Versatile Commercial Building on 4.4
For Sale
$1,299,000
1120 S CENTRAL Ave, Laurel, DE 19956
7,006 SF building on 4.4 acres in Laurel, DE.
Property Size7,006 SF
Lot Size4.40 Acres
Price / SF$185.41
Days on Market168
Property Features for 1120 S CENTRAL Ave
General Information
Standard status
Active
Size
7,006 SF
Lot size
4.40 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$1,744
Building Details
Year Built
1978
Listing Agency:
SVN | Miller Commercial Real Estate Salisbury
(443) 944-4464
Listed By:
Meredith M. Mears · License ##672907
(443) 944-4464
Source:
Elliman
Added: Mar 10
Changed: Aug 24
Last Checked: Aug 15 at 9:21AM
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 SVN | Miller Commercial Real Estate Salisbury
Investment Insights
Based on property information with market context.
This 7,006 square foot free-standing commercial building is situated on 4.4 acres along the main corridor of Laurel, Delaware. The property offers high visibility, multiple points of ingress and egress, and plentiful parking, with additional land available for development or expansion. The building previously housed a high-performing Rite-Aid Pharmacy that operated for many years. The property features a wide-open floor plan, along with a small warehouse and office space located at the rear of the building. A new roof, less than 5 years old, and new HVAC systems, approximately 1 year old, indicate that the property has been well maintained. The C-B zoning provides flexibility for retail, office, medical, or service-oriented businesses, making it suitable for investors or owner-occupants.
Key Highlights
- High‑visibility location on Laurel's main corridor with 4.4 acres.
- Versatile C‑B zoning allows for retail, office, medical, or service‑oriented businesses.
- 7,006 SF free‑standing commercial building suitable for investors or owner‑occupants.
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
$109,972
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
8.47%
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%
$2,199,440
$2.2M
Cap Rate 7%
$1,571,029
$1.6M
Cap Rate 9%
$1,221,911
$1.2M
Market Conditions
NOI Build-Up for 7,006 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
$179.9K $25.68/SF
− Vacancy
−$33.3K −$4.75/SF
EGI
$146.6K $20.93/SF
− OpEx
−$36.7K −$5.23/SF
NOI
$110.0K $15.70/SF
Area
Sussex County, DE
Vacancy
18.50%
Lease Rate
$25.68 /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%
$2,199,440
Cap Rate 7%
$1,571,029
Cap Rate 9%
$1,221,911
Alternative Uses
Best Use
Office B
$1.57M
$1.37M – $1.83M
NOI $109,972 @ 7.0% cap · market cap 8.47%
Second Best
Healthcare Medical
$1.41M
$1.24M – $1.65M
NOI $98,869 @ 7.0% cap · market cap 7.61%
Theoretical Best
Office A
$1.93M
$1.68M – $2.25M
NOI $134,767 @ 7.0% cap · market cap 10.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
113
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 19956, DE
16,327
Population
6,556
Households
2.5
Avg Household Size
39
Median Age
16%
College-Educated
84%
High-School Grad
100.4 sq mi
ZIP Area
163
Density / Sq Mi
$59,085
Median Household Income
$36,131
Median Earnings
$923
Median Rent
$233,500
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Kurt Keglovits — 1120 S Central Ave, Laurel, DE 199561418
- Rite Aid Pharmacy — 1120 S Central Ave, Laurel, DE 19956
Frequently Asked Questions
What type of property is this?
Drug store - 7,006 SF building on 4.4 acres in Laurel, DE.
Where is this drug store located?
The property is located at 1120 S CENTRAL Ave Laurel, DE.
What is the asking price?
The asking price for this property is $1,299,000.
What are key features of this property?
This property features: High‑visibility location on Laurel's main corridor with 4.4 acres.; Versatile C‑B zoning allows for retail, office, medical, or service‑oriented businesses.; 7,006 SF free‑standing commercial building suitable for investors or owner‑occupants.
