Customizable Office
For Sale
$245,000
107 S Third St, Delavan, WI 53115
N, Delavan, WI
Property Size1,495 SF
Lot Size0.30 Acres
Price / SF$163.88
Days on Market95
Property Features for 107 S Third St
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
Commercial
Directions
I-43 to Hwy 50 West to Hwy 11 W to Third Street, South to the building.
Standard status
Active
APN
XOP 00087
Size
1,495 SF
Lot size
0.30 Acres
Taxes and HOA fees
Tax Year
2025
Building Details
Architectural style
Other
Listing Agency:
MELGES Real Estate, LLC
(262) 249-7653
Listed By:
Berisha Cary · License #93986-94
(262) 949-3374
Added: Jun 23
Changed: Aug 31
Last Checked: Sep 25 at 11:06PM
MLS# 1968860
Copyright © 2026 Metro MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This approximately 1,495-square-foot office unit is offered as a commercial suite with drywall, lighting, electrical service, and core improvements planned for completion. The remaining build-out can be customized to suit the intended layout and finish package. The property is zoned Commercial and is positioned for professional office, medical or healthcare, wellness and spa, or boutique retail use, as supported by the listing information.
The suite is located in Downtown Delavan’s Historic District at 107 S Third St, near Brick Road. The property offers street parking and access to the surrounding downtown area. Marketing images are virtual renderings of the completed space; actual finishes, layouts, and build-out may vary.
The suite is located in Downtown Delavan’s Historic District at 107 S Third St, near Brick Road. The property offers street parking and access to the surrounding downtown area. Marketing images are virtual renderings of the completed space; actual finishes, layouts, and build-out may vary.
Key Highlights
- Approximately 1,495 SF commercial office unit
- Drywall, lighting, electrical, and core improvements included
- Remaining build‑out can be customized
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$18,024
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
7.36%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$360,480
$360.5K
Cap Rate 7%
$257,486
$257.5K
Cap Rate 9%
$200,267
$200.3K
Market Conditions
NOI Build-Up for 1,495 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$32.8K $21.96/SF
− Vacancy
−$2.8K −$1.87/SF
EGI
$30.0K $20.09/SF
− OpEx
−$12.0K −$8.04/SF
NOI
$18.0K $12.06/SF
Area
Walworth County, WI
Vacancy
8.50%
Lease Rate
$21.96 /SF/Yr
Expense Ratio
40.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$360,480
Cap Rate 7%
$257,486
Cap Rate 9%
$200,267
Alternative Uses
Best Use
Healthcare Medical
$257.5K
$225.3K – $300.4K
NOI $18,024 @ 7.0% cap · market cap 7.36%
Second Best
Office B
$187.4K
$164.0K – $218.7K
NOI $13,119 @ 7.0% cap · market cap 5.35%
Theoretical Best
Specialty Retail
$288.5K
$252.5K – $336.6K
NOI $20,196 @ 7.0% cap · market cap 8.24%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
414
Businesses Nearby
Explore this area
Business Placement
Demographics for 53115, WI
15,884
Population
8,848
Households
1.8
Avg Household Size
43
Median Age
25%
College-Educated
89%
High-School Grad
71.9 sq mi
ZIP Area
221
Density / Sq Mi
$70,880
Median Household Income
$38,871
Median Earnings
$1,012
Median Rent
$225,900
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Midwest region
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Frequently Asked Questions
What type of property is this?
Office units - Commercial suite with core improvements completed and flexibility for professional, healthcare, wellness, or boutique retail uses.
Where is this office units located?
The property is located at 107 S Third St Delavan, WI.
What is the asking price?
The asking price for this property is $245,000.
What are key features of this property?
This property features: Approximately 1,495 SF commercial office unit; Drywall, lighting, electrical, and core improvements included; Remaining build‑out can be customized
