Joined Office Condominium
For Sale
$500,000
2155 W State Route 89a Unit 205/206, Sedona, AZ 86336
Commercial Sale, Sedona, AZ
Property Size1,812 SF
Lot Size0.91 Acres
Price / SF$275.94
Days on Market541
Property Features for 2155 W State Route 89a Unit 205/206
General Information
Property type
Residential
Property subtype
Office
Zoning
CO
Parking
19
Interior features
Fire/Smoke Detector
Lot features
Landscaped
Directions
2 miles west of 179 on the south side of SR 89Immediate retail neighbors include Safeway, PetsMart and Staples on the north side of the highway and Harkins Theaters and Builders First Source Lumbar on the south side of the highway.
Standard status
Active
Lot size
0.91 Acres
Taxes and HOA fees
Tax Year
2024
Tax Description
THE PLAZA WEST UNIT 206 & 4.22 INT IN COMMON AREA CONTAINS 0.02 AC
Tax Annual Amount
2312
Legal Description
THE PLAZA WEST UNIT 206 & 4.22 INT IN COMMON AREA CONTAINS 0.02 AC
Utilities
Utilities
Phone Available
Heating system
Heat Pump (Heating)
Cooling system
Heat Pump
Water source
Public
Building Details
Year built
1984
Number of units
2
Flooring type
Carpet
Roof type
Tile
Listing Agency:
Arizona Commercial
(928) 515-1223
Listed By:
Matthew Fish · License #BR626105000
(480) 309-1089
Added: Mar 6, 2025
Changed: Aug 20
Last Checked: Aug 29 at 10:06AM
MLS# 1071208
Copyright © 2026 Prescott Area Association of Realtors®. 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.
Units 205 and 206 function as one approximately 1,812-square-foot office condominium within Plaza West, a two-story brick office property completed in 1984. The space has carpeted flooring, fire and smoke detection, heat-pump heating and cooling, tile roofing, and access to public water and phone service.
Accord Hospice of Sedona Valley LLC has occupied the premises since 2001 and uses the office to administer its hospice business. The current lease is in its first two-year option period, scheduled to expire 4/30/26, with one additional two-year extension option available at fixed increases. The property is zoned CO and located in Sedona, Arizona.
Accord Hospice of Sedona Valley LLC has occupied the premises since 2001 and uses the office to administer its hospice business. The current lease is in its first two-year option period, scheduled to expire 4/30/26, with one additional two-year extension option available at fixed increases. The property is zoned CO and located in Sedona, Arizona.
Key Highlights
- Approximately 1,812 square feet across joined units 205 and 206
- Leased to Accord Hospice of Sedona Valley LLC since 2001
- First two‑year option period expires 4/30/26
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
$24,994
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
5.00%
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%
$499,880
$499.9K
Cap Rate 7%
$357,057
$357.1K
Cap Rate 9%
$277,711
$277.7K
Market Conditions
NOI Build-Up for 1,812 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
$42.2K $23.28/SF
− Vacancy
−$8.9K −$4.89/SF
EGI
$33.3K $18.39/SF
− OpEx
−$8.3K −$4.60/SF
NOI
$25.0K $13.79/SF
Area
Coconino County, AZ
Vacancy
21.00%
Lease Rate
$23.28 /SF/Yr
Expense Ratio
25.00%
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%
$499,880
Cap Rate 7%
$357,057
Cap Rate 9%
$277,711
Alternative Uses
Best Use
Office B
$357.1K
$312.4K – $416.6K
NOI $24,994 @ 7.0% cap · market cap 5.00%
Second Best
Healthcare Medical
$313.7K
$274.5K – $366.0K
NOI $21,957 @ 7.0% cap · market cap 4.39%
Theoretical Best
Office A
$500.9K
$438.3K – $584.4K
NOI $35,066 @ 7.0% cap · market cap 7.01%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
100%
Occupancy
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,255
Businesses Nearby
Explore this area
Business Placement
Demographics for 86336, AZ
11,125
Population
8,066
Households
1.4
Avg Household Size
62
Median Age
51%
College-Educated
95%
High-School Grad
203.7 sq mi
ZIP Area
55
Density / Sq Mi
$65,000
Median Household Income
$34,981
Median Earnings
$1,456
Median Rent
$705,300
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office units - Combined office condominium space occupied by one tenant since 2001 within a two-story, multi-tenant building.
Where is this office units located?
The property is located at 2155 W State Route 89a Unit 205/206 Sedona, AZ.
What is the asking price?
The asking price for this property is $500,000.
What are key features of this property?
This property features: Approximately 1,812 square feet across joined units 205 and 206; Leased to Accord Hospice of Sedona Valley LLC since 2001; First two‑year option period expires 4/30/26
