McKenzie Suites Office
For Sale
Contact for pricing
124 North McDonough Street, Jonesboro, GA 30236
Executive-suite offices serving multiple small-business occupants in Downtown Jonesboro.
Property Size11,904 SF
Price / SF$184.81
Days on Market16
Property Features for 124 North McDonough Street
General Information
Standard status
Active
Size
11,904 SF
Class
B
Property subtype
Office, Land
Zoning
H1
Occupancy
59%
Lease Type
Modified Gross
Investment Type
Value Add
Property Condition
Severity
Repairs Needed
Evidence
light renovations
Building Details
Year Built
1970
Year Renovated
1988
Buildings
3
Stories
2
Tenancy
Multi
Listing Agency:
Marcus & Millichap - Atlanta
Listed By:
Curtis Edgar · License #438778
Source:
Crexi
Added: Aug 17
Changed: Aug 30
Last Checked: Aug 30 at 12:01AM
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 Marcus & Millichap - Atlanta
Investment Insights
Based on property information with market context.
McKenzie Suites is an office property comprising 11,904 square feet, with an executive-suite configuration and space leased to a range of small-business occupants. The building was constructed in 1970 and carries H1 zoning.
The property is located at 124 North McDonough Street in Downtown Jonesboro, within the Aerotropolis Atlanta submarket. Tara Boulevard is minutes away, and Hartsfield-Jackson International Airport is part of the surrounding regional context.
The property is located at 124 North McDonough Street in Downtown Jonesboro, within the Aerotropolis Atlanta submarket. Tara Boulevard is minutes away, and Hartsfield-Jackson International Airport is part of the surrounding regional context.
Key Highlights
- 11,904‑square‑foot office property
- Executive‑suite configuration
- Leased to a diversified group of small‑business occupants
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
$159,407
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
7.25%
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%
$3,188,140
$3.2M
Cap Rate 7%
$2,277,243
$2.3M
Cap Rate 9%
$1,771,189
$1.8M
Market Conditions
NOI Build-Up for 11,904 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
$284.1K $23.87/SF
− Vacancy
−$71.6K −$6.02/SF
EGI
$212.5K $17.85/SF
− OpEx
−$53.1K −$4.46/SF
NOI
$159.4K $13.39/SF
Area
Clayton County, GA
Vacancy
25.20%
Lease Rate
$23.87 /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%
$3,188,140
Cap Rate 7%
$2,277,243
Cap Rate 9%
$1,771,189
Alternative Uses
Best Use
Office B
$2.28M
$1.99M – $2.66M
NOI $159,407 @ 7.0% cap · market cap 7.25%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.33M
$2.91M – $3.88M
NOI $232,934 @ 7.0% cap · market cap 10.59%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
930
Businesses Nearby
Explore this area
Business Placement
Demographics for 30236, GA
50,446
Population
19,230
Households
2.6
Avg Household Size
36
Median Age
22%
College-Educated
84%
High-School Grad
32.4 sq mi
ZIP Area
1,557
Density / Sq Mi
$68,867
Median Household Income
$36,501
Median Earnings
$1,233
Median Rent
$219,700
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - Executive-suite offices serving multiple small-business occupants in Downtown Jonesboro.
Where is this office building located?
The property is located at 124 North McDonough Street Jonesboro, GA.
What is the asking price?
The asking price for this property is $2,200,000.
What are key features of this property?
This property features: 11,904‑square‑foot office property; Executive‑suite configuration; Leased to a diversified group of small‑business occupants
