Building Details

Year built 1982

Floors in Building 1

Listing Agency: D & B REAL ESTATE* Show Phone

Listed By: RICK H LUNT · License #5478530 Show Phone

Added: Jan 5 Changed: Aug 31 Last Checked: Sep 1 at 7:06PM

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MLS# 26-267766

Copyright © 2026 Washington County Board 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.

This 12,000-square-foot manufacturing property was built in 1982 and is situated on 1.48 acres. The asset is offered for sale and includes an existing industrial building suitable for manufacturing operations.

The property is located at 285 E Highway 271 in Parowan, Utah, within Iron County and ZIP code 84761. Its highway address provides a defined location for industrial users seeking a building with associated land.

The building’s size, manufacturing classification, and 1.48-acre site provide a substantial commercial footprint for an owner-user or industrial operation.

Key Highlights

• 12,000‑square‑foot manufacturing property
• 1.48‑acre site
• Built in 1982

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

$92,432

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

7.77%

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%

$1,848,640 $1.8M

Cap Rate 7%

$1,320,457 $1.3M

Cap Rate 9%

$1,027,022 $1.0M

Market Conditions

NOI Build-Up for 12,000 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

$133.9K $11.16/SF

− Vacancy

−$1.9K −$0.16/SF

EGI

$132.0K $11.00/SF

− OpEx

−$39.6K −$3.30/SF

NOI

$92.4K $7.70/SF

Area

Iron County, UT

Vacancy

1.40%

Lease Rate

$11.16 /SF/Yr

Expense Ratio

30.00%

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%

$1,848,640

Cap Rate 7%

$1,320,457

Cap Rate 9%

$1,027,022

Alternative Uses

Best Use

Industrial

$1.32M

$1.16M – $1.54M (±1% cap)

NOI $92,432 @ 7.0% cap · market cap 7.77%

Second Best

—

—

no second resolved use

Theoretical Best

Office A

$2.45M

$2.14M – $2.86M (±1% cap)

NOI $171,554 @ 7.0% cap · market cap 14.42%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Manufacturing properties

Location Intelligence

Trade Area within ½ mile

52

Businesses Nearby

Explore this area Business Placement

Demographics for 84761, UT

3,210

Population

1,499

Households

2.1

Avg Household Size

42

Median Age

19%

College-Educated

91%

High-School Grad

127.1 sq mi

ZIP Area

25

Density / Sq Mi

$50,582

Median Household Income

$29,025

Median Earnings

$962

Median Rent

$312,600

Median Home Value

Market

Vacancy Rate% for Industrial in West region

3.7% 2019

4.3% 2020

2.6% 2021

2.5% 2022

4.8% 2023

6.9% 2024

7.9% 2025

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Frequently Asked Questions

What type of property is this?

Manufacturing property - Industrial building offering 1.48 acres of land for manufacturing or related commercial operations.

Where is this manufacturing property located?

The property is located at 285 E Highway 271 Parowan, UT.

What is the asking price?

The asking price for this property is $1,190,000.

What are key features of this property?

This property features: 12,000‑square‑foot manufacturing property; 1.48‑acre site; Built in 1982