13901 Grandboro Ln

Grandview, MO 64030

$9,600,000C+

None bd · 18997.0 ba · 4,944 sqft · Built 1974 · MultiFamily · Pending · 106 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $112,926/mo
• Mortgage (P&I): −$50,343
• Tax + insurance: −$11,901
• HOA: −$0
• Vac / Maint / Mgmt: −$23,714
• Net cashflow: $26,967/mo
• Annual: $323,610/yr
• Cap rate: 9.66%
• Cash-on-cash: 12.04%
• DSCR: 1.54
• 1% rule: 1.18%
• Cash to close: $2,688,000

Investor read

• This is a 121 × 1-bed/1.5-bath units multifamily listed at $9.60M.
• At list price, monthly cash flow is $27k ($324k/yr) — positive. Per door: $223/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($113k rent vs $9.60M).
• It's been on market 106 days — a 9% lower offer ($8.74M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $8.74M (9.0% below list) — sets the bar for market timing.
• Local home prices are declining (-3.0%/yr); year-one equity from $66k of loan paydown is wiped out by about $288k of value loss. Plan a longer hold.
• Location reads 61/100 on livability (#454 in MO) — a middle-class / working-renter tenant base. Strengths: cost of living A+, housing A+; Watch: schools D, employment D, crime F.
• Grandview C-4 (suburban): math 17% / reading 32% proficiency, ranked #284 of 324 in MO (top 88%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 65% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents rising fast (+6.1%/yr); 116 active listings in the ZIP; 4,002 units permitted in Jackson County in 2024 (2,271 in 5+ unit buildings).
• Jackson County population projected at +4% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• At projected returns (-3.0% appreciation + 6.1% rent growth), your $2.69M cash investment doubles in ~8 years — after that, you're playing with house money.
• Cap rate 9.7% vs local median 5.0% in Grandview — 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.
• At $112,926/mo this rent would consume 2546% of the median local household income ($53k/yr) (locally 1449% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Questions for listing agent

• It's been on market 106 days. Have you received any prior offers? Is the seller open to a 9% concession, seller financing, or rate buy-down credit?
• 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 1974 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?