Tempe Retail Space For
For Sale
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1424 W Baseline Rd, Tempe, AZ 85283
13,813 SqFt retail space with 5.53% CAP rate.
Property Size13,813 SF
Price / SF$412.65
Days on Market200
Property Features for 1424 W Baseline Rd
General Information
Standard status
Active
Size
13,813 SF
Property subtype
Retail
Zoning
RCC, Tempe
Lease Type
NN
Building Details
Year Built
2003
Tenancy
Multi
Listing Agency:
LevRose Commercial Real Estate
(818) 390-0838
Listed By:
Mark Cassell · License #AZ SA659518000
Source:
Crexi
Added: Jan 23
Changed: Aug 8
Last Checked: Aug 11 at 3:07PM
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 LevRose Commercial Real Estate
Investment Insights
Based on property information with market context.
This commercial real estate offering features a 13,813 square foot retail space. The property is located in Tempe, Arizona. The property has a capitalization rate of 5.53%.
Key Highlights
- 5.53% CAP Rate
- Retail Property
- 13,813 SqFt of retail space
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
$160,991
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
2.82%
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%
$3,219,820
$3.2M
Cap Rate 7%
$2,299,871
$2.3M
Cap Rate 9%
$1,788,789
$1.8M
Market Conditions
NOI Build-Up for 13,813 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
$248.6K $18.00/SF
− Vacancy
−$18.6K −$1.35/SF
EGI
$230.0K $16.65/SF
− OpEx
−$69.0K −$5.00/SF
NOI
$161.0K $11.66/SF
Area
Tempe, AZ
Vacancy
7.50%
Lease Rate
$18.00 /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%
$3,219,820
Cap Rate 7%
$2,299,871
Cap Rate 9%
$1,788,789
Alternative Uses
Best Use
Retail
$2.30M
$2.01M – $2.68M
NOI $160,991 @ 7.0% cap · market cap 2.82%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.34M
$3.80M – $5.07M
NOI $304,058 @ 7.0% cap · market cap 5.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
859
Businesses Nearby
216k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 39%
Shops & Services 33%
Home Improvements & Furnishings 22%
Hotels & Casinos 6%
The Home Depot
Home Improvements & Furnishings
47,658 visits/mo
0.2 miles
McDonald's
Dining
24,255 visits/mo
0.1 miles
Circle K
Shops & Services
18,146 visits/mo
0.1 miles
Shell
Shops & Services
14,352 visits/mo
0.1 miles
Denny's
Dining
12,815 visits/mo
0.4 miles
Demographics for 85283, AZ
45,736
Population
20,620
Households
2.2
Avg Household Size
35
Median Age
44%
College-Educated
93%
High-School Grad
8.8 sq mi
ZIP Area
5,197
Density / Sq Mi
$81,073
Median Household Income
$47,213
Median Earnings
$1,669
Median Rent
$409,800
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - 13,813 SqFt retail space with 5.53% CAP rate.
Where is this retail space located?
The property is located at 1424 W Baseline Rd Tempe, AZ.
What is the asking price?
The asking price for this property is $5,700,000.
What are key features of this property?
This property features: 5.53% CAP Rate; Retail Property; 13,813 SqFt of retail space
