Penthouse Residential Income
For Sale
$899,900
Pending
523 MONTANA AVENUE NE Unit 525A, Washington, DC 20017
Condominium penthouse with expansive outdoor living, dedicated parking, storage, and high-performance energy-efficient systems.
Property Size1,967 SF
Days on Market55
Property Features for 523 MONTANA AVENUE NE Unit 525A
General Information
Standard status
Pending
Size
1,967 SF
Total Parking Spaces
1
Property subtype
Unit/Flat/Apartment
Units
Unit Mix
1 x 3BR/3.5BA
Multifamily Units
1
Amenities
private entrance
rooftop deck
balcony
hot tub
outdoor shower
in-unit washer/dryer
smart thermostat
Building Details
Building Size
1,967 SF
Year Built
2019
Listing Agency:
Compass
(202) 595-5757
Listed By:
Andrew Riguzzi · License #SP98364747
(202) 595-5757
Source:
Barnesrealestatecompany
Added: Jul 8
Changed: Aug 9
Last Checked: Aug 8 at 9:18AM
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 Compass
Investment Insights
Based on property information with market context.
This 2,400 SF condominium penthouse offers 3 bedrooms, 3.5 bathrooms, separate living and dining areas, a den or sitting room, and hardwood flooring throughout. Large windows, custom shades, a living-room skylight, recessed LED lighting, and a kitchen with a quartz waterfall island, professional stainless steel appliances, floor-to-ceiling cabinetry, and a marble-tile backsplash define the interior. The primary suite includes a walk-in closet with Elfa storage, while the unit also has a full-size energy-efficient washer and dryer, additional storage, and a utility closet.
Outdoor space includes a 1,000 SF rooftop deck with panoramic city views, a built-in grill and prep area, refrigerator, hot tub, outdoor shower, furnished dining and lounge areas, motorized awnings, and a powder bath. Two balconies add further exterior space, including one with a gas grill. The property includes 1 parking space, secured storage, and pre-wiring for an EV charger. Built in 2019, the four-home building features private entrances, triple-pane Low-E windows, energy-efficient HVAC with ERV, spray-foam insulation, sound-attenuating construction, and LED lighting.
Outdoor space includes a 1,000 SF rooftop deck with panoramic city views, a built-in grill and prep area, refrigerator, hot tub, outdoor shower, furnished dining and lounge areas, motorized awnings, and a powder bath. Two balconies add further exterior space, including one with a gas grill. The property includes 1 parking space, secured storage, and pre-wiring for an EV charger. Built in 2019, the four-home building features private entrances, triple-pane Low-E windows, energy-efficient HVAC with ERV, spray-foam insulation, sound-attenuating construction, and LED lighting.
Key Highlights
- 2,400 SF penthouse with 3 bedrooms and 3.5 bathrooms
- 1,000 SF rooftop deck with panoramic city views
- Two balconies, including one with gas grill and motorized awning
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
$39,877
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
4.43%
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%
$797,540
$797.5K
Cap Rate 7%
$569,671
$569.7K
Cap Rate 9%
$443,078
$443.1K
Market Conditions
NOI Build-Up for 2,400 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
$76.3K $31.80/SF
− Vacancy
−$3.8K −$1.59/SF
EGI
$72.5K $30.21/SF
− OpEx
−$32.6K −$13.59/SF
NOI
$39.9K $16.62/SF
Area
Washington, DC
Vacancy
5.00%
Lease Rate
$31.80 /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%
$797,540
Cap Rate 7%
$569,671
Cap Rate 9%
$443,078
Alternative Uses
Best Use
Apartment 5plus
$569.7K
$498.5K – $664.6K
NOI $39,877 @ 7.0% cap · market cap 4.43%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.23M
$1.08M – $1.44M
NOI $86,414 @ 7.0% cap · market cap 9.60%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
1,827
Businesses Nearby
Explore this area
Business Placement
Demographics for 20017, DC
20,293
Population
9,252
Households
2.2
Avg Household Size
37
Median Age
59%
College-Educated
92%
High-School Grad
2.2 sq mi
ZIP Area
9,224
Density / Sq Mi
$101,543
Median Household Income
$74,399
Median Earnings
$1,793
Median Rent
$686,400
Median Home Value
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Residential income property - Condominium penthouse with expansive outdoor living, dedicated parking, storage, and high-performance energy-efficient systems.
Where is this residential income property located?
The property is located at 523 MONTANA AVENUE NE Unit 525A Washington, DC.
What is the asking price?
The asking price for this property is $899,900.
What are key features of this property?
This property features: 2,400 SF penthouse with 3 bedrooms and 3.5 bathrooms; 1,000 SF rooftop deck with panoramic city views; Two balconies, including one with gas grill and motorized awning
