Connected Buildings with Flexible
For Sale
$4,499,000
2128 Pacific Ave, Tacoma, WA 98402
Two connected buildings offering flexible warehouse and industrial space.
Property Size36,000 SF
Price / SF$124.97
Days on Market871
Property Features for 2128 Pacific Ave
General Information
Standard status
Active
Size
36,000 SF
Property subtype
Commercial
Building Details
Year Built
1919
Listing Agency:
LEE & ASSOCIATES COMMERCIAL REAL ESTATE SERVICES
(253) 238-0043
Listed By:
JOHN BAUDER, CCIM
Source:
Corcoran
Added: Mar 25, 2024
Changed: Aug 8
Last Checked: Aug 8 at 4:42AM
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 LEE & ASSOCIATES COMMERCIAL REAL ESTATE SERVICES
Investment Insights
Based on property information with market context.
The property consists of two connected buildings, offering flexible space suitable for warehouse and industrial purposes. The floor plates range from 6,000 to 12,000 square feet. Ceiling heights vary between 12 and 17 feet. The buildings feature a mix of grade-level and dock-high doors, providing access to both the first and second floors. The total property size is 36,000 square feet.
Key Highlights
- Large floor plates (6,000 - 12,000 SF) offer flexible space.
- High ceilings (12‑17 feet) provide ample vertical space.
- Connected buildings create potential for expansion or diverse use.
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
$387,504
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
8.61%
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%
$7,750,080
$7.8M
Cap Rate 7%
$5,535,771
$5.5M
Cap Rate 9%
$4,305,600
$4.3M
Market Conditions
NOI Build-Up for 36,000 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
$648.0K $18.00/SF
− Vacancy
−$51.8K −$1.44/SF
EGI
$596.2K $16.56/SF
− OpEx
−$208.7K −$5.80/SF
NOI
$387.5K $10.76/SF
Area
Tacoma, WA
Vacancy
8.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
35.00%
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%
$7,750,080
Cap Rate 7%
$5,535,771
Cap Rate 9%
$4,305,600
Alternative Uses
Best Use
Warehouse
$6.69M
$5.85M – $7.80M
NOI $468,044 @ 7.0% cap · market cap 10.40%
Second Best
Flex RnD
$5.54M
$4.84M – $6.46M
NOI $387,504 @ 7.0% cap · market cap 8.61%
Theoretical Best
Office A
$11.07M
$9.68M – $12.91M
NOI $774,576 @ 7.0% cap · market cap 17.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,596
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 98402, WA
8,053
Population
4,788
Households
1.7
Avg Household Size
37
Median Age
44%
College-Educated
91%
High-School Grad
1.2 sq mi
ZIP Area
6,711
Density / Sq Mi
$54,712
Median Household Income
$43,145
Median Earnings
$1,478
Median Rent
$558,100
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Warehouse - Two connected buildings offering flexible warehouse and industrial space.
Where is this warehouse located?
The property is located at 2128 Pacific Ave Tacoma, WA.
What is the asking price?
The asking price for this property is $4,499,000.
What are key features of this property?
This property features: Large floor plates (6,000 - 12,000 SF) offer flexible space.; High ceilings (12‑17 feet) provide ample vertical space.; Connected buildings create potential for expansion or diverse use.
