Penthouse 2-bed at Chelsea Towers, steps to Square One and future Hurontario LRT
A 2-bed, 2-bath penthouse condo in Mississauga City Centre listed at $449,800, with estimated monthly rent of $2,700 and an estimated 4.77% cap rate. Cash flow turns positive starting at 35% down, making this a moderately leveraged hold for investors targeting the Square One and LRT corridor.
Anatoli Chtcherbatov
Analyst · Sutton Group Admiral Realty
List price
$449,800
Cap rate
+4.77%
Est. monthly rent
$2,700
Source: comparables
CF at 35% down
+$79/mo
first positive
Cash-on-cash
+0.56%
at 35% down
The Deal
A 2-bed, 2-bath penthouse condo in Mississauga City Centre listed at $449,800, with estimated monthly rent of $2,700 and an estimated 4.
Section · Financial Reality
Five ways to buy. The 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 | $157,430 |
| Mortgage principal | $292,370 |
| Land transfer tax | $6,747 |
| Closing costs | $6,747 |
| Total acquisition | $170,924 |
Monthly cash flow
| Estimated rent | +$2,700 |
| Operating expenses | -$913 |
| Mortgage payment | -$1,707 |
| Net cash flow | +$79/mo |
Expense breakdown
| Property tax | $0/mo |
| Vacancy allowance | $135/mo |
| Maintenance reserve | $375/mo |
| Insurance | $187/mo |
| Property management | $216/mo |
Math by deterministic Python calculator. Rate 4.99% over 25 years. Rent source: comparables (9 comps).
Breakeven
This property turns cash-flow positive at 32.0% 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 ($6,747), and closing costs ($6,747).
Section · Investment Thesis
Why this property.
Unit PH18 at 4185 Shipp Drive is a penthouse 2-bedroom, 2-bathroom suite at Chelsea Towers, listed at $449,800 in Mississauga's City Centre. The unit has been freshly painted with new vinyl plank flooring, includes a covered parking space, and benefits from a maintenance fee structure that covers all utilities except internet and cable. Estimated monthly rent of $2,700 is based on 9 comparables, producing an estimated gross annual rent of $32,400, estimated annual NOI of $21,441, and an estimated cap rate of 4.77%.
Leverage sensitivity is moderate on this asset. At 20% down ($89,960), estimated monthly cash flow is -$314.74 with a -3.65% cash-on-cash return, so the minimum-down scenario does not carry. At 35% down ($157,430), estimated monthly cash flow turns positive at $79.29 (0.56% cash-on-cash), which is the minimum recommended down payment for neutral-to-positive carry. At 50% down ($224,900), estimated monthly cash flow improves to $473.32 (2.38% cash-on-cash). At 75% down it rises to $1,130.03 monthly (3.87% cash-on-cash), and an all-cash purchase of $449,800 yields an estimated $1,786.75 monthly and 4.63% cash-on-cash.
The investment case rests on the City Centre location. The property is within walking distance of Square One, the Food District, Cineplex, GO Transit, and Sheridan College, and is described as just steps to the future LRT and less than two minutes from Highway 403. The Hurontario LRT and ongoing Square One District intensification are the principal demand drivers supporting both rental absorption and longer-term value. The penthouse positioning and Lake Ontario views differentiate the unit within the building's 22 floors.
Suitable hold period is 60+ months. Investors putting less than 35% down should expect to subsidize carry in the early years and underwrite based on principal paydown and area appreciation rather than current yield. The leverage curve is meaningful: monthly cash flow swings roughly $2,100 between the 20% scenario and the all-cash scenario, so capital structure materially changes the return profile.
Key features
- Penthouse-level 2-bed, 2-bath suite with city and Lake Ontario views
- Freshly painted with new vinyl plank flooring throughout
- Primary bedroom with walk-in closet and 4-piece ensuite
- Covered parking space plus ample visitor parking
- Maintenance fees include all utilities except internet and cable
- Building amenities: indoor pool, sauna, gym, tennis court, 24-hour security
- Walking distance to Square One, GO Transit, Sheridan College
- Steps to the future Hurontario LRT, under two minutes to Highway 403
Original MLS description
Welcome to Chelsea Towers! Rarely offered PENTHOUSE suite featuring breathtaking, unobstructed city views in the heart of Mississauga. This bright and spacious 2-bedroom, 2-bathroom residence boasts a well-designed open-concept layout ideal for comfortable living and entertaining. Step inside to a generous combined living and dining area filled with natural light. The entire suite has been freshly painted in a neutral palette and showcases brand-new high-quality vinyl plank flooring throughout. The separate kitchen is both functional and inviting, featuring a brand-new dishwasher and newer refrigerator. Both bedrooms are generously sized, with the primary retreat offering a walk-in closet and a private 4-piece ensuite. Additional conveniences include ensuite laundry and a covered parking space, along with ample visitor parking for guests. Chelsea Towers has undergone updates, with refreshed flooring and wall coverings in select common areas. Residents enjoy 24-hour security and access to outstanding amenities including an indoor pool, sauna, exercise room, outdoor tennis court, and a children's play area. Three elevators service this boutique-style building of just 22 floors. Located in an exceptional family-friendly neighbourhood, you'll find a seasonal farmers' market directly across the street and be within walking distance to Square One, the Food District, Cineplex, GO Transit, Sheridan College, schools, and Walmart. Commuters will appreciate being less than two minutes from Highway 403 and just steps to the future LRT. Maintenance fees conveniently include all utilities except internet and cable, and fibre optic service is available in the building. A rare penthouse opportunity with views of Lake Ontario in prime Mississauga location - don't miss your chance to call it home. (42911292)
Section · Neighborhood
Where it sits.
City Centre
Mississauga City Centre is the densest employment and retail node in Peel Region, anchored by Square One, the Food District, Celebration Square, and a growing cluster of office and residential towers. The neighborhood is undergoing significant intensification tied to the Hurontario LRT, which is under construction and will run along Hurontario Street connecting Port Credit GO to Brampton Gateway Terminal.
The subject is described as steps to the future LRT and less than two minutes from Highway 403, with walking access to Square One, GO Transit, Sheridan College's Hazel McCallion campus, Cineplex, and Walmart. These factors support tenant demand from students, young professionals, and downsizers, and underpin the area's appreciation thesis over a multi-year hold.
Section · Risk
What could go wrong.
Honest framing of unknowns, assumptions, and downside scenarios.
High leverage sensitivity: 20% down scenario produces negative estimated monthly cash flow of -$314.74; minimum 35% down recommended for positive carry
Financials payload shows $0 monthly maintenance fee and $0 property tax, which is inconsistent with a Mississauga condo; verify actual condo fees and tax bill during due diligence as carry costs will be higher than modeled
Reported unit size of 83 sqft appears to be a data error (likely square metres); confirm actual floor area before underwriting
Condo market in Mississauga City Centre faces near-term supply from ongoing tower completions, which may pressure rents and resale velocity
Future LRT timeline and station experience can affect short-term rentability during construction
Rent estimate is based on comparables, not in-place lease; actual achieved rent may vary