Fully Leased Sparta Office
For Sale
$2,850,000
1 Wilson Dr, Sparta, NJ 07871
Income-producing professional and medical office building in established business district.
Property Size9,529 SF
Lot Size1.85 Acres
Price / SF$299.09
Days on Market138
Property Features for 1 Wilson Dr
General Information
Standard status
Active
Size
9,529 SF
Lot size
1.85 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$43,832
Amenities
Central air
Asphalt Shingle Roof
4+ Units Cooling
4+ Units Heating
Parking Lot-Exclusive
Building Details
Year Built
2007
Listing Agency:
RE/MAX PLATINUM GROUP
(973) 726-5700
Listed By:
JESSICA BEASLEY
Source:
Corcoran
Added: Mar 24
Changed: Aug 7
Last Checked: Aug 8 at 6:39AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of RE/MAX PLATINUM GROUP
Investment Insights
Based on property information with market context.
This fully leased, income-producing professional and medical office building is located within a well-established business district just off Route 15 in Sparta. The property offers approximately 9,500 SF of well-maintained office space and is fully occupied, providing consistent cash flow supported by a stable mix of medical and professional tenants. Lease structures include a combination of NNN and gross leases, allowing for expense reimbursements while maintaining predictable income. Planned capital improvements include HVAC upgrades and conversion to natural gas, which are expected to enhance efficiency and reduce operating costs. Additional features include elevator service and ample on-site parking. The property supports long-term tenancy without reliance on retail visibility.
Key Highlights
- Fully leased, income‑producing property with consistent cash flow.
- Stable mix of medical and professional tenants.
- Located in a well‑established business district with convenient access to Route 15.
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
$145,794
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
5.12%
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%
$2,915,880
$2.9M
Cap Rate 7%
$2,082,771
$2.1M
Cap Rate 9%
$1,619,933
$1.6M
Market Conditions
NOI Build-Up for 9,529 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
$285.9K $30.00/SF
− Vacancy
−$91.5K −$9.60/SF
EGI
$194.4K $20.40/SF
− OpEx
−$48.6K −$5.10/SF
NOI
$145.8K $15.30/SF
Area
Sussex County, NJ
Vacancy
32.00%
Lease Rate
$30.00 /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%
$2,915,880
Cap Rate 7%
$2,082,771
Cap Rate 9%
$1,619,933
Alternative Uses
Best Use
Office B
$2.08M
$1.82M – $2.43M
NOI $145,794 @ 7.0% cap · market cap 5.12%
Second Best
Healthcare Medical
$2.03M
$1.77M – $2.36M
NOI $141,883 @ 7.0% cap · market cap 4.98%
Theoretical Best
Office A
$2.49M
$2.18M – $2.90M
NOI $174,175 @ 7.0% cap · market cap 6.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
307
Businesses Nearby
Explore this area
Business Placement
Demographics for 07871, NJ
20,992
Population
8,367
Households
2.5
Avg Household Size
43
Median Age
62%
College-Educated
98%
High-School Grad
38.2 sq mi
ZIP Area
550
Density / Sq Mi
$167,443
Median Household Income
$84,587
Median Earnings
$1,831
Median Rent
$462,900
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Income-producing professional and medical office building in established business district.
Where is this office building located?
The property is located at 1 Wilson Dr Sparta, NJ.
What is the asking price?
The asking price for this property is $2,850,000.
What are key features of this property?
This property features: Fully leased, income‑producing property with consistent cash flow.; Stable mix of medical and professional tenants.; Located in a well‑established business district with convenient access to Route 15.
