Portland, OR 97210|Multifamily|6 units|Built 1962|4,800 sq ft
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This is a well-priced 6-unit in one of Portland's strongest rental submarkets. Above-market cap rate with stable tenant demand and room for rent optimization. The numbers work at asking price — rare in this corridor.
| Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | |
|---|---|---|---|---|---|
| Gross Rent | $100,800 | $103,824 | $106,939 | $110,147 | $113,451 |
| Vacancy Loss (5%) | ($5,040) | ($5,191) | ($5,347) | ($5,507) | ($5,673) |
| Effective Gross Income | $95,760 | $98,633 | $101,592 | $104,640 | $107,779 |
| Operating Expenses | ($22,776) | ($23,232) | ($23,696) | ($24,170) | ($24,653) |
| NOI | $72,984 | $75,401 | $77,896 | $80,469 | $83,125 |
| Debt Service | ($39,984) | ($39,984) | ($39,984) | ($39,984) | ($39,984) |
| Cash Flow | $33,000 | $35,417 | $37,912 | $40,485 | $43,141 |
| Cash-on-Cash Return | 19.3% | 20.7% | 22.1% | 23.6% | 25.2% |
| Estimated Equity | $184,950 | $198,924 | $213,177 | $227,716 | $242,545 |
Assumes 3% annual rent growth, 2% annual expense growth, 5% vacancy reserve, 2% annual appreciation.
The Nob Hill / Northwest District corridor remains one of Portland's tightest rental markets. Walkability, proximity to downtown, and limited new supply have kept vacancy under 5% for six consecutive quarters. Rent growth has outpaced the metro average, driven by demand from young professionals priced out of Pearl District.
If this property were added to a portfolio of 3 existing properties, Freehold estimates it would increase blended portfolio IRR by +0.8% and reduce geographic concentration risk. The Portland market adds Pacific Northwest diversification with counter-cyclical rent dynamics relative to Sun Belt exposure.
See full portfolio impact analysis with Freehold OwnThis is already a strong deal. Negotiate closing costs or request a rate buydown to push cash-on-cash above 10%.
Market rents in Nob Hill are trending +4.2% YoY. If current rents are below $1,450/unit, you’re leaving $300/mo on the table across 6 units.