Updated Furnished
For Sale
$989,500
8725 Southeast 91st Avenue, Happy Valley, OR 97086
Two furnished residences offer updated interiors, separate utility meters, and current insurance-housing leases.
Property Size4,000 SF
Price / SF$247.38
Days on Market439
Property Features for 8725 Southeast 91st Avenue
General Information
Standard status
Active
Size
4,000 SF
Total Parking Spaces
6
Property subtype
Multi Family
Zoning
r7
Additional Details
Utilities to Site
Yes
Subdividable
Yes
Taxes and HOA fees
Annual Taxes
$8,652
Amenities
2
Full Basement
Concrete Perimeter
Shingle
Cement Siding
Building Details
Year Built
1962
Listing Agency:
Russell Realty & Associates LLC
(503) 422-5970
Listed By:
Russ Petrusha
(503) 422-5970
Source:
Compass
Added: Jun 19, 2025
Changed: Aug 30
Last Checked: Aug 30 at 9:33PM
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 Russell Realty & Associates LLC
Investment Insights
Based on property information with market context.
This 4,000-square-foot duplex contains two furnished residences with updated interiors, including granite countertops and LPV flooring. The property was rebuilt in 2005 following a fire, with newer electrical, plumbing, windows, and siding. Each unit has separate water and electrical meters, and both are currently leased for insurance housing.
The property is located at 8725 Southeast 91st Avenue in Happy Valley, Oregon, and carries R7 zoning. Additional physical features include a full basement, concrete perimeter, shingle roofing, and cement siding. The source information also references partition documentation for the large lot, providing a potential path for further evaluation.
The property is located at 8725 Southeast 91st Avenue in Happy Valley, Oregon, and carries R7 zoning. Additional physical features include a full basement, concrete perimeter, shingle roofing, and cement siding. The source information also references partition documentation for the large lot, providing a potential path for further evaluation.
Key Highlights
- Two‑unit duplex with 4,000 SF of property size
- Both units furnished and leased for insurance housing
- Rebuilt in 2005 after a fire
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
$51,360
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
5.19%
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%
$1,027,200
$1.0M
Cap Rate 7%
$733,714
$733.7K
Cap Rate 9%
$570,667
$570.7K
Market Conditions
NOI Build-Up for 4,000 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
$98.4K $24.60/SF
− Vacancy
−$5.0K −$1.25/SF
EGI
$93.4K $23.35/SF
− OpEx
−$42.0K −$10.51/SF
NOI
$51.4K $12.84/SF
Area
Clackamas County, OR
Vacancy
5.10%
Lease Rate
$24.60 /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%
$1,027,200
Cap Rate 7%
$733,714
Cap Rate 9%
$570,667
Alternative Uses
Best Use
Apartment 5plus
$733.7K
$642.0K – $856.0K
NOI $51,360 @ 7.0% cap · market cap 5.19%
Second Best
Multifamily LT 5
$717.8K
$628.1K – $837.4K
NOI $50,244 @ 7.0% cap · market cap 5.08%
Theoretical Best
Office A
$1.08M
$944.7K – $1.26M
NOI $75,579 @ 7.0% cap · market cap 7.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
728
Businesses Nearby
Explore this area
Business Placement
Demographics for 97086, OR
32,612
Population
13,440
Households
2.4
Avg Household Size
39
Median Age
43%
College-Educated
95%
High-School Grad
10.5 sq mi
ZIP Area
3,106
Density / Sq Mi
$102,591
Median Household Income
$49,939
Median Earnings
$1,598
Median Rent
$655,700
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Duplex - Two furnished residences offer updated interiors, separate utility meters, and current insurance-housing leases.
Where is this duplex located?
The property is located at 8725 Southeast 91st Avenue Happy Valley, OR.
What is the asking price?
The asking price for this property is $989,500.
What are key features of this property?
This property features: Two‑unit duplex with 4,000 SF of property size; Both units furnished and leased for insurance housing; Rebuilt in 2005 after a fire
