Former Retail Space on
For Sale
$3,500,000
22201 Meridian Ave E, Graham, WA 98338
High-traffic location, former Rite Aid available for sale.
Property Size17,471 SF
Price / SF$200.33
Days on Market1031
Property Features for 22201 Meridian Ave E
General Information
Standard status
Active
Size
17,471 SF
Building Details
Year Built
2009
Listing Agency:
KIDDER MATHEWS
Listed By:
BRIAN ENGELKING · License #24581
(253) 722-1418
Source:
Corcoran
Added: Nov 8, 2023
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 KIDDER MATHEWS
Investment Insights
Based on property information with market context.
This is a former Rite Aid retail property situated at the intersection of 224th and Meridian. The property has a size of 17471 square feet and is located in Graham, WA.
Key Highlights
- High traffic intersection location
- Former Rite Aid
- Built in 2009
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
$174,724
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
4.99%
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%
$3,494,480
$3.5M
Cap Rate 7%
$2,496,057
$2.5M
Cap Rate 9%
$1,941,378
$1.9M
Market Conditions
NOI Build-Up for 17,471 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
$251.6K $14.40/SF
− Vacancy
−$18.6K −$1.07/SF
EGI
$233.0K $13.33/SF
− OpEx
−$58.2K −$3.33/SF
NOI
$174.7K $10.00/SF
Area
Pierce County, WA
Vacancy
7.40%
Lease Rate
$14.40 /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%
$3,494,480
Cap Rate 7%
$2,496,057
Cap Rate 9%
$1,941,378
Alternative Uses
Best Use
Specialty Retail
$2.50M
$2.18M – $2.91M
NOI $174,724 @ 7.0% cap · market cap 4.99%
Second Best
Retail
$2.16M
$1.89M – $2.52M
NOI $151,453 @ 7.0% cap · market cap 4.33%
Theoretical Best
Office A
$4.72M
$4.13M – $5.51M
NOI $330,311 @ 7.0% cap · market cap 9.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
372
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 98338, WA
30,147
Population
11,336
Households
2.7
Avg Household Size
39
Median Age
19%
College-Educated
92%
High-School Grad
53.9 sq mi
ZIP Area
559
Density / Sq Mi
$112,788
Median Household Income
$55,190
Median Earnings
$1,889
Median Rent
$471,800
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- James K. Kao, RPh — 22201 Meridian Ave E, Graham, WA 98338
- COVID-19 Drive-Thru Testing at Walgreens — 22320 meridian ave e, graham, wa 983388427
- Michael Howard — 22320 Meridian E, Graham, WA 983388427
- Rite Aid Pharmacy — 22201 Meridian Ave E, Graham, WA 98338
- Walgreens Pharmacy — 22320 Meridian E, Graham, WA 98338
Frequently Asked Questions
What type of property is this?
Drug store - High-traffic location, former Rite Aid available for sale.
Where is this drug store located?
The property is located at 22201 Meridian Ave E Graham, WA.
What is the asking price?
The asking price for this property is $3,500,000.
What are key features of this property?
This property features: High traffic intersection location; Former Rite Aid; Built in 2009
