$8,500,000
Investment Summary
- Monthly Cash Flow
- -$40,239
- Cap Rate
- 0.5%
- Cash-on-Cash Return
- -24.7%
- Debt Coverage Ratio
- 0.08
- Internal Rate of Return (5 years)
- -19.8%
Cash Flow
Net Operating Income (NOI) minus mortgage payments.
Calculation:
NOI - Mortgage Payments
Cap Rate (Market Value)
Capitalization Rate is a rate of return that compares the yearly Net Operating Income (NOI) to the market value.
Calculation:
NOI / Market Value
Cash-on-Cash Return (CoC)
Annual Cash Flow / Cash Invested
Calculation:
Annual cash flow divided by initial cash invested.
Debt Coverage Ratio (DCR)
Net Operating Income (NOI) divided by total debt payments.
Calculation:
NOI / Total Debt Payments
Internal Rate of Return (IRR)
A metric for assessing profitability over time. IRR is the discount rate at which the net present value (NPV) of all future cash flows (positive and negative) from an investment equals zero — including both periodic cash flow (such as rent) and a projected sale at the end of the holding period. It represents the expected annualized return, accounting for income, expenses, and the recovery of capital through a future sale.
Property Description
On the south side of Caxambas Court in Marco Island's prestigious Estates neighborhood, this exceptional three-story waterfront estate epitomizes luxury coastal living. Boasting 125 feet of deep-water frontage, the property offers direct Gulf access and panoramic southern views, further enhanced by a unique fourth-floor observation deck. Encompassing 6,370 square feet of air-conditioned space and totaling 11,679 square feet under roof, this residence features five bedrooms, an office, a theater, and five full and two half baths, all meticulously designed with the finest materials and craftsmanship. Inside, soaring coffered ceilings, intricate three-piece crown molding and travertine flooring create an atmosphere of refined elegance. The gourmet kitchen is a chef’s dream, equipped with custom wood cabinetry, granite countertops, dual center islands, a seven-seat breakfast bar and top-of-the-line JennAir appliances, including a six-burner gas range and double wall ovens. The great room features a mosaic tile accent wall, built-in gas fireplace and custom bookcases, seamlessly connecting to the expansive lanai through glass sliders. The owner's suite serves as a private sanctuary, offering a tray ceiling, walk-in closet and a spa-like en-suite bath with dual custom vanities, an open walk-in shower with multiple heads, a jetted soaking tub and dual water closets with a bidet. Each guest suite is thoughtfully appointed with tray ceilings, walk-in closets and en-suite baths, ensuring comfort and privacy for all. The state-of-the-art theater room, complete with a wet bar, surround sound and built-in projector cabinetry, provides an ideal space for entertainment. The exterior is equally impressive, featuring a fully fenced backyard, four balconies, impact-resistant doors and windows, and a stamped concrete circular driveway. The outdoor living area includes a heated saltwater pool with spa, an outdoor kitchen equipped with a Fire Magic gas grill and mini refrigerator, and a gas fire pit surrounded by a tranquil fountain. Boating enthusiasts will appreciate the private composite dock with a captain’s walk, two Hi-Tide boat lifts and a 40-foot slip with provisions for a 30,000-pound lift, offering unparalleled access to the Gulf. Modern conveniences abound, including a private elevator, in-ceiling speakers, a video security system, Honeywell 240V central vacuum, two Rinnai tankless water heaters, a Generac 48-kilowatt whole-home generator and a 1,000-gallon propane tank. The six-car air-conditioned garage is outfitted with built-in storage cabinets, a workbench and a gym area, catering to automotive enthusiasts and fitness aficionados. This remarkable estate seamlessly blends luxury, comfort and cutting-edge technology, offering an unparalleled coastal lifestyle in one of Marco Island’s exclusive enclaves.
