Medical Office and Flex
For Sale
Contact for pricing
1001 E Palmdale, Tucson, AZ 85706
For sale mixed-use medical office and flex space option at 1001 E Palmdale in Tucson.
Property Size8,000 SF
Price / SF$162.50
Days on Market67
Property Features for 1001 E Palmdale
General Information
Standard status
Active
Size
8,000 SF
Property subtype
Office, Industrial
Zoning
I-1
Lease Type
NNN
Building Details
Buildings
1
Tenancy
Single
Listing Agency:
Larsen Baker, LLC
Listed By:
Isaac Figueroa, CCIM, SIOR · License #AZ BR645511000
Source:
Crexi
Added: Jun 6
Changed: Aug 8
Last Checked: Aug 10 at 3:24AM
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 Larsen Baker, LLC
Investment Insights
Based on property information with market context.
This property is a mixed-use facility designed to support medical office and flex space needs, offering approximately 8,000 square feet of usable area. The listing is categorized across medical centers, healthcare properties, flex space, and office space, making it a straightforward fit for operators looking for a combination of professional and adaptable space.
The asset is located at 1001 E Palmdale, Tucson, AZ 85706. As presented, the marketing focuses on the property’s healthcare and flexible workspace configuration, without additional specifics on unit mix, suite layout, or on-site amenities.
For buyers and tenant prospects, the appeal is the dual nature of the offering within the medical and flex/office categories. Prospective users should evaluate how the existing improvements and space layout align with their operational requirements, including the balance between clinical or professional use and any flexible support space needed for day-to-day business activities. Since the provided information does not include details on specific building improvements beyond its overall configuration, confirm current conditions and suitability during due diligence.
The asset is located at 1001 E Palmdale, Tucson, AZ 85706. As presented, the marketing focuses on the property’s healthcare and flexible workspace configuration, without additional specifics on unit mix, suite layout, or on-site amenities.
For buyers and tenant prospects, the appeal is the dual nature of the offering within the medical and flex/office categories. Prospective users should evaluate how the existing improvements and space layout align with their operational requirements, including the balance between clinical or professional use and any flexible support space needed for day-to-day business activities. Since the provided information does not include details on specific building improvements beyond its overall configuration, confirm current conditions and suitability during due diligence.
Key Highlights
- For sale mixed‑use medical office and flex space at 1001 E Palmdale, Tucson, AZ 85706
- Medical office and flex space option at 1001 E Palmdale in Tucson
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
$89,712
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
6.90%
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%
$1,794,240
$1.8M
Cap Rate 7%
$1,281,600
$1.3M
Cap Rate 9%
$996,800
$996.8K
Market Conditions
NOI Build-Up for 8,000 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
$168.0K $21.00/SF
− Vacancy
−$18.5K −$2.31/SF
EGI
$149.5K $18.69/SF
− OpEx
−$59.8K −$7.48/SF
NOI
$89.7K $11.21/SF
Area
ZIP 85706
Vacancy
11.00%
Lease Rate
$21.00 /SF/Yr
Expense Ratio
40.00%
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%
$1,794,240
Cap Rate 7%
$1,281,600
Cap Rate 9%
$996,800
Alternative Uses
Best Use
Healthcare Medical
$1.28M
$1.12M – $1.50M
NOI $89,712 @ 7.0% cap · market cap 6.90%
Second Best
Flex RnD
$984.1K
$861.1K – $1.15M
NOI $68,890 @ 7.0% cap · market cap 5.30%
Theoretical Best
Office A
$1.65M
$1.45M – $1.93M
NOI $115,795 @ 7.0% cap · market cap 8.91%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,237
Businesses Nearby
Explore this area
Business Placement
Demographics for 85706, AZ
54,853
Population
19,095
Households
2.9
Avg Household Size
33
Median Age
10%
College-Educated
70%
High-School Grad
13.1 sq mi
ZIP Area
4,187
Density / Sq Mi
$49,072
Median Household Income
$30,977
Median Earnings
$981
Median Rent
$169,600
Median Home Value
Market
Vacancy Rate% for Industrial in Tucson, AZ
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Medical center - For sale mixed-use medical office and flex space option at 1001 E Palmdale in Tucson.
Where is this medical center located?
The property is located at 1001 E Palmdale Tucson, AZ.
What is the asking price?
The asking price for this property is $1,300,000.
What are key features of this property?
This property features: For sale mixed‑use medical office and flex space at 1001 E Palmdale, Tucson, AZ 85706; Medical office and flex space option at 1001 E Palmdale in Tucson
