Remodeled Office Space For
For Sale
$424,500
12724 SE STARK #68&69 P, Portland, OR 97233
Recently remodeled office condominium, ideal for owner-occupiers or investors.
Property Size1,550 SF
Price / SF$273.87
Days on Market426
Property Features for 12724 SE STARK #68&69 P
General Information
Standard status
Active
Size
1,550 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$4,534
Amenities
Central air
Central Air Cooling
Fiberglass Roof
Forced Air Heating
On Site
Paved
Shingle Roof
Building Details
Year Built
1981
Listing Agency:
JIM KUNKEL REALTY
(503) 252-1166
Listed By:
LANCE KUNKEL
Source:
Corcoran
Added: Jun 23, 2025
Changed: Aug 8
Last Checked: Aug 22 at 5:31AM
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 JIM KUNKEL REALTY
Investment Insights
Based on property information with market context.
This commercial office space presents an opportunity for ownership within an office condominium complex. The property has been recently remodeled with new paint, floor coverings, and window blinds. The office is part of a well-established and managed HOA, which covers garbage, sewer, water, exterior maintenance (including roofing), grounds keeping, and complex management. HOA dues are currently $695 per month, with additional signage space available on Stark Street for $75 per month. The 1550 square foot office space can be subdivided into two separate units, one 500 sq ft and the other 1,050 sq ft, each with independent entrance doors and bathroom facilities, allowing for separate ownership and leasing. Ample parking is available around the centrally located office. This property is for sale, the business currently located at the site is not for sale as part of this transaction.
Key Highlights
- Opportunity to own commercial office space and build equity instead of renting.
- Can be subdivided into two separate leasable units (500 sq ft and 1,050 sq ft) with independent entrances and bathrooms.
- Recently remodeled with new paint, floor coverings, and window blinds.
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
$20,064
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
4.73%
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%
$401,280
$401.3K
Cap Rate 7%
$286,629
$286.6K
Cap Rate 9%
$222,933
$222.9K
Market Conditions
NOI Build-Up for 1,550 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
$35.3K $22.80/SF
− Vacancy
−$8.6K −$5.54/SF
EGI
$26.8K $17.26/SF
− OpEx
−$6.7K −$4.31/SF
NOI
$20.1K $12.94/SF
Area
Portland, OR
Vacancy
24.30%
Lease Rate
$22.80 /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%
$401,280
Cap Rate 7%
$286,629
Cap Rate 9%
$222,933
Alternative Uses
Best Use
Office B
$286.6K
$250.8K – $334.4K
NOI $20,064 @ 7.0% cap · market cap 4.73%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$435.3K
$380.9K – $507.8K
NOI $30,469 @ 7.0% cap · market cap 7.18%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
506
Businesses Nearby
Explore this area
Business Placement
Demographics for 97233, OR
41,625
Population
14,844
Households
2.8
Avg Household Size
34
Median Age
18%
College-Educated
80%
High-School Grad
4.6 sq mi
ZIP Area
9,049
Density / Sq Mi
$54,886
Median Household Income
$37,216
Median Earnings
$1,352
Median Rent
$385,100
Median Home Value
Market
Vacancy Rate% for Office in Portland, OR
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Recently remodeled office condominium, ideal for owner-occupiers or investors.
Where is this office units located?
The property is located at 12724 SE STARK #68&69 P Portland, OR.
What is the asking price?
The asking price for this property is $424,500.
What are key features of this property?
This property features: Opportunity to own commercial office space and build equity instead of renting.; Can be subdivided into two separate leasable units (500 sq ft and 1,050 sq ft) with independent entrances and bathrooms.; Recently remodeled with new paint, floor coverings, and window blinds.
