Corner-Lot Multifamily
For Sale
$570,000
A-5005 Delano St, Houston, TX 77003
Located near downtown and the Medical Center with occupants remaining in two units.
Property Size4,620 SF
Price / SF$123.38
Days on Market79
Property Features for A-5005 Delano St
General Information
Standard status
Active
Size
4,620 SF
Property subtype
Residential Income
Taxes and HOA fees
Annual Taxes
$12,888
Listing Agency:
Luxely Real Estate
Listed By:
Jonathan Layton · License #0537860
(281) 357-9887
Source:
Exprealty
Added: Jun 24
Changed: Sep 7
Last Checked: Sep 9 at 8:41PM
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 Luxely Real Estate
Investment Insights
Based on property information with market context.
This multifamily property contains 4,620 square feet and is positioned on a corner lot. The sale includes two units with occupants remaining, requiring coordination around those occupied residences.
The property is located near downtown and the Medical Center in Houston. Bedroom and bathroom totals should be independently verified by the purchasing party before relying on them for underwriting or marketing decisions.
The property is located near downtown and the Medical Center in Houston. Bedroom and bathroom totals should be independently verified by the purchasing party before relying on them for underwriting or marketing decisions.
Key Highlights
- 4,620‑square‑foot multifamily property
- Situated on a corner lot
- Near downtown Houston
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
$52,341
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
9.18%
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%
$1,046,820
$1.0M
Cap Rate 7%
$747,729
$747.7K
Cap Rate 9%
$581,567
$581.6K
Market Conditions
NOI Build-Up for 4,620 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
$101.5K $21.96/SF
− Vacancy
−$6.3K −$1.36/SF
EGI
$95.2K $20.60/SF
− OpEx
−$42.8K −$9.27/SF
NOI
$52.3K $11.33/SF
Area
Houston, TX
Vacancy
6.20%
Lease Rate
$21.96 /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%
$1,046,820
Cap Rate 7%
$747,729
Cap Rate 9%
$581,567
Alternative Uses
Best Use
Apartment 5plus
$747.7K
$654.3K – $872.4K
NOI $52,341 @ 7.0% cap · market cap 9.18%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.19M
$1.04M – $1.39M
NOI $83,160 @ 7.0% cap · market cap 14.59%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,701
Businesses Nearby
Explore this area
Business Placement
Demographics for 77003, TX
11,874
Population
6,201
Households
1.9
Avg Household Size
36
Median Age
49%
College-Educated
93%
High-School Grad
2.7 sq mi
ZIP Area
4,398
Density / Sq Mi
$88,837
Median Household Income
$63,831
Median Earnings
$1,562
Median Rent
$363,000
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?
Multifamily property - Located near downtown and the Medical Center with occupants remaining in two units.
Where is this multifamily property located?
The property is located at A-5005 Delano St Houston, TX.
What is the asking price?
The asking price for this property is $570,000.
What are key features of this property?
This property features: 4,620‑square‑foot multifamily property; Situated on a corner lot; Near downtown Houston
