Ground-Floor Residential Income
For Sale
$195,000
5525 E THOMAS Road R11, Phoenix, AZ 85018
The condo includes access to a heated pool, spa, fitness room, and clubhouse.
Property Size796 SF
Days on Market14
Property Features for 5525 E THOMAS Road R11
General Information
Standard status
Active
Size
796 SF
Property subtype
Apartment
Units
Unit Mix
1 x 1BR/1BA
Multifamily Units
1
Taxes and HOA fees
Annual Taxes
$537
Amenities
walk-in closet
heated pool
spa
fitness room
clubhouse
Building Details
Building Size
796 SF
Year Built
1974
Listing Agency:
Private House
Listed By:
Jason Wolf
(602) 793-3779
Source:
Alexiabertsatos
Added: Sep 19
Changed: Sep 29
Last Checked: Oct 1 at 7:34PM
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 Private House
Investment Insights
Based on property information with market context.
This ground-floor condo has one bedroom and one bathroom, with a walk-in closet in the bedroom. The community offers a heated pool, spa, fitness room, and clubhouse for resident use. The property was built in 1974.
Located in the Lower Arcadia area of Phoenix, the condo is described as minutes from Sky Harbor Airport, Old Town Scottsdale, Tempe, and Downtown Phoenix.
Located in the Lower Arcadia area of Phoenix, the condo is described as minutes from Sky Harbor Airport, Old Town Scottsdale, Tempe, and Downtown Phoenix.
Key Highlights
- One‑bedroom, one‑bathroom condo
- Ground‑floor unit with a walk‑in closet
- Community amenities include a heated pool, spa, fitness room, and clubhouse
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
$9,284
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
4.76%
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%
$185,680
$185.7K
Cap Rate 7%
$132,629
$132.6K
Cap Rate 9%
$103,156
$103.2K
Market Conditions
NOI Build-Up for 796 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
$18.0K $22.56/SF
− Vacancy
−$1.1K −$1.35/SF
EGI
$16.9K $21.21/SF
− OpEx
−$7.6K −$9.54/SF
NOI
$9.3K $11.66/SF
Area
Phoenix, AZ
Vacancy
6.00%
Lease Rate
$22.56 /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%
$185,680
Cap Rate 7%
$132,629
Cap Rate 9%
$103,156
Alternative Uses
Best Use
Apartment 5plus
$132.6K
$116.1K – $154.7K
NOI $9,284 @ 7.0% cap · market cap 4.76%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$241.1K
$211.0K – $281.3K
NOI $16,878 @ 7.0% cap · market cap 8.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
404
Businesses Nearby
Explore this area
Business Placement
Demographics for 85018, AZ
37,944
Population
19,487
Households
1.9
Avg Household Size
40
Median Age
57%
College-Educated
92%
High-School Grad
15.1 sq mi
ZIP Area
2,513
Density / Sq Mi
$87,637
Median Household Income
$58,555
Median Earnings
$1,411
Median Rent
$805,800
Median Home Value
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Frequently Asked Questions
What type of property is this?
Residential income property - The condo includes access to a heated pool, spa, fitness room, and clubhouse.
Where is this residential income property located?
The property is located at 5525 E THOMAS Road R11 Phoenix, AZ.
What is the asking price?
The asking price for this property is $195,000.
What are key features of this property?
This property features: One‑bedroom, one‑bathroom condo; Ground‑floor unit with a walk‑in closet; Community amenities include a heated pool, spa, fitness room, and clubhouse
