sq Mi
$51,736
Median Household Income
$18,528
Median Earnings
$1,157
Median Rent
$280,900
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Apartment layouts include four-bedroom and two-bedroom configurations near Purdue University's West Lafayette campus.
Where is this apartment building located?
The property is located at 421 South Chauncey Avenue West Lafayette, IN.
What is the asking price?
The asking price for this property is $4,195,000.
What are key features of this property?
This property features: 10 apartments totaling 38 bedrooms; Unit mix includes 9 4BR/2.5BA apartments and 1 2BR/1.5BA apartment; 14,224‑square‑foot apartment building completed in 1991