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Location
Property Details
Parking
- Description: Attached, CircularDriveway, Covered, Driveway, Garage, Guest, Paved, TwoSpaces, GarageDoorOpener
- Details: Attached, Circular Driveway, Covered, Driveway, Garage, Guest, Paved, Garage Door Opener
- Garage Spaces: 6
- Spaces Total: 0
Bedroom Information
- # of Bedrooms: 5
Bathroom Information
- # of Baths (Full): 5
- # of Baths (Partial): 2
- # of Baths (Total): 7.0
Interior Features
- # of Rooms: 16
- # of Stories: 3
- Fireplace: Yes
Exterior Features
- Roof Material: Tile
- Pool: Yes
Land Information
- Land Use: Residential
- Land Use Subtype: Single Family Residential
Lot Information
- Parcel ID: 58112320002
- Lot Size: 0 sqft
Property Information
- Property Type: Single Family Residence
- Style: Multi Level, Other
- Year Built: 2011
Tax Information
- Annual Tax: $34,063
Utilities
- Water & Sewer: Public
- Heating: Central, Electric
- Cooling: Central Air, Ceiling Fan(s), Electric
Location
- County: Collier
Listing Details
Investment Summary
- Monthly Cash Flow
- -$40,239
- Cap Rate
- 0.5%
- Cash-on-Cash Return
- -24.7%
- Debt Coverage Ratio
- 0.08
- Internal Rate of Return (5 years)
- -19.8%
Cash Flow
Net Operating Income (NOI) minus mortgage payments.
Calculation:
NOI - Mortgage Payments
Cap Rate (Market Value)
Capitalization Rate is a rate of return that compares the yearly Net Operating Income (NOI) to the market value.
Calculation:
NOI / Market Value
Cash-on-Cash Return (CoC)
Annual Cash Flow / Cash Invested
Calculation:
Annual cash flow divided by initial cash invested.
Debt Coverage Ratio (DCR)
Net Operating Income (NOI) divided by total debt payments.
Calculation:
NOI / Total Debt Payments
Internal Rate of Return (IRR)
A metric for assessing profitability over time. IRR is the discount rate at which the net present value (NPV) of all future cash flows (positive and negative) from an investment equals zero — including both periodic cash flow (such as rent) and a projected sale at the end of the holding period. It represents the expected annualized return, accounting for income, expenses, and the recovery of capital through a future sale.
Purchase Details
Purchase PriceThe price paid for the property. Purchase price:
| $8,500,000 |
|---|---|
Amount FinancedThe amount of the purchase financed through a loan. Amount financed:
| -$6,800,000 |
Down paymentThe initial payment made towards the purchase. Down payment:
| $1,700,000 |
Closing CostsFees and expenses associated with purchasing a property, typically ranging from 2% to 5% of the home’s purchase price, paid at the end of a home purchase to cover services like lending, title transfer, and taxes. Closing costs:
| $255,000 |
Rehab CostsCosts incurred to repair or improve the property, including: roof, flooring, exterior siding, kitchen, exterior paint, bathrooms, etc. Rehab costs:
| $0 |
Initial Cash InvestedThe total initial cash invested in the property. Calculation:Down payment + Buying costs + Rehab costs Initial cash invested:
| $1,955,000 |
Square Feet (SQFT)The total square footage of the property. Square feet:
| 6,370 |
Cost Per Square FootCost per square foot of the property. Calculation:Purchase Price / Square Feet Cost per square foot:
| $1,334 |
Monthly Rent Per Square FootMonthly rent divided by the number of square feet. This ratio helps investors compare rental income efficiency across properties, markets, and unit sizes Calculation:Monthly Rent / Square Feet Monthly rent per square foot:
| $1.40 |
Financing Details
Loan AmountThe total sum of money borrowed from a lender to finance a property purchase. Calculation:Purchase Price - Down Payment
Loan amount:
| $6,800,000 |
|---|---|
Loan to Value Ratio (LTV)Loan amount divided by the market value of the property. Calculation:Loan Amount / Market Value
Loan to value ratio:
| 80.0% |
Loan TypeThe type of loan (e.g., fixed, adjustable).
Loan type:
| Amortizing |
TermThe loan repayment period in years.
Term:
| 30 years |
Interest RateThe percentage a lender charges on the borrowed amount of a loan, determining the cost of borrowing money.
