Regal Heights detached on oversized lot with three kitchens and separate-entrance basement
Detached Corso Italia home with three kitchens, separate entrances on all floors, and a finished basement suite ready for income conversion. Listed at $1,999,900 with a path to multi-unit NOI rather than current-state cash flow.
Anatoli Chtcherbatov
Analyst · Sutton Group Admiral Realty
List price
$1,999,900
Cap rate
+0.25%
Est. monthly rent
$3,350
Source: comparables_widened
Est. net spread
+$456K
6mo hold
Annualized ROI
+45%
preliminary
Section · Why this passed our floor
What lifts the math here
Current cap
0.25% on the existing single-unit rent. The thesis is the income uplift after the conversion is complete, not today's number.
Projected post-conversion spread
$455,727 estimated over a 6-month hold using default market reno costs and the underwritten rent source.
Recommended leverage
100% down to reach neutral or positive carry during the conversion window.
Rent backed by
Estimate sourced from city-wide comparables, not a CMHC fallback.
Every property published on 6Yield clears a multi-stage screen — universal financial floor, per-tier quality gate, and an editorial review on listing evidence. These bullets summarize the specific facts that cleared this property’s tier. Estimates only; not financial advice.
Fix-and-flip projection
The spread, before the buy-and-hold math.
Preliminary · adjust scope & uplift
Renovation scope
Projection
Preliminary estimate. Renovation costs use 6Yield default per-sqft figures. Post-renovation value is modeled as a multiple of list price — replace with comparable post-renovation sales for higher precision. Carrying costs include property tax, condo fees if any, and insurance; financing costs not yet modeled.
Section · Buy-and-hold backup
If you held instead. The carrying math, side by side.
Each column shows the actual monthly cash flow and cash-on-cash return at that leverage. Click a column for the full breakdown.
Acquisition
| Down payment | $699,965 |
| Mortgage principal | $1,299,935 |
| Land transfer tax | $29,999 |
| Closing costs | $29,999 |
| Total acquisition | $759,962 |
Monthly cash flow
| Estimated rent | +$3,350 |
| Operating expenses | -$2,935 |
| Mortgage payment | -$7,592 |
| Net cash flow | -$7,177/mo |
Expense breakdown
| Property tax | $0/mo |
| Vacancy allowance | $168/mo |
| Maintenance reserve | $1,667/mo |
| Insurance | $833/mo |
| Property management | $268/mo |
Calculated at 4.99% mortgage over 25 years. Rent estimated from comparable rentals (n=24).
Breakeven
This property turns cash-flow positive at 96.5% down.
Run your own scenario
Move the assumptions. See the math live.
Live result
All figures are estimates only and do not constitute financial advice. The sliders use the same math as the locked five-scenario calculator; only assumptions change. Total acquisition includes the down payment, land transfer tax ($29,999), and closing costs ($29,999).
Section · Investment Thesis
Why this property.
This is a value-add play for an intermediate to advanced investor who can underwrite a multi-unit conversion in a detached Regal Heights house. The mechanic is NOI lift: the listing already describes three kitchens, separate entrances on all floors, and a finished basement with its own entrance, kitchen, and additional bedroom. At the $1,999,900 list price the in-place economics do not work, with an estimated cap rate of 0.25% and negative carry at every leverage point short of 100% cash. The thesis is the conversion, not the going-in yield.
Corso Italia-Davenport sits on the TTC 29 Dufferin bus and one stop from Dufferin Station on Line 2 Bloor-Danforth, with St. Clair West streetcar service on the 512 route a short walk north. The submarket has absorbed steady demand from buyers priced out of Wychwood and Hillcrest, and the Regal Heights pocket between Davenport and St. Clair retains larger detached lots than the surrounding grid. The listing notes the home sits on "one of the largest lots in the neighborhood", which matters for any future garden suite or expansion under City of Toronto multiplex permissions. Proximity to Earlscourt Park, Joseph J. Piccininni Community Centre, and the Corso Italia retail strip on St. Clair West anchors end-user demand on resale.
Only the 100% cash scenario clears breakeven, at an estimated $414.62 monthly cash flow and 0.24% cash-on-cash, so the recommended structure is all-cash or a very large down payment with a 36 to 60 month plan to legalize the basement and second-floor units, lift gross rent, and refinance into a portfolio loan. At 75% down the carry is an estimated $2,505.27 monthly, which a cash-strong investor can absorb during the lease-up of converted units. Hold for income post-stabilization or exit to an end user.
Key features
- Four bedrooms, three bathrooms across three levels with separate entrances
- Finished basement with separate entrance, additional bedroom, and kitchen area
- Second-floor kitchen supporting multi-generational or multi-unit use
- Heated attic adding versatile finished space
- Sited on one of the largest lots in the neighborhood per listing
- Walking distance to Dufferin Subway Station
Original MLS description
Welcome to your own private retreat in the prestigious Regal Heights neighbourhood, in the heart of Corso Italia - a sun-filled, lovingly maintained home surrounded by lush greenery and set on one of the largest lots in the neighborhood. Warm and inviting throughout, this spacious home features bright principal rooms with hardwood flooring, crown moulding, and generous living spaces perfect for family living and entertaining. The main floor offers a welcoming foyer, sunroom, and an eat-in kitchen, while the second floor features spacious bedrooms, hardwood flooring, ample storage and an additional kitchen, offering excellent flexibility for extended family living. The finished basement with a separate entrance, additional bedroom, and kitchen area adds incredible potential for an in-law suite or income-generating apartment. All floors with separate entrances. A heated attic provides even more versatile space, all in an unbeatable location close to parks, schools, shops, transit, streetcar routes, and Dufferin Station. A rare opportunity full of charm, comfort, and endless possibilities. Convenient Access To Dufferin Subway Station, Parks, Schools, And Community Amenities. A must see! Property also known as 42 Northcliffe Blvd. (42909341)
All photos
49 additional · click any to expand
Section · Neighborhood
Where it sits.
Corso Italia-Davenport
Corso Italia-Davenport sits between Davenport Road and St. Clair Avenue West, with the Regal Heights pocket recognized for larger detached lots than the surrounding grid. Transit options include Dufferin Station on TTC Line 2, the 29 Dufferin bus, and the 512 St. Clair streetcar. Local demand drivers include the Corso Italia retail strip, Earlscourt Park, and spillover demand from buyers exiting Wychwood and Hillcrest Village.
Section · Risk
What could go wrong.
Honest framing of unknowns, assumptions, and downside scenarios.
Estimated cap rate of 0.25% means in-place rent does not support the purchase price; thesis depends entirely on conversion execution
Negative monthly cash flow at every financed scenario, including an estimated -$2,505.27 at 75% down
High leverage sensitivity: only the 100% cash scenario reaches positive carry, and only barely at an estimated $414.62 per month
Legalizing a second-floor suite and basement apartment requires City of Toronto permits, inspections, fire separation, and possible parking variances; timeline and cost are not guaranteed
Listing sqft of 185 appears to be a data error; total finished area is not verified and should be confirmed before underwriting
Rent estimate is sourced from widened comparables rather than direct subject-market comps, increasing forecast variance