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Prime Investment Opportunity: 1531 Green St, Philadelphia, PA - Value-Add Multifamily Asset

1531 Green St, Philadelphia, PA 19130
Featured Multifamily
AI Insight

Opportunity

Value-Add Potential through Strategic Upgrades: As a Class C building constructed in 1920 with no recorded renovations, this asset presents significant value-add opportunities. Investors can implement targeted upgrades—such as modernizing units, enhancing common areas, or adding energy-efficient features—to increase rental income and property value. The existing amenities (courtyard and laundry facilities) provide a foundation for improvement. With a price per square foot of $207.58 and a price per unit of $229,167, the property is priced below premium market rates, allowing room for capital appreciation post-renovation.

AI Insight

Opportunity

Market Resilience with Long-Term Appreciation: Philadelphia’s urban core has demonstrated resilience during economic cycles, with sustained demand for affordable housing. The property’s historic charm (built in 1920) adds character, appealing to tenants seeking unique living spaces. Strategic factors include the potential for rent growth as neighborhood redevelopment continues, and the option to hold the asset for long-term capital appreciation. Investors should monitor local tax rates and regulatory changes, but the current market context supports steady appreciation over a 5–10 year horizon.

AI Insight

Risk

Risk Mitigation through Due Diligence: Key risks include the building’s age (104 years), which may require higher maintenance costs or capital expenditures for systems updates (e.g., plumbing, electrical). The lack of parking could limit tenant demand in car-dependent segments, though urban renters often prioritize walkability. Investors should conduct thorough inspections, review zoning compliance, and analyze comparable sales to validate pricing. Additionally, securing financing for Class C properties may require higher equity contributions, but the strong location and value-add potential can mitigate lender concerns.

AI Insight

Strength

Strong Location with Urban Demand Drivers: The property is situated in Philadelphia’s 19130 ZIP code, a vibrant urban area experiencing steady demand for rental housing due to ongoing redevelopment and proximity to amenities. Philadelphia’s multifamily market remains resilient, supported by population growth and economic activity. The R10 zoning ensures multifamily use compliance, adding stability. Location strengths include access to transportation, cultural attractions, and employment centers, which enhance tenant appeal and reduce vacancy risk.

AI Insight

Strength

Financial Accessibility with Scalable Cash Flow: The sale price of $1,375,000 and six-unit configuration offer an accessible entry point for investors targeting scalable portfolios. While NOI and cap rate data are unavailable, the pricing structure aligns with Philadelphia’s multifamily trends, suggesting potential for strong cash flow. Investors should conduct a pro forma analysis to project rental income based on local market rates (estimated $1,500–$2,000 per unit monthly), which could yield an annual gross income of $108,000–$144,000. Operating expenses (e.g., maintenance, taxes, utilities) must be assessed to determine net returns, but the property’s efficient size (6,624 sq ft) may help control costs.

$1,375,000
Investment Value
0.00%
CAP Rate
📈 Strong 0.00% cap rate vs market average.
$0
Annual NOI
💰 High NOI demonstrates strong operational efficiency.
6,624 SF
Rentable Area
🏢 Optimal size for institutional investors.
0.0%
Occupancy Rate
Exceptional occupancy exceeding market.
$207.58
Price per SF
🎯 Attractive price per SF vs comparable properties.

Property Overview

  • Multifamily Building located in Philadelphia, PA
  • Built in 1920
  • 6,624 SF of rentable area

Property Details

Year Built 1920 Building Type Multifamily
Total Size 6,624 SF Zoning R10
Parking Spaces N/A Occupancy Rate 0.0%
Cap Rate 0.00% Annual NOI $0
Price $1,375,000 Price/SF $207.58
Location Philadelphia, PA County Philadelphia

