Leased Office Building
For Sale
$3,200,000
1505 D Street, San Bernardino, CA 92408
100% occupied office building with a long-term tenant mix anchored by the County of San Bernardino.
Property Size17,112 SF
Price / SF$187
Days on Market2177
Property Features for 1505 D Street
General Information
Standard status
Active
Size
17,112 SF
Property subtype
Office
Occupancy
100%
Additional Details
Cap Rate
5.9%
Amenities
3
Building Details
Year Built
2007
Tenancy
Single
Listing Agency:
Daum Commercial RE Services
(562) 695-7244
Listed By:
Charles Johnson · License #01817294
Source:
Xome
Added: Sep 20, 2020
Changed: Sep 4
Last Checked: Jul 23 at 9:02AM
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 Daum Commercial RE Services
Investment Insights
Based on property information with market context.
This leased investment is a newly built office building that is currently 100% occupied. The property is structured with an income stream supported by a primary tenant, with the County of San Bernardino leasing 70% of the building. The remaining space is occupied by other tenants, keeping overall occupancy fully utilized as reported.
Located at 1505 S D Street in San Bernardino, CA 92408, the building is positioned for businesses seeking an established office environment within a stable tenant arrangement. The offering materials describe the current net operating income as $195,000.
Based on the provided figures, the stated net operating income supports a 5.9% cap rate. For buyers evaluating an office asset with full occupancy and a significant public-sector anchor, the property’s current leasing profile and reported income offer a clear starting point for underwriting and due diligence.
Located at 1505 S D Street in San Bernardino, CA 92408, the building is positioned for businesses seeking an established office environment within a stable tenant arrangement. The offering materials describe the current net operating income as $195,000.
Based on the provided figures, the stated net operating income supports a 5.9% cap rate. For buyers evaluating an office asset with full occupancy and a significant public-sector anchor, the property’s current leasing profile and reported income offer a clear starting point for underwriting and due diligence.
Key Highlights
- Office building built in 2007
- 100% occupied with a long‑term tenant mix anchored by the County of San Bernardino
- County of San Bernardino leases 70% of the building
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
$292,692
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
9.15%
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%
$5,853,840
$5.9M
Cap Rate 7%
$4,181,314
$4.2M
Cap Rate 9%
$3,252,133
$3.3M
Market Conditions
NOI Build-Up for 17,112 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
$431.2K $25.20/SF
− Vacancy
−$41.0K −$2.39/SF
EGI
$390.3K $22.81/SF
− OpEx
−$97.6K −$5.70/SF
NOI
$292.7K $17.10/SF
Area
San Bernardino, CA
Vacancy
9.50%
Lease Rate
$25.20 /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%
$5,853,840
Cap Rate 7%
$4,181,314
Cap Rate 9%
$3,252,133
Alternative Uses
Best Use
Office B
$4.18M
$3.66M – $4.88M
NOI $292,692 @ 7.0% cap · market cap 9.15%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$5.15M
$4.51M – $6.01M
NOI $360,748 @ 7.0% cap · market cap 11.27%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
100%
Occupancy
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,474
Businesses Nearby
Explore this area
Business Placement
Demographics for 92408, CA
13,488
Population
4,403
Households
3.1
Avg Household Size
32
Median Age
19%
College-Educated
73%
High-School Grad
10.5 sq mi
ZIP Area
1,285
Density / Sq Mi
$63,696
Median Household Income
$32,122
Median Earnings
$1,314
Median Rent
$407,300
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 - 100% occupied office building with a long-term tenant mix anchored by the County of San Bernardino.
Where is this office building located?
The property is located at 1505 D Street San Bernardino, CA.
What is the asking price?
The asking price for this property is $3,200,000.
What are key features of this property?
This property features: Office building built in 2007; 100% occupied with a long‑term tenant mix anchored by the County of San Bernardino; County of San Bernardino leases 70% of the building
