Class A Office
For Sale
Contact for pricing
1400 Merrill Ave, Wausau, WI 54401
Well-maintained Class A office building with natural lighting and easy access.
Property Size8,750 SF
Price / SF$142.86
Days on Market956
Property Features for 1400 Merrill Ave
General Information
Standard status
Active
Size
8,750 SF
Class
A
Property subtype
Office
Zoning
Commercial
Occupancy
100%
Lease Type
NNN
Building Details
Year Built
1996
Tenancy
Single
Listing Agency:
NAI Pfefferle
Listed By:
T.J. Morice, SIOR · License #WI 89917-94
Source:
Crexi
Added: Jan 12, 2024
Changed: Aug 15
Last Checked: Aug 24 at 4:14PM
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 Pfefferle
Investment Insights
Based on property information with market context.
This attractive, Class A office building, constructed in 1996 and well-maintained, features natural lighting throughout and provides a professional environment. The main level includes a reception area, three conference rooms, one office, file storage, a utility and IT room, and a break room/kitchen area. The second level consists of three executive office suites with access to a deck/balcony, six private offices, and nine cubicles and work alcoves. A two-stall heated garage is present, which could be converted to office or leasable space. The property offers easy highway access on Wausau’s northwest side. The property size is 8,750 square feet.
Key Highlights
- Class A office building offering a professional environment.
- Features nine private offices and additional workspaces.
- Easy highway access on Wausau’s northwest side.
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
$87,224
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
6.98%
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%
$1,744,480
$1.7M
Cap Rate 7%
$1,246,057
$1.2M
Cap Rate 9%
$969,156
$969.2K
Market Conditions
NOI Build-Up for 8,750 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
$149.1K $17.04/SF
− Vacancy
−$32.8K −$3.75/SF
EGI
$116.3K $13.29/SF
− OpEx
−$29.1K −$3.32/SF
NOI
$87.2K $9.97/SF
Area
Marathon County, WI
Vacancy
22.00%
Lease Rate
$17.04 /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%
$1,744,480
Cap Rate 7%
$1,246,057
Cap Rate 9%
$969,156
Alternative Uses
Best Use
Office B
$1.25M
$1.09M – $1.45M
NOI $87,224 @ 7.0% cap · market cap 6.98%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.62M
$1.41M – $1.89M
NOI $113,164 @ 7.0% cap · market cap 9.05%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
311
Businesses Nearby
Explore this area
Business Placement
Demographics for 54401, WI
31,727
Population
14,230
Households
2.2
Avg Household Size
40
Median Age
31%
College-Educated
91%
High-School Grad
84.2 sq mi
ZIP Area
377
Density / Sq Mi
$69,542
Median Household Income
$40,796
Median Earnings
$969
Median Rent
$186,100
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Well-maintained Class A office building with natural lighting and easy access.
Where is this office building located?
The property is located at 1400 Merrill Ave Wausau, WI.
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: Class A office building offering a professional environment.; Features nine private offices and additional workspaces.; Easy highway access on Wausau’s northwest side.
