Fully Renovated Three-Unit Income
For Sale
$715,000
5038 N 18TH Avenue, Phoenix, AZ 85015
Three renovated units include a main house and duplex, leased to a single tenant under a five-year NNN structure.
Property Size2,276 SF
Price / SF$314.15
Days on Market21
Property Features for 5038 N 18TH Avenue
General Information
Standard status
Active
Size
2,276 SF
Property subtype
Multi Family
Additional Details
Highway Access
Yes
Multifamily Units
3
Taxes and HOA fees
Annual Taxes
$1,615
Building Details
Year Built
1984
Tenancy
Single
Listing Agency:
Gerchick Real Estate
(602) 688-9279
Listed By:
Linda S Gerchick · License #BR114848000
(602) 688-9279
Source:
Exitrealty
Added: Jul 25
Changed: Aug 13
Last Checked: Aug 13 at 8:17AM
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 Gerchick Real Estate
Investment Insights
Based on property information with market context.
This fully renovated three-unit income property is configured as a 899-square-foot main house and a 1,377-square-foot duplex, totaling approximately 2,276 square feet across three units. The rehabilitation includes new luxury vinyl plank flooring, modern baseboards, white vinyl windows, interior and exterior paint, remodeled kitchens with white shaker cabinets, quartz countertops, and stainless-steel appliances. Improvements also include updated bathrooms, new plumbing fixtures, electrical upgrades, recessed lighting, ceiling fans, coded entry hardware, and Wi-Fi-enabled thermostats. Additional work includes laundry-related improvements, exterior repairs, new landscaping rock, and the addition of a third bedroom to each unit.
The property is located at 5038 N 18th Avenue in Phoenix, positioned just one block from the Valley Metro light rail. The 19th Avenue/Camelback Road station and park-and-ride facility are approximately 0.2 miles away. The area provides convenient access to neighborhood services along nearby commercial corridors and bus routes along 19th Avenue and Camelback Road, with Interstate 17 approximately one mile west for regional connectivity.
For sale, the property is structured to be leased to a single tenant under a new five-year NNN lease. Tenant responsibility includes 100% of operating expenses, including real estate taxes, property insurance, utilities, maintenance, repairs, and other customary property-related expenses.
The property is located at 5038 N 18th Avenue in Phoenix, positioned just one block from the Valley Metro light rail. The 19th Avenue/Camelback Road station and park-and-ride facility are approximately 0.2 miles away. The area provides convenient access to neighborhood services along nearby commercial corridors and bus routes along 19th Avenue and Camelback Road, with Interstate 17 approximately one mile west for regional connectivity.
For sale, the property is structured to be leased to a single tenant under a new five-year NNN lease. Tenant responsibility includes 100% of operating expenses, including real estate taxes, property insurance, utilities, maintenance, repairs, and other customary property-related expenses.
Key Highlights
- Fully renovated 3‑unit income property at 5038 N 18th Avenue, Phoenix (Alhambra), built in 1984.
- Layout includes a 899‑SF main house plus a 1,377‑SF duplex, totaling approximately 2,276 SF across three units.
- Renovations include new luxury vinyl plank flooring, white vinyl windows, interior/exterior paint, remodeled kitchens, updated bathrooms, and electrical/plumbing upgrades.
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
$29,810
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
4.17%
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%
$596,200
$596.2K
Cap Rate 7%
$425,857
$425.9K
Cap Rate 9%
$331,222
$331.2K
Market Conditions
NOI Build-Up for 2,276 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
$45.1K $19.80/SF
− Vacancy
−$2.5K −$1.09/SF
EGI
$42.6K $18.71/SF
− OpEx
−$12.8K −$5.61/SF
NOI
$29.8K $13.10/SF
Area
Phoenix, AZ
Vacancy
5.50%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
30.00%
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%
$596,200
Cap Rate 7%
$425,857
Cap Rate 9%
$331,222
Alternative Uses
Best Use
Multifamily LT 5
$425.9K
$372.6K – $496.8K
NOI $29,810 @ 7.0% cap · market cap 4.17%
Second Best
Apartment 5plus
$379.2K
$331.8K – $442.4K
NOI $26,546 @ 7.0% cap · market cap 3.71%
Theoretical Best
Office A
$689.4K
$603.2K – $804.3K
NOI $48,259 @ 7.0% cap · market cap 6.75%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
Single-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
813
Businesses Nearby
Explore this area
Business Placement
Demographics for 85015, AZ
41,436
Population
17,889
Households
2.3
Avg Household Size
33
Median Age
25%
College-Educated
78%
High-School Grad
4.9 sq mi
ZIP Area
8,456
Density / Sq Mi
$52,585
Median Household Income
$36,456
Median Earnings
$1,227
Median Rent
$312,600
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?
Triplex - Three renovated units include a main house and duplex, leased to a single tenant under a five-year NNN structure.
Where is this triplex located?
The property is located at 5038 N 18TH Avenue Phoenix, AZ.
What is the asking price?
The asking price for this property is $715,000.
What are key features of this property?
This property features: Fully renovated 3‑unit income property at 5038 N 18th Avenue, Phoenix (Alhambra), built in 1984.; Layout includes a 899‑SF main house plus a 1,377‑SF duplex, totaling approximately 2,276 SF across three units.; Renovations include new luxury vinyl plank flooring, white vinyl windows, interior/exterior paint, remodeled kitchens, updated bathrooms, and electrical/plumbing upgrades.
