Evansville Multifamily Investment
For Sale
Contact for pricing
500 Richardt Ave, Evansville, IN 47711
16-unit property with value-add potential in a strong rental corridor.
Property Size9,760 SF
Price / SF$101.95
Days on Market193
Property Features for 500 Richardt Ave
General Information
Standard status
Active
Size
9,760 SF
Class
C
Property subtype
Multifamily
Zoning
C-2
Building Details
Year Built
1979
Listing Agency:
Star Property Management
Listed By:
Bernard Salameh · License #383546
Source:
Crexi
Added: Feb 11
Changed: Aug 8
Last Checked: Aug 8 at 6:30AM
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 Star Property Management
Investment Insights
Based on property information with market context.
The property at 500 Richardt Avenue in Evansville, Indiana, presents a multifamily investment opportunity with 16 units. The building is 100% occupied and offers immediate cash flow with potential for NOI growth through rent optimization. All units are 1-bedroom, 1-bathroom layouts. The current average rents are approximately $650, below estimated market levels of $887+. The current NOI is approximately $84,208, representing an entry cap rate of approximately 8.03% at the new pricing. Recent capital improvements include a new roof and windows in 2022. The property is located within a strong Evansville rental corridor, benefiting from proximity to major employment centers, healthcare facilities, retail amenities, and primary transportation routes. The property size is 9760 square feet. This asset is positioned for strong long-term performance due to continued rental demand combined with below-market in-place rents. The uniform unit mix simplifies management, maintenance, and future renovation planning, providing a clear, executable value-add strategy for investors seeking scalable growth.
Key Highlights
- 100% Occupied: Provides immediate, stable cash flow from day one.
- Significant Value‑Add Upside: Below‑market average rents ($650) with potential to reach $887+.
- Recent Capital Improvements: New roof and windows (2022) reduce near‑term capital expenditure risk.
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
$81,918
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
8.23%
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%
$1,638,360
$1.6M
Cap Rate 7%
$1,170,257
$1.2M
Cap Rate 9%
$910,200
$910.2K
Market Conditions
NOI Build-Up for 9,760 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
$158.1K $16.20/SF
− Vacancy
−$9.2K −$0.94/SF
EGI
$148.9K $15.26/SF
− OpEx
−$67.0K −$6.87/SF
NOI
$81.9K $8.39/SF
Area
Evansville, IN
Vacancy
5.80%
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%
$1,638,360
Cap Rate 7%
$1,170,257
Cap Rate 9%
$910,200
Alternative Uses
Best Use
Apartment 5plus
$1.17M
$1.02M – $1.37M
NOI $81,918 @ 7.0% cap · market cap 8.23%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.42M
$2.12M – $2.83M
NOI $169,608 @ 7.0% cap · market cap 17.05%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
499
Businesses Nearby
Explore this area
Business Placement
Demographics for 47711, IN
31,266
Population
14,487
Households
2.2
Avg Household Size
41
Median Age
24%
College-Educated
91%
High-School Grad
16.5 sq mi
ZIP Area
1,895
Density / Sq Mi
$65,398
Median Household Income
$39,114
Median Earnings
$982
Median Rent
$156,200
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 - 16-unit property with value-add potential in a strong rental corridor.
Where is this apartment building located?
The property is located at 500 Richardt Ave Evansville, IN.
What is the asking price?
The asking price for this property is $995,000.
What are key features of this property?
This property features: 100% Occupied: Provides immediate, stable cash flow from day one.; Significant Value‑Add Upside: Below‑market average rents ($650) with potential to reach $887+.; Recent Capital Improvements: New roof and windows (2022) reduce near‑term capital expenditure risk.
