210 Main St W

Ashland, WI 54806

$2,775,000C

None bd · None ba · — sqft · Built 1959 · MultiFamily · Active · 26 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $31,201/mo
• Mortgage (P&I): −$14,552
• Tax + insurance: −$4,625
• HOA: −$0
• Vac / Maint / Mgmt: −$6,552
• Net cashflow: $5,471/mo
• Annual: $65,657/yr
• Cap rate: 8.66%
• Cash-on-cash: 8.45%
• DSCR: 1.38
• 1% rule: 1.12%
• Cash to close: $777,000

Investor read

• This is a 37 × 1-bed/1-bath units multifamily listed at $2.77M. Condition is rated good.
• At list price, monthly cash flow is $5k ($66k/yr) — positive. Per door: $148/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($31k rent vs $2.77M).
• It's been on market 26 days — a 2% lower offer ($2.73M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $2.73M (1.5% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $19k of loan paydown is wiped out by about $83k of value loss. Plan a longer hold.
• Location reads 84/100 on livability (#37 in WI, #750 nationally) — a professional / high-income tenant draw. Strengths: cost of living A+, health & safety A+, commute A; Watch: employment F.
• Ashland School District (town): math 16% / reading 30% proficiency, ranked #325 of 342 in WI (top 95%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover.
• Zoned schools: Lake Superior Elementary (math 17% / reading 25%, grade F, #857 of 1,041 statewide, top 83%, 603 students, 61% FRL); Ashland Middle (math 15% / reading 33%, grade F, #325 of 383 statewide, top 85%, 398 students, 61% FRL); Ashland High (math 12% / reading 22%, grade F, #400 of 483 statewide, top 85%, 626 students, 56% FRL).
• Watch-outs: built in 1959 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 85 active listings in the ZIP; 2 comparable units currently listed for rent nearby; 30 units permitted in Ashland County in 2024 (0 in 5+ unit buildings).
• Ashland County population projected at -22% by 2050 — secular population decline; favor cash flow + early exit over multi-decade hold.
• 2 sale attempts with the ask held roughly flat each time — persistent listings suggest the price (not the market) is what's stuck; bring a comps-based counter.
• Cap rate 8.7% vs local median 3.5% in Ashland — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Questions for listing agent

• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1959 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
• What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
• How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.