Two-Level Residential Income
For Sale
$699,000
740 FAIRMONT STREET NW Unit A, Washington, DC 20001
Flexible condominium design includes a private lower-level suite with separate living, sleeping, and kitchen areas.
Property Size1,379 SF
Days on Market25
Property Features for 740 FAIRMONT STREET NW Unit A
General Information
Standard status
Active
Size
1,379 SF
Property subtype
Unit/Flat/Apartment
Units
Unit Mix
1 x 3BR/3BA
Multifamily Units
1
Additional Details
Public Transit
Yes
Taxes and HOA fees
Annual Taxes
$5,664
Amenities
private outdoor deck
stacked washer and dryer
private entrance
Building Details
Building Size
1,379 SF
Year Built
1995
Listing Agency:
Corcoran McEnearney
(301) 767-7545
Listed By:
John Wallace Shorb Jr.
(301) 767-7545
Source:
Kwcapitalproperties
Added: Jul 29
Changed: Aug 22
Last Checked: Aug 22 at 11:34AM
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 Corcoran McEnearney
Investment Insights
Based on property information with market context.
This 1995-built condominium spans two levels and offers three bedrooms and three full bathrooms. The main floor combines an open living and kitchen area with two bedrooms, two bathrooms, and a private outdoor deck. A private entrance leads to the lower level, which includes its own living room, bedroom, full bathroom, kitchenette with refrigerator, stacked washer and dryer, and dedicated HVAC system. The layout can function as one residence or provide separation between the two floors.
The property is located at 740 Fairmont Street NW in Washington, DC, on a quiet one-way residential street between the U Street Corridor and Columbia Heights. Both nearby Metro stations are approximately half a mile away, with access to Shaw, Howard University, Georgia Avenue, and the 14th Street corridor. Whole Foods, Target, Lidl, and Banneker Recreation Center are also identified as nearby conveniences and amenities.
The property is located at 740 Fairmont Street NW in Washington, DC, on a quiet one-way residential street between the U Street Corridor and Columbia Heights. Both nearby Metro stations are approximately half a mile away, with access to Shaw, Howard University, Georgia Avenue, and the 14th Street corridor. Whole Foods, Target, Lidl, and Banneker Recreation Center are also identified as nearby conveniences and amenities.
Key Highlights
- Two‑level condominium with 3 bedrooms and 3 full bathrooms
- Lower level includes a private entrance, living room, bedroom, bathroom, kitchenette, laundry, and dedicated HVAC
- Main level features an open living area, kitchen, two bedrooms, two bathrooms, and private outdoor deck
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
$22,913
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
3.28%
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%
$458,260
$458.3K
Cap Rate 7%
$327,329
$327.3K
Cap Rate 9%
$254,589
$254.6K
Market Conditions
NOI Build-Up for 1,379 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
$43.9K $31.80/SF
− Vacancy
−$2.2K −$1.59/SF
EGI
$41.7K $30.21/SF
− OpEx
−$18.7K −$13.59/SF
NOI
$22.9K $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%
$458,260
Cap Rate 7%
$327,329
Cap Rate 9%
$254,589
Alternative Uses
Best Use
Apartment 5plus
$327.3K
$286.4K – $381.9K
NOI $22,913 @ 7.0% cap · market cap 3.28%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$709.3K
$620.7K – $827.5K
NOI $49,652 @ 7.0% cap · market cap 7.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
6,541
Businesses Nearby
Explore this area
Business Placement
Demographics for 20001, DC
49,040
Population
26,728
Households
1.8
Avg Household Size
32
Median Age
78%
College-Educated
95%
High-School Grad
2.0 sq mi
ZIP Area
24,520
Density / Sq Mi
$138,730
Median Household Income
$94,675
Median Earnings
$2,464
Median Rent
$844,500
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income property - Flexible condominium design includes a private lower-level suite with separate living, sleeping, and kitchen areas.
Where is this residential income property located?
The property is located at 740 FAIRMONT STREET NW Unit A Washington, DC.
What is the asking price?
The asking price for this property is $699,000.
What are key features of this property?
This property features: Two‑level condominium with 3 bedrooms and 3 full bathrooms; Lower level includes a private entrance, living room, bedroom, bathroom, kitchenette, laundry, and dedicated HVAC; Main level features an open living area, kitchen, two bedrooms, two bathrooms, and private outdoor deck
