Older but in better location vs new

[Lisa Troxel]

I am looking at a 10 plex (2 fourplexes and a duplex) in the an older, built out part of town 11/2 miles from the university built in 96 with a cap rate of 6.1% and a sales price of 650. The other project is new, granite counter tops, garages but in an over built area with a 5% cap rate and the development of 21 four plexes are all being offered for $300 - short sale. I am torn between the more established location with the older buildings and the nicer new buildings. Should I consider the raw land value? Help!