Sophisticated Office Space in
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1215 - 1241 State St, Salem, OR 97301
Premier office building in Salem's business and government hub.
Property Size77,414 SF
Price / SF$226.06
Days on Market178
Property Features for 1215 - 1241 State St
General Information
Standard status
Active
Size
77,414 SF
Class
A
Property subtype
Office
Zoning
MU-I
Lease Type
Gross
Building Details
Year Built
1996
Tenancy
Multi
Listing Agency:
Tradition Real Estate Partners
(503) 998-9817
Listed By:
Matt Bassist · License #OR 200010026
Source:
Crexi
Added: Feb 23
Changed: Aug 8
Last Checked: Aug 8 at 6:29AM
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 Tradition Real Estate Partners
Investment Insights
Based on property information with market context.
The Robertson Building in Salem, Oregon, provides 77,414 square feet of office space. Move-in-ready suites include private offices, conference rooms, and natural light. The property is located in the MU-I zone along State Street, near Willamette University and the Oregon State Capitol, placing it in Salem’s business and government hub. The building is professionally managed. Situated in Salem’s Northeast Neighbors neighborhood, The Robertson Building is at the core of the city’s business, government, and cultural districts. Positioned along State Street, a primary arterial, the property is steps from Willamette University, the Oregon State Capitol, Salem City Hall, and Marion County offices. The surrounding area features eight restaurants, nine educational institutions, and a childcare facility within a half mile. Nearby transit options and access to Interstate 5 ensure connectivity, while the Willamette River and Riverfront Park are a short walk away. The Robertson Building is suited for office tenants, aligning with its current buildout and the MU-I zone’s emphasis on pedestrian-oriented development. The building’s design, with 14-foot ground-floor heights and pedestrian-oriented features like weather protection, supports active commercial uses along State Street. The MU-I zone also permits home occupations and accessory dwelling units, offering flexibility for mixed-use adaptations.
Key Highlights
- Premier location in Salem's business and government hub, steps from Willamette University and the Oregon State Capitol.
- Move‑in‑ready, sophisticated office suites with private offices, conference rooms, and abundant natural light.
- Full‑Service Lease at $24.00/SF/month, simplifying budgeting and property management.
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
$1,065,991
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
6.09%
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%
$21,319,820
$21.3M
Cap Rate 7%
$15,228,443
$15.2M
Cap Rate 9%
$11,844,344
$11.8M
Market Conditions
NOI Build-Up for 77,414 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
$1.67M $21.60/SF
− Vacancy
−$250.8K −$3.24/SF
EGI
$1.42M $18.36/SF
− OpEx
−$355.3K −$4.59/SF
NOI
$1.07M $13.77/SF
Area
Salem, OR
Vacancy
15.00%
Lease Rate
$21.60 /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%
$21,319,820
Cap Rate 7%
$15,228,443
Cap Rate 9%
$11,844,344
Alternative Uses
Best Use
Office B
$15.23M
$13.32M – $17.77M
NOI $1,065,991 @ 7.0% cap · market cap 6.09%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$20.55M
$17.98M – $23.98M
NOI $1,438,786 @ 7.0% cap · market cap 8.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,770
Businesses Nearby
Explore this area
Business Placement
Demographics for 97301, OR
56,393
Population
21,419
Households
2.6
Avg Household Size
34
Median Age
18%
College-Educated
81%
High-School Grad
11.3 sq mi
ZIP Area
4,991
Density / Sq Mi
$57,497
Median Household Income
$33,220
Median Earnings
$1,197
Median Rent
$310,800
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Premier office building in Salem's business and government hub.
Where is this office building located?
The property is located at 1215 - 1241 State St Salem, OR.
What is the asking price?
The asking price for this property is $17,500,000.
What are key features of this property?
This property features: Premier location in Salem's business and government hub, steps from Willamette University and the Oregon State Capitol.; Move‑in‑ready, sophisticated office suites with private offices, conference rooms, and abundant natural light.; Full‑Service Lease at $24.00/SF/month, simplifying budgeting and property management.
