Vacant Two-Unit Property with
For Sale
$350,000
Pending
816 Melvin Court, Madison, WI 53704
Both units are offered vacant, with renovation needs and a detached garage for additional utility.
Property Size1,700 SF
Days on Market285
Property Features for 816 Melvin Court
General Information
Standard status
Pending
Size
1,700 SF
Property subtype
Multi Family / 2 flat-up and down
Zoning
SR-V1
Property Condition
Severity
Repairs Needed
Evidence
this one needs work
Additional Details
Multifamily Units
2
Taxes and HOA fees
Annual Taxes
$5,089
Amenities
Poured concrete foundatn
Natural Gas
Radiant
Personal property in the garage WILL NOT CONVEY with the real estate.
Refrigerator x 2. Stove x 1. Dishwasher x 1. Washer x 1. Dryer x 1.
1
2
Vinyl
Building Details
Year Built
1955
Units
2
Listing Agency:
Wisco Real Estate Sales
(443) 974-7677
Listed By:
Gordon Stebbings · License #59693-90
(443) 974-7677
Source:
Compass
Added: Nov 18, 2025
Changed: Aug 29
Last Checked: Aug 29 at 10:56PM
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 Wisco Real Estate Sales
Investment Insights
Based on property information with market context.
This two-unit residential property was built in 1955 and is being offered vacant, allowing the next owner to address the existing renovation needs without tenant turnover. The building has a poured concrete foundation, vinyl exterior, natural gas service, and radiant heating. A detached garage is included with the property.
The interior includes two refrigerators, one stove, one dishwasher, one washer, and one dryer. Personal property stored in the garage will not convey with the real estate. The property is located at 816 Melvin Court in Madison, Wisconsin, and is zoned SR-V1.
The interior includes two refrigerators, one stove, one dishwasher, one washer, and one dryer. Personal property stored in the garage will not convey with the real estate. The property is located at 816 Melvin Court in Madison, Wisconsin, and is zoned SR-V1.
Key Highlights
- Two‑unit residential property with both units delivered vacant
- Detached garage included with the real estate
- Built in 1955
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
$22,502
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
6.43%
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%
$450,040
$450.0K
Cap Rate 7%
$321,457
$321.5K
Cap Rate 9%
$250,022
$250.0K
Market Conditions
NOI Build-Up for 1,700 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
$33.7K $19.80/SF
− Vacancy
−$1.5K −$0.89/SF
EGI
$32.1K $18.91/SF
− OpEx
−$9.6K −$5.67/SF
NOI
$22.5K $13.24/SF
Area
Madison, WI
Vacancy
4.50%
Lease Rate
$19.80 /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%
$450,040
Cap Rate 7%
$321,457
Cap Rate 9%
$250,022
Alternative Uses
Best Use
Multifamily LT 5
$321.5K
$281.3K – $375.0K
NOI $22,502 @ 7.0% cap · market cap 6.43%
Second Best
Apartment 5plus
$297.9K
$260.7K – $347.6K
NOI $20,853 @ 7.0% cap · market cap 5.96%
Theoretical Best
Office A
$496.6K
$434.5K – $579.4K
NOI $34,762 @ 7.0% cap · market cap 9.93%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Residential units
Location Intelligence
Trade Area within ½ mile
492
Businesses Nearby
Explore this area
Business Placement
Demographics for 53704, WI
47,066
Population
22,740
Households
2.1
Avg Household Size
38
Median Age
49%
College-Educated
96%
High-School Grad
21.9 sq mi
ZIP Area
2,149
Density / Sq Mi
$75,007
Median Household Income
$47,665
Median Earnings
$1,231
Median Rent
$289,000
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Duplex - Both units are offered vacant, with renovation needs and a detached garage for additional utility.
Where is this duplex located?
The property is located at 816 Melvin Court Madison, WI.
What is the asking price?
The asking price for this property is $350,000.
What are key features of this property?
This property features: Two‑unit residential property with both units delivered vacant; Detached garage included with the real estate; Built in 1955
