Fully Leased Office Investment
For Sale
$6,425,000
2500 NE Twin Knolls Dr, Bend, OR 97701
Fully leased office building on a busy east-side corridor with NNN-lease tenants.
Property Size25,200 SF
Days on Market42
Property Features for 2500 NE Twin Knolls Dr
General Information
Standard status
Active
Size
25,200 SF
Class
B
Property subtype
Office - General Office
Occupancy
100%
Site & Location
Highway Access
Yes
Road Access
Yes
Building Details
Building Size
25,200 SF
Year Built
2007
Units
140
Tenancy
Multi
Listing Agency:
NAI Cascade
Listed By:
Walt Ramage · License ##200602408
(541) 706-9370
Source:
Commercialcafe
Added: Jul 26
Changed: Sep 4
Last Checked: Sep 5 at 4:35AM
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 NAI Cascade
Investment Insights
Based on property information with market context.
Situated in NE Bend just off Hwy 20/Greenwood Ave, this fully-leased office investment property offers high visibility along a busy east side commercial corridor. The building has been maintained and professionally managed, with tenants operating under NNN lease structures.
The tenant roster includes organizations such as Bend-La Pine Schools, High Desert ESD, Allstate Insurance, and Woods Ortho, along with additional tenants. Suite sizes are diverse, supporting efficient leasing and long-term flexibility.
Located near Pilot Butte and minutes from Bend’s medical district, the property benefits from convenient access within a well-traveled commercial area. The current rents are described as below-market, providing context for future ownership considerations.
The tenant roster includes organizations such as Bend-La Pine Schools, High Desert ESD, Allstate Insurance, and Woods Ortho, along with additional tenants. Suite sizes are diverse, supporting efficient leasing and long-term flexibility.
Located near Pilot Butte and minutes from Bend’s medical district, the property benefits from convenient access within a well-traveled commercial area. The current rents are described as below-market, providing context for future ownership considerations.
Key Highlights
- Office investment property built in 2007 on a busy east‑side commercial corridor near Hwy 20/Greenwood Ave
- Fully leased with a strong tenant mix including Bend‑La Pine Schools, High Desert ESD, Allstate Insurance, and Woods Ortho
- All tenants operate on NNN leases
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
$361,887
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
5.63%
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%
$7,237,740
$7.2M
Cap Rate 7%
$5,169,814
$5.2M
Cap Rate 9%
$4,020,967
$4.0M
Market Conditions
NOI Build-Up for 25,200 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
$514.1K $20.40/SF
− Vacancy
−$31.6K −$1.25/SF
EGI
$482.5K $19.15/SF
− OpEx
−$120.6K −$4.79/SF
NOI
$361.9K $14.36/SF
Area
Bend, OR
Vacancy
6.14%
Lease Rate
$20.40 /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%
$7,237,740
Cap Rate 7%
$5,169,814
Cap Rate 9%
$4,020,967
Alternative Uses
Best Use
Office B
$5.17M
$4.52M – $6.03M
NOI $361,887 @ 7.0% cap · market cap 5.63%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$10.89M
$9.53M – $12.70M
NOI $762,048 @ 7.0% cap · market cap 11.86%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
100%
Occupancy
Multi-tenant
Tenancy
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
731
Businesses Nearby
Explore this area
Business Placement
Demographics for 97701, OR
42,159
Population
19,020
Households
2.2
Avg Household Size
38
Median Age
42%
College-Educated
94%
High-School Grad
311.8 sq mi
ZIP Area
135
Density / Sq Mi
$77,969
Median Household Income
$47,431
Median Earnings
$1,700
Median Rent
$567,800
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Fully leased office building on a busy east-side corridor with NNN-lease tenants.
Where is this office building located?
The property is located at 2500 NE Twin Knolls Dr Bend, OR.
What is the asking price?
The asking price for this property is $6,425,000.
What are key features of this property?
This property features: Office investment property built in 2007 on a busy east‑side commercial corridor near Hwy 20/Greenwood Ave; Fully leased with a strong tenant mix including Bend‑La Pine Schools, High Desert ESD, Allstate Insurance, and Woods Ortho; All tenants operate on NNN leases
