Four-Unit Brick Retail
For Sale
$695,000
402-406 Harris Avenue, Raeford, NC 28376
CommercialSale, Raeford, NC
Property Size5,000 SF
Price / SF$139
Days on Market167
Property Features for 402-406 Harris Avenue
General Information
Property type
Commercial Sale
Property subtype
Retail
Zoning description
DT - Downtown
Subdivision
DOWNTOWN RAEFORD
Directions
From 211 from Moore Co, take a right on Bethel Rd and property is on the corner of Bethel and Harris Ave.
Standard status
Active
APN
694340901059
Taxes and HOA fees
Tax Description
BETHEL RD & HARRIS VALUE CHANGED BOARD OF E & R 1 RADIO SHACK/HOMETOWN INSURANCE
Legal Description
BETHEL RD & HARRIS VALUE CHANGED BOARD OF E & R 1 RADIO SHACK/HOMETOWN INSURANCE
Utilities
Heating system
Heat Pump (Heating)
Water source
Public
Building Details
Year built
1990
Building materials
Brick
Listing Agency:
FREEDOM REALTY OF NC, LLC
(910) 603-8603
Listed By:
ANGELA ROONEY · License #266012
(910) 692-5557
Added: Apr 1
Changed: Aug 19
Last Checked: Sep 14 at 11:06AM
MLS# 759862
Copyright © 2026 Longleaf Pine 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 approximately 5,000-square-foot brick commercial building contains four distinct units configured for flexible retail or office occupancy. Two units are currently occupied, while the remaining spaces provide additional leasing capacity. The property can accommodate an owner-user occupying part of the building alongside other occupants or an investor seeking a multi-unit commercial asset.
Located within Raeford city limits at 402-406 Harris Avenue, the property sits in the downtown area with access to public water service. Constructed in 1990, the building is heated by a heat pump system and provides a straightforward commercial layout for separate users.
Located within Raeford city limits at 402-406 Harris Avenue, the property sits in the downtown area with access to public water service. Constructed in 1990, the building is heated by a heat pump system and provides a straightforward commercial layout for separate users.
Key Highlights
- Approximately 5000sf total building area
- Four separate commercial units
- Two units currently occupied
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
$61,124
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
8.79%
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%
$1,222,480
$1.2M
Cap Rate 7%
$873,200
$873.2K
Cap Rate 9%
$679,156
$679.2K
Market Conditions
NOI Build-Up for 5,000 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
$102.0K $20.40/SF
− Vacancy
−$20.5K −$4.10/SF
EGI
$81.5K $16.30/SF
− OpEx
−$20.4K −$4.07/SF
NOI
$61.1K $12.22/SF
Area
Hoke County, NC
Vacancy
20.10%
Lease Rate
$20.40 /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%
$1,222,480
Cap Rate 7%
$873,200
Cap Rate 9%
$679,156
Alternative Uses
Best Use
Office B
$873.2K
$764.1K – $1.02M
NOI $61,124 @ 7.0% cap · market cap 8.79%
Second Best
Retail
$807.3K
$706.4K – $941.9K
NOI $56,511 @ 7.0% cap · market cap 8.13%
Theoretical Best
Office A
$1.10M
$958.8K – $1.28M
NOI $76,704 @ 7.0% cap · market cap 11.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
4
Office units
50%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
674
Businesses Nearby
Explore this area
Business Placement
Demographics for 28376, NC
43,160
Population
16,834
Households
2.6
Avg Household Size
33
Median Age
23%
College-Educated
90%
High-School Grad
278.7 sq mi
ZIP Area
155
Density / Sq Mi
$61,793
Median Household Income
$40,858
Median Earnings
$1,091
Median Rent
$208,100
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 South region
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Frequently Asked Questions
What type of property is this?
Retail space - Downtown commercial building offers separate spaces for retail or office use.
Where is this retail space located?
The property is located at 402-406 Harris Avenue Raeford, NC.
What is the asking price?
The asking price for this property is $695,000.
What are key features of this property?
This property features: Approximately 5000sf total building area; Four separate commercial units; Two units currently occupied