Interest rate:
| 6.625% |
Principal & Interest (PI)The principal is the portion of the loan payment that reduces the loan balance. The interest is the lender's charge for borrowing money. Calculation:(P * r * (1 + r) ** n) / ((1 + r) ** n - 1) Where:
P = Loan amount (principal)
Principal & interest:
| $43,541 |
Property TaxesAnnual taxes levied by local governments on real estate properties. These taxes fund public services like schools, roads, and emergency services.
Property tax:
| $2,839 |
InsuranceThe costs for insurance coverage to protect against financial losses due to risks like fire, natural disasters, theft, liability, or tenant-related damages. Calculation:Assumes 7% of gross rental income, unless insurance rates are specified.
Insurance:
| $623 |
Private Mortgage Insurance (PMI)A fee that borrowers pay when they take out a conventional loan with a loan-to-value (LTV) ratio above 80%.
Private mortgage insurance (PMI):
| $0 |
Monthly PaymentThe fixed amount a borrower pays each month to repay a loan. It typically includes principal and interest (P&I) and may also cover property taxes, insurance, HOA fees, and PMI if escrowed. Monthly payment:
| $47,003 |
Operating Income
| % Rent | Monthly | Yearly | |
|---|---|---|---|
Gross RentThe total rental income received from tenants before deducting any expenses. Includes base rent, late fees, pet fees, parking fees, and other recurring charges.
Gross rent:
| $8,900 | $106,800 | |
Vacancy LossExpected loss of rent due to vacancies.
Vacancy loss:
(6%)
| 6% | -$534 | -$6,408 |
Operating IncomeGross rental income minus vacancy loss. Calculation:Gross rent - Vacancy loss
Operating income:
| $8,366 | $100,392 |
Operating Expenses
| % Rent | Monthly | Yearly | |
|---|---|---|---|
Property TaxesAnnual taxes levied by local governments on real estate properties. These taxes fund public services like schools, roads, and emergency services. | 32% | -$2,839 | -$34,063 |
InsuranceThe costs for insurance coverage to protect against financial losses due to risks like fire, natural disasters, theft, liability, or tenant-related damages. Calculation:Assumes 7% of gross rental income, unless insurance rates are specified. | 7% | -$623 | -$7,476 |
Property ManagementThe costs associated with hiring a property manager to handle the day-to-day operations of a rental property. Includes management fees, leasing fes, eviction fees, etc. Calculation:Assumes 8% of gross rental income. | 8% | -$712 | -$8,544 |
Repairs & MaintenanceOngoing costs for routine upkeep and minor fixes needed to keep a property in good working condition. Calculation:Assumes 5% of gross rental income. Varies by property age and condition. | 5% | -$445 | -$5,340 |
Capital ExpensesLarge, infrequent costs for major improvements or replacements, like a new roof, HVAC system, or appliances. Calculation:Assumes 5% of gross rental income. Varies by property age. | 5% | -$445 | -$5,340 |
HOA FeesRegular dues paid to a Homeowners Association for community maintenance, amenities, and management. Similar fees include: Condo Association Fees, Co-op Maintenance Fees, etc. | n/a | n/a | n/a |
Operating ExpensesRecurring costs required to maintain and manage a rental property, including property taxes, insurance, maintenance, repairs, utilities (if paid by the owner), property management fees, and other day-to-day expenses. Calculation:Insurance + Property Taxes + Property Management + Repairs & Maintenance + Capital Expenditures + HOA Fees | 57% | -$5,064 | -$60,763 |
Cash Flow
| Monthly | Yearly | |
|---|---|---|
Net Operating Income (NOI)The income generated from a property after deducting all operating expenses but before deducting mortgage payments, taxes, and capital expenditures. Calculation:Gross Operating Income - Operating Expenses
Net operating income:
| $3,302 | $39,624 |
Mortgage PaymentThe fixed amount a borrower pays each month to repay a loan. It typically includes principal and interest (P&I) and may also cover property taxes, insurance, HOA fees, and PMI if escrowed. | -$43,541 | -$522,492 |
Cash FlowNet Operating Income (NOI) minus mortgage payments. Calculation:NOI - Mortgage Payments | $40,239 | $482,868 |