Flex Space in Professional
For Sale
$245,900
Pending
12627 SUNSET AVENUE 4, Ocean City, MD 21842
2004 commercial space with parking, central air, and heat-pump heating.
Property Size1,000 SF
Days on Market83
Property Features for 12627 SUNSET AVENUE 4
General Information
Standard status
Pending
Size
1,000 SF
Total Parking Spaces
2
Zoning
CM
Taxes and HOA fees
Annual Taxes
$1,327
Amenities
Central Air
Heat Pump
Electric Water Heater
Parking Lot
Building Details
Building Size
1,000 SF
Year Built
2004
Listing Agency:
Berkshire Hathaway HomeServices Penfed Realty
(443) 373-4324
Listed By:
Christopher DiGristine · License #528886
(443) 373-4324
Source:
Evrealestate
Added: May 19
Changed: Aug 8
Last Checked: Aug 9 at 7:57AM
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 Berkshire Hathaway HomeServices Penfed Realty
Investment Insights
Based on property information with market context.
This flex space is located within the Bayside Professional Center complex at 12627 Sunset Avenue, Suite 4, in Ocean City, Maryland. Constructed in 2004, the property includes central air, heat-pump heating, and an electric water heater.
The property is zoned CM and includes an on-site parking lot. Its location in a professional center provides a commercial setting for evaluating the space within Ocean City’s business environment.
The property is zoned CM and includes an on-site parking lot. Its location in a professional center provides a commercial setting for evaluating the space within Ocean City’s business environment.
Key Highlights
- Flex space at 12627 Sunset Avenue, Suite 4, Ocean City, MD 21842
- Located in the Bayside Professional Center complex
- CM zoning
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
$10,530
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
4.28%
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%
$210,600
$210.6K
Cap Rate 7%
$150,429
$150.4K
Cap Rate 9%
$117,000
$117.0K
Market Conditions
NOI Build-Up for 1,000 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
$18.0K $18.00/SF
− Vacancy
−$1.8K −$1.80/SF
EGI
$16.2K $16.20/SF
− OpEx
−$5.7K −$5.67/SF
NOI
$10.5K $10.53/SF
Area
Worcester County, MD
Vacancy
10.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
35.00%
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%
$210,600
Cap Rate 7%
$150,429
Cap Rate 9%
$117,000
Alternative Uses
Best Use
Flex RnD
$150.4K
$131.6K – $175.5K
NOI $10,530 @ 7.0% cap · market cap 4.28%
Second Best
Warehouse
$129.9K
$113.7K – $151.6K
NOI $9,096 @ 7.0% cap · market cap 3.70%
Theoretical Best
Office A
$240.3K
$210.3K – $280.4K
NOI $16,822 @ 7.0% cap · market cap 6.84%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
518
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 21842, MD
11,104
Population
32,684
Households
0.3
Avg Household Size
53
Median Age
39%
College-Educated
95%
High-School Grad
9.2 sq mi
ZIP Area
1,207
Density / Sq Mi
$75,372
Median Household Income
$40,189
Median Earnings
$1,258
Median Rent
$415,900
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Connoisseurs Fine Food and Wine — 9923 Stephen Decatur Hwy, Ocean City, MD 21842
Frequently Asked Questions
What type of property is this?
Flex space - 2004 commercial space with parking, central air, and heat-pump heating.
Where is this flex space located?
The property is located at 12627 SUNSET AVENUE 4 Ocean City, MD.
What is the asking price?
The asking price for this property is $245,900.
What are key features of this property?
This property features: Flex space at 12627 Sunset Avenue, Suite 4, Ocean City, MD 21842; Located in the Bayside Professional Center complex; CM zoning
