Office Property with Full
New
For Sale
$599,900
1516 SE 43RD, Portland, OR 97215
CM2 zoning provides flexibility for commercial uses, subject to applicable zoning and permitting requirements.
Property Size2,224 SF
Price / SF$269.74
Days on Market3
Property Features for 1516 SE 43RD
General Information
Standard status
Active
Size
2,224 SF
Property subtype
Commercial
Zoning
CM2
Taxes and HOA fees
Annual Taxes
$6,961
Amenities
Composition Roof
Forced Air Heating
On street
Building Details
Year Built
1902
Listing Agency:
JMG - JASON MITCHELL GROUP
(541) 791-7946
Listed By:
DONALD CLEMONS · License #201224779
(503) 621-2072
Source:
Corcoran
Added: Sep 11
Changed: Sep 12
Last Checked: Sep 13 at 7:17AM
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 JMG - JASON MITCHELL GROUP
Investment Insights
Based on property information with market context.
This office property at 1516 SE 43rd in Portland, Oregon, includes a full basement and a reported property size of 2,224. The additional level can support workspace, storage, offices, or studio functions, subject to applicable zoning and permitting requirements. The building dates to 1902 and offers a configuration that can be adapted to an owner-user, investor, or operating business.
CM2 zoning is in place, providing a framework for a variety of commercial uses subject to approval. The property is located in Portland’s 97215 ZIP code and combines an established building with below-grade space for additional functional capacity.
CM2 zoning is in place, providing a framework for a variety of commercial uses subject to approval. The property is located in Portland’s 97215 ZIP code and combines an established building with below-grade space for additional functional capacity.
Key Highlights
- Full basement adds below‑grade space for workspace, storage, offices, or studio functions
- CM2 zoning supports a variety of commercial uses, subject to applicable approvals
- Reported property size of 2,224
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
$28,789
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
4.80%
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%
$575,780
$575.8K
Cap Rate 7%
$411,271
$411.3K
Cap Rate 9%
$319,878
$319.9K
Market Conditions
NOI Build-Up for 2,224 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
$50.7K $22.80/SF
− Vacancy
−$12.3K −$5.54/SF
EGI
$38.4K $17.26/SF
− OpEx
−$9.6K −$4.31/SF
NOI
$28.8K $12.94/SF
Area
Portland, OR
Vacancy
24.30%
Lease Rate
$22.80 /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%
$575,780
Cap Rate 7%
$411,271
Cap Rate 9%
$319,878
Alternative Uses
Best Use
Office B
$411.3K
$359.9K – $479.8K
NOI $28,789 @ 7.0% cap · market cap 4.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$624.6K
$546.5K – $728.7K
NOI $43,719 @ 7.0% cap · market cap 7.29%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
684
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 97215, OR
18,221
Population
7,855
Households
2.3
Avg Household Size
40
Median Age
64%
College-Educated
97%
High-School Grad
2.3 sq mi
ZIP Area
7,922
Density / Sq Mi
$114,361
Median Household Income
$62,704
Median Earnings
$1,587
Median Rent
$658,500
Median Home Value
Market
Vacancy Rate% for Office in Portland, OR
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office space - CM2 zoning provides flexibility for commercial uses, subject to applicable zoning and permitting requirements.
Where is this office space located?
The property is located at 1516 SE 43RD Portland, OR.
What is the asking price?
The asking price for this property is $599,900.
What are key features of this property?
This property features: Full basement adds below‑grade space for workspace, storage, offices, or studio functions; CM2 zoning supports a variety of commercial uses, subject to applicable approvals; Reported property size of 2,224
