Two-Tenant Medical Office
For Sale
Contact for pricing
151 Bishop Murphy Drive, Frostburg, MD 21532
Dental and orthodontic practices occupy this established healthcare facility in Frostburg, Maryland.
Property Size12,000 SF
Price / SF$200
Days on Market77
Property Features for 151 Bishop Murphy Drive
General Information
Standard status
Active
Size
12,000 SF
Property subtype
Retail, Office
Occupancy
83%
Lease Type
NNN
Net Operating Income
$179,761
Additional Details
Cap Rate
7.5%
Building Details
Year Built
2007
Buildings
1
Stories
2
Units
3
Tenancy
Multi
Building Size
12,000 SF
Listing Agency:
Peranich Huffman
Listed By:
Lucas Zemlicka · License #767664
Source:
Crexi
Added: Jun 16
Changed: Aug 31
Last Checked: Aug 31 at 2:38AM
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 Peranich Huffman
Investment Insights
Based on property information with market context.
Built in 2007, the 12,000-square-foot medical office property is occupied by Heartland Dental and Palaisa Orthodontics. The facility brings dental and orthodontic services together in a shared healthcare setting, with Heartland Dental holding more than 4 years of lease term and two 5-year renewal options at fair market value. Palaisa Orthodontics has 1 year of lease term remaining.
The property is located at 151 Bishop Murphy Drive in Frostburg, Maryland. Heartland Dental is a national dental service organization supporting more than 1,900 dental offices, while Palaisa Orthodontics provides orthodontic services. The offering is presented at a 7.50% capitalization rate.
The property is located at 151 Bishop Murphy Drive in Frostburg, Maryland. Heartland Dental is a national dental service organization supporting more than 1,900 dental offices, while Palaisa Orthodontics provides orthodontic services. The offering is presented at a 7.50% capitalization rate.
Key Highlights
- 12,000‑square‑foot medical office property built in 2007
- Occupied by Heartland Dental and Palaisa Orthodontics
- Heartland Dental lease has 4+ years remaining
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
$189,164
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
7.88%
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%
$3,783,280
$3.8M
Cap Rate 7%
$2,702,343
$2.7M
Cap Rate 9%
$2,101,822
$2.1M
Market Conditions
NOI Build-Up for 12,000 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
$384.5K $32.04/SF
− Vacancy
−$69.2K −$5.77/SF
EGI
$315.3K $26.27/SF
− OpEx
−$126.1K −$10.51/SF
NOI
$189.2K $15.76/SF
Area
Allegany County, MD
Vacancy
18.00%
Lease Rate
$32.04 /SF/Yr
Expense Ratio
40.00%
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%
$3,783,280
Cap Rate 7%
$2,702,343
Cap Rate 9%
$2,101,822
Alternative Uses
Best Use
Healthcare Medical
$2.70M
$2.36M – $3.15M
NOI $189,164 @ 7.0% cap · market cap 7.88%
Second Best
Office B
$2.62M
$2.29M – $3.06M
NOI $183,319 @ 7.0% cap · market cap 7.64%
Theoretical Best
Office A
$4.45M
$3.89M – $5.19M
NOI $311,516 @ 7.0% cap · market cap 12.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
202
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 21532, MD
13,328
Population
6,044
Households
2.2
Avg Household Size
39
Median Age
33%
College-Educated
93%
High-School Grad
74.1 sq mi
ZIP Area
180
Density / Sq Mi
$60,158
Median Household Income
$33,054
Median Earnings
$839
Median Rent
$175,600
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Dr. Thomas A. Vogtman — 17100 National Hwy, Eckhart Mines, MD 21528
- Hillside Animal Hospital — 17100 National Hwy, Eckhart Mines, MD 21528
- Hillside Animal Hospital: Harman Steven H DVM — 17100 National Hwy, Eckhart Mines, MD 21528
- Harman B a DVM — 17100 National Hwy, Frostburg, MD 21532
Frequently Asked Questions
What type of property is this?
Medical Office Space - Dental and orthodontic practices occupy this established healthcare facility in Frostburg, Maryland.
Where is this medical office space located?
The property is located at 151 Bishop Murphy Drive Frostburg, MD.
What is the asking price?
The asking price for this property is $2,400,000.
What are key features of this property?
This property features: 12,000‑square‑foot medical office property built in 2007; Occupied by Heartland Dental and Palaisa Orthodontics; Heartland Dental lease has 4+ years remaining
