Commercial Building Near I-5
For Sale
$899,000
1101 Dale Ln, Mount Vernon, WA 98274
Commercial light industrial building with easy I-5 access and existing leases.
Property Size5,400 SF
Lot Size0.35 Acres
Price / SF$166.48
Days on Market560
Property Features for 1101 Dale Ln
General Information
Standard status
Active
Size
5,400 SF
Lot size
0.35 Acres
Taxes and HOA fees
Annual Taxes
$7,142
Listing Agency:
Skagit Tradition Realty, LLC
(360) 424-0300
Listed By:
Danya Wolf · License #01988
(360) 424-0300
Source:
Exprealty
Added: Feb 6, 2025
Changed: Aug 18
Last Checked: Aug 20 at 9:48AM
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 Skagit Tradition Realty, LLC
Investment Insights
Based on property information with market context.
This 5,400 square foot commercial light industrial building is situated on a 0.3576 acre lot. The property features four 8-foot roll-up doors and four entry doors. The building includes ten-foot ceilings throughout. The layout comprises four reception areas and four half-baths, with the remaining space configured for shop and warehouse use, offering a light manufacturing option. The location provides convenient access to I-5. Units C and D are currently under a one-year lease, expiring December 31st, 2026, with a monthly lease amount of $3,000.00 plus utilities.
Key Highlights
- Zoned Commercial Light Industrial, offering versatile usage options.
- Great location with easy access to I‑5.
- Existing leases on Units C and D provide immediate income ($3,000/month + utilities) through December 31st, 2026.
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
$55,367
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
6.16%
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%
$1,107,340
$1.1M
Cap Rate 7%
$790,957
$791.0K
Cap Rate 9%
$615,189
$615.2K
Market Conditions
NOI Build-Up for 5,400 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
$66.1K $12.24/SF
− Vacancy
−$958 −$0.18/SF
EGI
$65.1K $12.06/SF
− OpEx
−$9.8K −$1.81/SF
NOI
$55.4K $10.25/SF
Area
Skagit County, WA
Vacancy
1.45%
Lease Rate
$12.24 /SF/Yr
Expense Ratio
15.00%
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%
$1,107,340
Cap Rate 7%
$790,957
Cap Rate 9%
$615,189
Alternative Uses
Best Use
Office B
$1.65M
$1.44M – $1.92M
NOI $115,379 @ 7.0% cap · market cap 12.83%
Second Best
Warehouse
$791.0K
$692.1K – $922.8K
NOI $55,367 @ 7.0% cap · market cap 6.16%
Theoretical Best
Office A
$2.20M
$1.92M – $2.56M
NOI $153,736 @ 7.0% cap · market cap 17.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
197
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 98274, WA
18,949
Population
7,868
Households
2.4
Avg Household Size
43
Median Age
33%
College-Educated
93%
High-School Grad
143.1 sq mi
ZIP Area
132
Density / Sq Mi
$93,762
Median Household Income
$46,724
Median Earnings
$1,716
Median Rent
$492,400
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?
Flex space - Commercial light industrial building with easy I-5 access and existing leases.
Where is this flex space located?
The property is located at 1101 Dale Ln Mount Vernon, WA.
What is the asking price?
The asking price for this property is $899,000.
What are key features of this property?
This property features: Zoned Commercial Light Industrial, offering versatile usage options.; Great location with easy access to I‑5.; Existing leases on Units C and D provide immediate income ($3,000/month + utilities) through December 31st, 2026.
