Norfolk Multifamily Investment
For Sale
$4,000,000
717 Guy Ave, Norfolk, VA 23505
32-unit apartment building in Norfolk, Virginia.
Property Size21,300 SF
Lot Size2.08 Acres
Days on Market127
Property Features for 717 Guy Ave
General Information
Standard status
Active
Size
21,300 SF
Lot size
2.08 Acres
Property subtype
Multifamily
Amenities
32 Units: A Mix of One- & Two-Bedroom
RENOVATED UNITS All interiors have been fully renovated with new cabinets, flooring, tiles and fresh paint
TRANSIT ORIENTED Easy access to I-64, I-264, I-564, and Granby Street
Building Details
Building Size
21,300 SF
Units
32
Listing Agency:
Hampton Roads Office
(202) 536-3719
Listed By:
Altay Uzun · License #License(s): VA: 0225214405
(202) 536-3719
Source:
Marcusmillichap
Added: Apr 8
Changed: Aug 8
Last Checked: Aug 8 at 3:29PM
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 Hampton Roads Office
Investment Insights
Based on property information with market context.
The property at 717 Guy Avenue, located in Norfolk, VA, presents a multifamily investment opportunity. Constructed in 1975, the building comprises thirty-two units situated on a 2.08-acre lot. The unit mix includes twenty-two one-bedroom, one-bathroom units and ten two-bedroom, one-bathroom units.
Key Highlights
- Thirty‑two total units offer significant investment potential.
- Mix of twenty‑two one‑bedroom/one‑bathroom and ten two‑bedroom/one‑bathroom units provides diverse tenant appeal.
- Located in Norfolk, VA.
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
$250,547
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
6.26%
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%
$5,010,940
$5.0M
Cap Rate 7%
$3,579,243
$3.6M
Cap Rate 9%
$2,783,856
$2.8M
Market Conditions
NOI Build-Up for 21,300 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
$480.5K $22.56/SF
− Vacancy
−$25.0K −$1.17/SF
EGI
$455.5K $21.39/SF
− OpEx
−$205.0K −$9.62/SF
NOI
$250.5K $11.76/SF
Area
Norfolk, VA
Vacancy
5.20%
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%
$5,010,940
Cap Rate 7%
$3,579,243
Cap Rate 9%
$2,783,856
Alternative Uses
Best Use
Apartment 5plus
$3.58M
$3.13M – $4.18M
NOI $250,547 @ 7.0% cap · market cap 6.26%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.52M
$3.95M – $5.27M
NOI $316,294 @ 7.0% cap · market cap 7.91%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
696
Businesses Nearby
Explore this area
Business Placement
Demographics for 23505, VA
27,785
Population
13,715
Households
2
Avg Household Size
32
Median Age
32%
College-Educated
91%
High-School Grad
6.6 sq mi
ZIP Area
4,210
Density / Sq Mi
$55,678
Median Household Income
$40,814
Median Earnings
$1,279
Median Rent
$318,600
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - 32-unit apartment building in Norfolk, Virginia.
Where is this apartment building located?
The property is located at 717 Guy Ave Norfolk, VA.
What is the asking price?
The asking price for this property is $4,000,000.
What are key features of this property?
This property features: Thirty‑two total units offer **significant investment potential**.; Mix of twenty‑two one‑bedroom/one‑bathroom and ten two‑bedroom/one‑bathroom units provides **diverse tenant appeal**.; Located in Norfolk, VA.
