Remodeled Office
For Sale
$275,000
1502 E Hoffer St, Kokomo, IN 46902
Updated office space with multiple entrances, dedicated parking, and a flexible reception area.
Property Size1,643 SF
Price / SF$167.38
Days on Market42
Property Features for 1502 E Hoffer St
General Information
Standard status
Active
Size
1,643 SF
Building Details
Year Built
1880
Listing Agency:
Fortune Companies, Inc
(765) 457-1700
Listed By:
DJ Butcher · License #RB20000053
Source:
Spencerchildersgroup
Added: Jul 19
Changed: Aug 28
Last Checked: Aug 25 at 5:30AM
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 Fortune Companies, Inc
Investment Insights
Based on property information with market context.
Remodeled office units at 1502 E Hoffer St provide a practical configuration for professional use. The property contains 1,643 square feet with four offices, a reception area if needed, 2.5 baths, multiple entrances, and dedicated parking. Constructed in 1880, the building has been updated for current office occupancy.
The property is near 931, providing access to the surrounding area. Its combination of private office rooms, reception capability, separate entry points, and on-site parking supports a range of office layouts within a single building.
The property is near 931, providing access to the surrounding area. Its combination of private office rooms, reception capability, separate entry points, and on-site parking supports a range of office layouts within a single building.
Key Highlights
- 1,643 SF of office space
- Four private offices and a reception area if needed
- 2.5 baths and multiple entrances
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
$16,857
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
6.13%
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%
$337,140
$337.1K
Cap Rate 7%
$240,814
$240.8K
Cap Rate 9%
$187,300
$187.3K
Market Conditions
NOI Build-Up for 1,643 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
$29.6K $18.00/SF
− Vacancy
−$7.1K −$4.32/SF
EGI
$22.5K $13.68/SF
− OpEx
−$5.6K −$3.42/SF
NOI
$16.9K $10.26/SF
Area
Howard County, IN
Vacancy
24.00%
Lease Rate
$18.00 /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%
$337,140
Cap Rate 7%
$240,814
Cap Rate 9%
$187,300
Alternative Uses
Best Use
Office B
$240.8K
$210.7K – $281.0K
NOI $16,857 @ 7.0% cap · market cap 6.13%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$1.29M
$1.13M – $1.51M
NOI $90,570 @ 7.0% cap · market cap 32.93%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
626
Businesses Nearby
Explore this area
Business Placement
Demographics for 46902, IN
36,038
Population
18,004
Households
2
Avg Household Size
42
Median Age
20%
College-Educated
92%
High-School Grad
50.7 sq mi
ZIP Area
711
Density / Sq Mi
$59,548
Median Household Income
$36,902
Median Earnings
$929
Median Rent
$154,400
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 units - Updated office space with multiple entrances, dedicated parking, and a flexible reception area.
Where is this office units located?
The property is located at 1502 E Hoffer St Kokomo, IN.
What is the asking price?
The asking price for this property is $275,000.
What are key features of this property?
This property features: 1,643 SF of office space; Four private offices and a reception area if needed; 2.5 baths and multiple entrances
