Unique Office Space with Rustic
For Sale
$1,265,000
2173 Smith Harbour Drive, Denver, NC 28037
One-of-a-kind office space designed for client entertainment and general business.
Property Size2,494 SF
Price / SF$507.22
Days on Market460
Property Features for 2173 Smith Harbour Drive
General Information
Standard status
Active
Size
2,494 SF
Building Details
Year Built
2014
Listing Agency:
RE/MAX EXECUTIVE
(704) 224-6941
Listed By:
MICHAEL MORGAN · License #219912
Source:
Corcoran
Added: May 9, 2025
Changed: Mar 16
Last Checked: Mar 16 at 9:09AM
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 EXECUTIVE
Investment Insights
Based on property information with market context.
This meticulously designed office space, located at the corner of Hwy 16 and Smith Harbour Dr in Denver, NC, offers a unique opportunity for various general business uses. The property features a rustic yet elegant design, highlighted by a stunning lobby with heavy timbers, natural wood ceilings, and a two-story stone fireplace inspired by the Bob Timberlake Gallery. Thoughtful landscaping and a bubbling rock fountain contribute to a calming first impression. The interior includes six offices, with an executive suite featuring glass panel doors, a two-story focal wall, and a private bath. This suite provides patio access with a gas-burning fire boulder, creating an ambiance reminiscent of the Grove Park Inn. Calming neutral tones, durable LVP flooring, two restrooms, and a kitchenette complete the interior. A rare ISM Treasury-rated hidden safe is a standout feature. The 2494 square foot space is suitable for a med/spa, wellness center, professional offices, or a boutique firm seeking a memorable client experience.
Key Highlights
- Unique office space designed to impress clients and suitable for various business uses.
- Executive suite featuring glass panel doors, a striking 2‑story focal wall, and a private bath.
- Lobby featuring heavy timbers, natural wood ceilings, and a 2‑story stone fireplace.
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
$43,740
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
3.46%
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%
$874,800
$874.8K
Cap Rate 7%
$624,857
$624.9K
Cap Rate 9%
$486,000
$486.0K
Market Conditions
NOI Build-Up for 2,494 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
$64.9K $26.04/SF
− Vacancy
−$6.6K −$2.66/SF
EGI
$58.3K $23.38/SF
− OpEx
−$14.6K −$5.85/SF
NOI
$43.7K $17.54/SF
Area
Lincoln County, NC
Vacancy
10.20%
Lease Rate
$26.04 /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%
$874,800
Cap Rate 7%
$624,857
Cap Rate 9%
$486,000
Alternative Uses
Best Use
Office B
$624.9K
$546.8K – $729.0K
NOI $43,740 @ 7.0% cap · market cap 3.46%
Second Best
Healthcare Medical
$496.2K
$434.2K – $578.9K
NOI $34,736 @ 7.0% cap · market cap 2.75%
Theoretical Best
Office A
$785.0K
$686.9K – $915.8K
NOI $54,948 @ 7.0% cap · market cap 4.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
256
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 28037, NC
25,596
Population
11,930
Households
2.1
Avg Household Size
46
Median Age
46%
College-Educated
96%
High-School Grad
44.7 sq mi
ZIP Area
573
Density / Sq Mi
$109,779
Median Household Income
$54,345
Median Earnings
$1,126
Median Rent
$455,700
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.
Frequently Asked Questions
What type of property is this?
Office space - One-of-a-kind office space designed for client entertainment and general business.
Where is this office space located?
The property is located at 2173 Smith Harbour Drive Denver, NC.
What is the asking price?
The asking price for this property is $1,265,000.
What are key features of this property?
This property features: Unique office space designed to impress clients and suitable for various business uses.; Executive suite featuring glass panel doors, a striking 2‑story focal wall, and a private bath.; Lobby featuring heavy timbers, natural wood ceilings, and a 2‑story stone fireplace.
