Harbor Boulevard Mixed-Use
For Sale
$4,495,000
220 Harbor Boulevard #Units 1-10, Destin, FL 32541
Renovated mixed-use building with retail and residential units.
Property Size20,000 SF
Lot Size1.00 Acre
Price / SF$224.75
Days on Market1219
Property Features for 220 Harbor Boulevard #Units 1-10
General Information
Standard status
Active
Size
20,000 SF
Lot size
1.00 Acre
Property subtype
Commercial
Listing Agency:
SOMERS & COMPANY
(850) 654-7777
Listed By:
JOHN PAUL SOMERS · License #3210089
Source:
Corcoran
Added: Apr 12, 2023
Changed: Aug 8
Last Checked: Aug 8 at 6:07AM
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 SOMERS & COMPANY
Investment Insights
Based on property information with market context.
The entire building for sale is located on the South side of Harbor Boulevard in Destin, Florida. It encompasses 10 contiguous commercial retail storefront units, each measuring approximately 600 square feet, in addition to 10 two-story apartments, each measuring approximately 1,400 square feet with 2 bedrooms and 2.5 baths, featuring front and rear balconies. The site contains nearly 1-acre with approximately 220 feet of Highway 98 (aka, Harbor Boulevard) frontage, and a total of 56 parking spaces. Each of the 10 separate deeds include 1 commercial retail storefront and 1 residential apartment atop the commercial space, both offering independent access, thus allowing for two different tenants in each of the units; in other words, the building in entirety could host 20 different tenants. The entire building has been renovated. The City of Destin zoning is known as South Harbor Mixed Use (SHMU). The strategic location of the site creates exceptional synergy from patrons walking across Harbor Boulevard from one of the City of Destin's largest public parking lots, which is located on the North side of Harbor Boulevard with a pedestrian crossing directing visitors to the retail storefronts of this subject venue, known as Harbor Village.
Key Highlights
- Strategic location on Harbor Boulevard with direct pedestrian access from a large public parking lot.
- Mix of (10) commercial retail storefront units and (10) two‑story apartments, offering diverse income streams.
- Recently renovated building.
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
$230,580
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
5.13%
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%
$4,611,600
$4.6M
Cap Rate 7%
$3,294,000
$3.3M
Cap Rate 9%
$2,562,000
$2.6M
Market Conditions
NOI Build-Up for 20,000 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
$360.0K $18.00/SF
− Vacancy
−$30.6K −$1.53/SF
EGI
$329.4K $16.47/SF
− OpEx
−$98.8K −$4.94/SF
NOI
$230.6K $11.53/SF
Area
Walton County, FL
Vacancy
8.50%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
30.00%
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%
$4,611,600
Cap Rate 7%
$3,294,000
Cap Rate 9%
$2,562,000
Alternative Uses
Best Use
Retail
$3.29M
$2.88M – $3.84M
NOI $230,580 @ 7.0% cap · market cap 5.13%
Second Best
Apartment 5plus
$3.16M
$2.77M – $3.69M
NOI $221,496 @ 7.0% cap · market cap 4.93%
Theoretical Best
Office A
$5.03M
$4.40M – $5.87M
NOI $352,080 @ 7.0% cap · market cap 7.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,421
Businesses Nearby
Explore this area
Business Placement
Demographics for 32541, FL
18,419
Population
16,390
Households
1.1
Avg Household Size
45
Median Age
48%
College-Educated
95%
High-School Grad
12.6 sq mi
ZIP Area
1,462
Density / Sq Mi
$93,004
Median Household Income
$47,991
Median Earnings
$1,976
Median Rent
$498,600
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Renovated mixed-use building with retail and residential units.
Where is this mixed-use property located?
The property is located at 220 Harbor Boulevard #Units 1-10 Destin, FL.
What is the asking price?
The asking price for this property is $4,495,000.
What are key features of this property?
This property features: Strategic location on Harbor Boulevard with direct pedestrian access from a large public parking lot.; Mix of (10) commercial retail storefront units and (10) two‑story apartments, offering diverse income streams.; Recently renovated building.
