Two-Unit
For Sale
$275,000
541 Davis St, Conway, AR 72034
The R-2A-zoned property occupies an oversized corner parcel in Conway’s Historical Area.
Property Size2,548 SF
Price / SF$107.93
Days on Market14
Property Features for 541 Davis St
General Information
Standard status
Active
Size
2,548 SF
Property subtype
Residential Income
Zoning
R-2A
Units
Unit Mix
2 x 2BR/1BA
Multifamily Units
2
Taxes and HOA fees
Annual Taxes
$2,152
Building Details
Year Built
1957
Buildings
1
Listing Agency:
Coldwell Banker Heritage Homes
(501) 825-7500
Listed By:
Justin Wammes
(504) 284-8699
Source:
Exprealty
Added: Sep 22
Changed: Sep 29
Last Checked: Oct 4 at 6:30PM
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 Coldwell Banker Heritage Homes
Investment Insights
Based on property information with market context.
Built in 1957, this duplex contains 2,548 square feet across two residential units. Each unit has two bedrooms and one bathroom. The property sits on an oversized corner lot in Conway’s Historical Area and carries R-2A zoning. The building is addressed at 541 and 543 Davis Street.
Key Highlights
- 2,548‑square‑foot duplex with two residential units
- Each unit has 2 bedrooms and 1 bathroom
- Built in 1957; zoned R‑2A
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
$17,139
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
6.23%
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%
$342,780
$342.8K
Cap Rate 7%
$244,843
$244.8K
Cap Rate 9%
$190,433
$190.4K
Market Conditions
NOI Build-Up for 2,548 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
$26.0K $10.20/SF
− Vacancy
−$1.5K −$0.59/SF
EGI
$24.5K $9.61/SF
− OpEx
−$7.3K −$2.88/SF
NOI
$17.1K $6.73/SF
Area
Faulkner County, AR
Vacancy
5.79%
Lease Rate
$10.20 /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%
$342,780
Cap Rate 7%
$244,843
Cap Rate 9%
$190,433
Alternative Uses
Best Use
Multifamily LT 5
$244.8K
$214.2K – $285.7K
NOI $17,139 @ 7.0% cap · market cap 6.23%
Second Best
Apartment 5plus
$218.8K
$191.5K – $255.3K
NOI $15,317 @ 7.0% cap · market cap 5.57%
Theoretical Best
Office A
$581.2K
$508.5K – $678.0K
NOI $40,682 @ 7.0% cap · market cap 14.79%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
2
Residential units
Location Intelligence
Trade Area within ½ mile
1,404
Businesses Nearby
Explore this area
Business Placement
Demographics for 72034, AR
47,873
Population
22,523
Households
2.1
Avg Household Size
33
Median Age
44%
College-Educated
94%
High-School Grad
47.9 sq mi
ZIP Area
999
Density / Sq Mi
$61,675
Median Household Income
$40,511
Median Earnings
$993
Median Rent
$250,000
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in South region
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Frequently Asked Questions
What type of property is this?
Duplex - The R-2A-zoned property occupies an oversized corner parcel in Conway’s Historical Area.
Where is this duplex located?
The property is located at 541 Davis St Conway, AR.
What is the asking price?
The asking price for this property is $275,000.
What are key features of this property?
This property features: 2,548‑square‑foot duplex with two residential units; Each unit has 2 bedrooms and 1 bathroom; Built in 1957; zoned R‑2A
