Operative
For Sale
$5,500,000
410 21st Street, Virginia Beach, VA 23451
COMMERCIAL - Virginia Beach, VA
Property Size46,260 SF
Lot Size0.77 Acres
Price / SF$118.89
Days on Market115
Property Features for 410 21st Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
RT3
Subdivision
BEACH BOROUGH
Standard status
Active
Size
46,260 SF
Lot size
0.77 Acres
Taxes and HOA fees
Tax Annual Amount
24060
Utilities
Heating system
Natural Gas, Forced Air
Cooling system
Central Air
Building Details
Year built
1974
Listing Agency:
Prodigy Realty
(757) 805-2515
Listed By:
Karen Tyler
(757) 636-5187
Added: Apr 20
Changed: Aug 6
Last Checked: Aug 12 at 9:06AM
MLS# 10630762
Copyright © 2026 Real Estate Information Network, Inc. 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.
Operative hotel on a 0.77-acre lot. The property size is 46,260 SF, and it was built in 1974. The building has natural gas forced-air heating and central air cooling, supporting year-round operations.
The property is located at 410 21st Street in Virginia Beach, VA 23451. The sale includes the parking lot at 405 20th Street, Virginia Beach, VA 23451, and the site is described as close to the Dome, Atlantic Park, and the beach, with convenient access to the interstate.
Zoned RT3, the property offers an established hospitality building configuration with on-site parking included through the included parking lot purchase.
The property is located at 410 21st Street in Virginia Beach, VA 23451. The sale includes the parking lot at 405 20th Street, Virginia Beach, VA 23451, and the site is described as close to the Dome, Atlantic Park, and the beach, with convenient access to the interstate.
Zoned RT3, the property offers an established hospitality building configuration with on-site parking included through the included parking lot purchase.
Key Highlights
- 0.77‑acre lot with an overall 46,260 SF hotel building
- Built in 1974
- Zoned RT3
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
$348,060
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
6.33%
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%
$6,961,200
$7.0M
Cap Rate 7%
$4,972,286
$5.0M
Cap Rate 9%
$3,867,333
$3.9M
Market Conditions
NOI Build-Up for 46,260 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
$832.7K $18.00/SF
− Vacancy
−$99.9K −$2.16/SF
EGI
$732.8K $15.84/SF
− OpEx
−$384.7K −$8.32/SF
NOI
$348.1K $7.52/SF
Area
Virginia Beach, VA
Vacancy
12.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
52.50%
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%
$6,961,200
Cap Rate 7%
$4,972,286
Cap Rate 9%
$3,867,333
Alternative Uses
Best Use
Hotel Hospitality
$4.97M
$4.35M – $5.80M
NOI $348,060 @ 7.0% cap · market cap 6.33%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$11.87M
$10.38M – $13.84M
NOI $830,699 @ 7.0% cap · market cap 15.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,398
Businesses Nearby
Explore this area
Business Placement
Demographics for 23451, VA
44,879
Population
24,897
Households
1.8
Avg Household Size
41
Median Age
57%
College-Educated
97%
High-School Grad
19.8 sq mi
ZIP Area
2,267
Density / Sq Mi
$97,945
Median Household Income
$57,472
Median Earnings
$1,697
Median Rent
$591,300
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Operative hotel zoned RT3 with natural gas forced-air heating and central air cooling.
Where is this hotel located?
The property is located at 410 21st Street Virginia Beach, VA.
What is the asking price?
The asking price for this property is $5,500,000.
What are key features of this property?
This property features: 0.77‑acre lot with an overall 46,260 SF hotel building; Built in 1974; Zoned RT3
