Building Details

Year Built 1975

Tenancy Multi

Listing Agency: SVN | Miller Commercial Real Estate Salisbury

Listed By: John Foster · License #MD 642983 Show Phone

Source: Crexi

Added: Jul 25 Changed: Sep 7 Last Checked: Sep 22 at 5:29PM

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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 two-story office space totals 1,400 square feet, with 800 square feet on the first floor and 600 square feet on the second floor. The first floor includes three private offices plus a bull pen area. The second floor features a conference room and meeting area, suited for client meetings and internal collaboration.

The property is located directly off US 301 in Queenstown, providing easy access to both north and southbound traffic. Pillar signage is available to support visibility from the roadway. It is described as approximately 10 minutes from the Bay Bridge and 20 minutes to Easton.

In addition to this suite, two adjacent offices—688 square feet and 598 square feet—may be combined, allowing for a larger single-tenant footprint if desired.

Key Highlights

• 1,400 SF two‑story office space with 800 SF on the first floor and 600 SF on the second floor
• First floor includes three private offices and a bull pen area
• Second floor features a conference room and meeting area

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

$18,832

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

3.22%

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%

$376,640 $376.6K

Cap Rate 7%

$269,029 $269.0K

Cap Rate 9%

$209,244 $209.2K

Market Conditions

NOI Build-Up for 2,686 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

$30.6K $11.40/SF

− Vacancy

−$5.5K −$2.05/SF

EGI

$25.1K $9.35/SF

− OpEx

−$6.3K −$2.34/SF

NOI

$18.8K $7.01/SF

Area

Queen Anne's County, MD

Vacancy

18.00%

Lease Rate

$11.40 /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%

$376,640

Cap Rate 7%

$269,029

Cap Rate 9%

$209,244

Alternative Uses

Best Use

Office B

$269.0K

$235.4K – $313.9K (±1% cap)

NOI $18,832 @ 7.0% cap · market cap 3.22%

Second Best

—

—

no second resolved use

Theoretical Best

Office A

$643.5K

$563.1K – $750.7K (±1% cap)

NOI $45,044 @ 7.0% cap · market cap 7.70%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

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Current Use

Elaine McNeil, Tidewater ... Real Estate Agency Queen Anne's County ... Advocacy Group

Suggested Use

Top Pick HVAC Service Bakery Garden Center Parking Lot & Garage (Bike/Boat/Book/etc) Store Hair Salon

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Lease Details

Multi-tenant

Tenancy

Yes

Highway access

Yes

Paved road access

Location Intelligence

Trade Area within ½ mile

234

Businesses Nearby

Explore this area Business Placement

Demographics for 21658, MD

3,723

Population

1,827

Households

2

Avg Household Size

49

Median Age

43%

College-Educated

94%

High-School Grad

39.0 sq mi

ZIP Area

95

Density / Sq Mi

$132,500

Median Household Income

$53,131

Median Earnings

$1,775

Median Rent

$471,300

Median Home Value

Market

Vacancy Rate% for Office in South region

14.4% 2019

16.4% 2020

17.3% 2021

18% 2022

18.6% 2023

20.3% 2024

20.2% 2025

Questions? Ask Rey

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What type of property is this? Where is this office units located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Office units - Two-story office space offers multiple private offices, a bull pen area, and a conference/meeting area off US 301.

Where is this office units located?

The property is located at 121 Clay Dr Queenstown, MD.

What is the asking price?

The asking price for this property is $585,000.

What are key features of this property?

This property features: 1,400 SF two‑story office space with 800 SF on the first floor and 600 SF on the second floor; First floor includes three private offices and a bull pen area; Second floor features a conference room and meeting area