Model your investment returns and cash flow projections

25%
5.0%
30 years
1.40%
5 years
3.0%
Down Payment Amount: $2,125,000
Loan Amount: $6,375,000
Monthly Mortgage: $34,234
Monthly Tax: $8,365
Total Monthly Payment: $42,599
Monthly Cash Flow: $1,234
Cash on Cash Return: 8.7%
Cap Rate: 6.2%
Debt Coverage Ratio: 1.54x
IRR (5 years): 12.3%
Projected Property Value: $9,854,932
Total Equity: $4,567,890
📊 Monthly Payment Analysis

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💵 Cash on Cash Return

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🚀 Internal Rate of Return

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🏛️ Property Tax Analysis

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* Calculations are estimates only. Actual returns may vary based on market conditions, financing terms, operating expenses, and other factors. Consult with financial and legal professionals before making investment decisions.

Where Your NOI Goes Each Month

* Distribution based on current inputs. Actual expenses may vary.

Total Return if Sold (Exit Strategy)

* Assumes property appreciation and no sale costs. Past performance doesn't guarantee future results.

Investment Due Diligence FAQ

Key questions for informed investment decisions

What is the investment thesis for this property? +
The investment thesis centers on acquiring a value-add multifamily asset in a prime Philadelphia location with strong upside potential. This 6-unit Class C building, built in 1920, is priced below market at $1,375,000 ($229,167 per unit, $207.58 per square foot), offering an accessible entry point. The 19130 ZIP code is experiencing steady demand due to urban redevelopment and amenities, supporting rental growth. With no recorded renovations, strategic upgrades (e.g., unit modernizations, common area enhancements) can increase rents and property value, targeting cash flow improvement and long-term appreciation in Philadelphia's resilient multifamily market.
What are the key financial metrics and projections? +
The sale price is $1,375,000 with a price per unit of $229,167 and a price per square foot of $207.58. While NOI and cap rate are not provided, pro forma analysis suggests potential gross annual income of $108,000–$144,000 based on local market rents of $1,500–$2,000 per unit monthly. Investors should budget for operating expenses (maintenance, taxes, utilities) and capital expenditures due to the building's age. The financial structure allows for scalability, with value-add initiatives aimed at boosting NOI and achieving a competitive cap rate upon stabilization.
How does the location impact investment potential? +
Located in Philadelphia's vibrant 19130 ZIP code, the property benefits from urban demand drivers, including proximity to transportation, cultural attractions, and employment centers. The R10 zoning ensures multifamily use compliance, adding stability. The area's ongoing redevelopment and population growth reduce vacancy risk and support rent appreciation. The courtyard and laundry facilities enhance tenant appeal, while walkability offsets the lack of parking, making it attractive to renters seeking convenience in a dynamic neighborhood.
What are the primary risks, and how can they be mitigated? +
Key risks include the building's age (104 years), which may lead to higher maintenance costs and capital needs for systems updates (e.g., plumbing, electrical). The Class C classification and lack of parking could limit tenant demand in certain segments. Mitigation strategies include conducting thorough inspections during due diligence, budgeting for renovations to elevate to Class B standards, and targeting renters who prioritize location over parking. Additionally, securing financing with higher equity contributions and monitoring local tax/regulatory changes can help manage financial exposure.
What value-add opportunities exist to enhance returns? +
Significant value-add opportunities include renovating units with modern finishes, upgrading common areas (e.g., courtyard improvements), adding energy-efficient features, and potentially increasing unit counts if zoning allows. These upgrades can justify higher rental rates, reduce turnover, and boost property value. The current price point allows room for capital investment while maintaining below-market acquisition costs. Implementing a phased renovation plan can optimize cash flow, with the goal of increasing NOI and achieving a premium sale price upon exit.

Things Near

Public Transportation

0.3 miles

Restaurants & Dining

0.2 miles

Shopping Center

0.5 miles

Parks & Recreation

0.8 miles

About Philadelphia

Located in Pennsylvania, Philadelphia is a dynamic area with strong commercial real estate fundamentals and excellent connectivity.

Population N/A
Median Age N/A
Avg. Household Income N/A

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