Medical Office Building with Hospital
For Sale
Under Contract
$2,250,000
1264 Malabar Road SE, Palm Bay, FL 32907
SINGLE_FAMILY - Palm Bay, FL
Property Size5,010 SF
Lot Size3.49 Acres
Price / SF$449.10
Days on Market130
Property Features for 1264 Malabar Road SE
General Information
Property type
Residential
Property subtype
Office
Bathrooms
5
Full bathrooms
5
Rooms
Bathroom 4, Bathroom 3, Bathroom 5, Bathroom 1, Bathroom 2
Parking features
Parking Lot, Assigned, Off Street
Directions
From I95, east on Malabar Rd. to 1264 on the right (just before Babcock St.).
Subdivision
343 - SE Palm Bay
Standard status
Active Under Contract
APN
29-37-04-00-00010.0-0000.00
Size
5,010 SF
Lot size
3.49 Acres
Taxes and HOA fees
Tax Year
2024
Tax Description
PART OF LOT 32 OF PB 1 PG 165 AS DESC IN ORB 2716 PG 623 EXC ORB 6740 PG 938 & HWY R/W
Tax Annual Amount
17681
Legal Description
PART OF LOT 32 OF PB 1 PG 165 AS DESC IN ORB 2716 PG 623 EXC ORB 6740 PG 938 & HWY R/W
Utilities
Sewer type
Public Sewer
Heating system
Electric (Heating), Central
Cooling system
Electric, Central Air
Water source
Public
Building Details
Year built
1988
Floors in Building
1
Number of units
1
Building materials
Block, Stucco
Listing Agency:
Rahal Real Estate LLC
(321) 631-0511
Listed By:
Michael J Toppa · License #132713
(321) 543-3540
Added: Apr 22
Changed: Aug 2
Last Checked: Aug 29 at 3:06PM
MLS# 1075327
Copyright © 2026 Space Coast Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This medical office building is positioned as an income-producing asset anchored by a stable hospital tenant that has been in place since 2019. The current lease is stated to run through 2027, with two one-year renewal options. The property includes a 1988-built block and stucco structure with central electric heating and central air cooling, plus public water and public sewer service. Parking is available via a parking lot with assigned, off-street spaces. The building sits on a 3.49-acre lot and is reported at 5,010 square feet.
Located at 1264 Malabar Road SE in Palm Bay, just off the Malabar Road corridor, the site is positioned for tenants and customers seeking access to a busy roadway. The roof was replaced in October 2025.
With its established tenancy and updated roofing, the property may also serve as a development site given the presence of development language in the offering materials.
Located at 1264 Malabar Road SE in Palm Bay, just off the Malabar Road corridor, the site is positioned for tenants and customers seeking access to a busy roadway. The roof was replaced in October 2025.
With its established tenancy and updated roofing, the property may also serve as a development site given the presence of development language in the offering materials.
Key Highlights
- Medical office building anchored by a hospital tenant since 2019
- Lease stated to run through 2027 with two one‑year renewal options
- New roof installed October 2025
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
$68,176
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
3.03%
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%
$1,363,520
$1.4M
Cap Rate 7%
$973,943
$973.9K
Cap Rate 9%
$757,511
$757.5K
Market Conditions
NOI Build-Up for 5,010 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
$108.2K $21.60/SF
− Vacancy
−$17.3K −$3.46/SF
EGI
$90.9K $18.14/SF
− OpEx
−$22.7K −$4.54/SF
NOI
$68.2K $13.61/SF
Area
Palm Bay, FL
Vacancy
16.00%
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%
$1,363,520
Cap Rate 7%
$973,943
Cap Rate 9%
$757,511
Alternative Uses
Best Use
Office B
$973.9K
$852.2K – $1.14M
NOI $68,176 @ 7.0% cap · market cap 3.03%
Second Best
Healthcare Medical
$900.8K
$788.2K – $1.05M
NOI $63,054 @ 7.0% cap · market cap 2.80%
Theoretical Best
Office A
$1.32M
$1.16M – $1.54M
NOI $92,525 @ 7.0% cap · market cap 4.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
662
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 32907, FL
44,432
Population
17,761
Households
2.5
Avg Household Size
44
Median Age
22%
College-Educated
91%
High-School Grad
17.7 sq mi
ZIP Area
2,510
Density / Sq Mi
$71,827
Median Household Income
$36,498
Median Earnings
$1,693
Median Rent
$253,700
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.
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- Malabar Veterinary Clinic — 1366 Malabar Rd #2, Palm Bay, FL 32907
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- Ark & Bark Animal Hospital Debbie Butler DVM — 1563 Georgia St NE Suite 2, Palm Bay, FL 32909
Frequently Asked Questions
What type of property is this?
Medical Office Space - Established medical office anchored by a hospital tenant, with a new roof installed in October 2025 and a lease extending to 2027.
Where is this medical office space located?
The property is located at 1264 Malabar Road SE Palm Bay, FL.
What is the asking price?
The asking price for this property is $2,250,000.
What are key features of this property?
This property features: Medical office building anchored by a hospital tenant since 2019; Lease stated to run through 2027 with two one‑year renewal options; New roof installed October 2025
