Freestanding Retail Showroom
For Sale
$1,250,000
507 NW Mary Esther Cut Off, Fort Walton Beach, FL 32548
Turnkey, fully renovated freestanding building on a heavily traveled corridor, suited for retail, showroom, or service use.
Property Size3,760 SF
Price / SF$332.45
Days on Market44
Property Features for 507 NW Mary Esther Cut Off
General Information
Standard status
Active
Size
3,760 SF
Class
Industrial, Income Producing, Retail
Zoning
Mixed Use
Additional Details
Business Included
Yes
Listing Agency:
(850) 852-7653
Listed By:
Brian and Mel Marshall
(850) 852-7653
Source:
Stagerightgroup.idxbroker
Added: Jul 1
Changed: Aug 8
Last Checked: Aug 12 at 3:16AM
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 Brian and Mel Marshall
Investment Insights
Based on property information with market context.
This freestanding commercial building offers a versatile showroom and retail-oriented layout in a fully renovated condition. The interior has updated finishes, complemented by recent exterior improvements including a new metal roof, new HVAC, and exterior panel replacements. The space is described as turnkey, with the ability for the property to be vacated within 30 days after close, supporting an efficient move-in for an owner-user or a streamlined transition for a tenant.
The property is positioned along the heavily traveled Mary Esther Cutoff and sits just east of a lighted intersection. This placement is intended to support strong day-to-day visibility and straightforward customer access from the main corridor.
With its renovated interior and exterior systems, the building is practical for businesses seeking an immediately usable storefront format. The stated versatility aligns with retail, showroom, or service-based operations, and the owner-user or investor can benefit from the property’s move-in timeline following closing. Overall, it presents a ready-to-occupy freestanding option in a high-traffic setting, with improvements already addressed through the renovation and equipment upgrades noted in the offering.
The property is positioned along the heavily traveled Mary Esther Cutoff and sits just east of a lighted intersection. This placement is intended to support strong day-to-day visibility and straightforward customer access from the main corridor.
With its renovated interior and exterior systems, the building is practical for businesses seeking an immediately usable storefront format. The stated versatility aligns with retail, showroom, or service-based operations, and the owner-user or investor can benefit from the property’s move-in timeline following closing. Overall, it presents a ready-to-occupy freestanding option in a high-traffic setting, with improvements already addressed through the renovation and equipment upgrades noted in the offering.
Key Highlights
- 3,760 SF freestanding commercial building on the heavily traveled Mary Esther Cutoff
- Fully renovated interior with updated finishes
- New metal roof, new HVAC, and exterior panel replacements
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
$54,048
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
4.32%
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%
$1,080,960
$1.1M
Cap Rate 7%
$772,114
$772.1K
Cap Rate 9%
$600,533
$600.5K
Market Conditions
NOI Build-Up for 3,760 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
$83.5K $22.20/SF
− Vacancy
−$6.3K −$1.67/SF
EGI
$77.2K $20.54/SF
− OpEx
−$23.2K −$6.16/SF
NOI
$54.0K $14.37/SF
Area
Okaloosa County, FL
Vacancy
7.50%
Lease Rate
$22.20 /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%
$1,080,960
Cap Rate 7%
$772,114
Cap Rate 9%
$600,533
Alternative Uses
Best Use
Retail
$772.1K
$675.6K – $900.8K
NOI $54,048 @ 7.0% cap · market cap 4.32%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.45M
$1.27M – $1.69M
NOI $101,429 @ 7.0% cap · market cap 8.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
895
Businesses Nearby
393k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 36%
Apparel 16%
Groceries 15%
Shops & Services 14%
T.J. Maxx
Apparel
47,966 visits/mo
0.4 miles
Publix
Groceries
33,069 visits/mo
0.3 miles
The Home Depot
Home Improvements & Furnishings
31,524 visits/mo
0.4 miles
Aldi
Groceries
24,531 visits/mo
0.2 miles
Michaels
Shops & Services
23,304 visits/mo
0.5 miles
Demographics for 32548, FL
22,399
Population
14,040
Households
1.6
Avg Household Size
42
Median Age
31%
College-Educated
91%
High-School Grad
12.1 sq mi
ZIP Area
1,851
Density / Sq Mi
$63,857
Median Household Income
$37,725
Median Earnings
$1,281
Median Rent
$291,000
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - Turnkey, fully renovated freestanding building on a heavily traveled corridor, suited for retail, showroom, or service use.
Where is this storefront property located?
The property is located at 507 NW Mary Esther Cut Off Fort Walton Beach, FL.
What is the asking price?
The asking price for this property is $1,250,000.
What are key features of this property?
This property features: 3,760 SF freestanding commercial building on the heavily traveled Mary Esther Cutoff; Fully renovated interior with updated finishes; New metal roof, new HVAC, and exterior panel replacements
