Help with setting price for Rental property in nice Atlanta area

[Julian Boardman]

Good morning to all! New to BP and appreciate all the content.  We are looking to sell our great rental property (see why further below) as we want the capital out to do other larger deals. Otherwise, the cash flow is too good to pass on for us. I am a contractor so we did the work.  Here's the skinny:

Purchased 1200sf home in nice area, very popular area in Atlanta (Brookhaven) years ago for $110k. Added about $300k new 2013 construction to tear down and rebuild (leaving some slab and basement walls into a main home of 4bed/4bth and 1bd/1bath separate apartment.  2880sf main and 900sf apartment, 2 car garage, parking for 6  cars, 7500sf lot. 

Rental income is $3650 up and $1295 ($1.33sf) down (includes utilities on apt), just under $5k per month. Rents in the area go for near $1.75+ sf for apartments. Been consistently rented for 5yrs. Expenses run for us $700 per month but new taxes on sale will push to $1100 per month. With debt of 20% down, 4.75% rate, included, NOI is about $42k per year.

Our agent is thinking sell in low $700's selling as single family home with inlaw suite (new and late model construction runs $225 to $260sf) within 1 mile, many comps.  We are thinking maybe sell as investment property but at what cap / cash on cash for class A/B property?  Greatly appreciate input !!!