Multi-Use Office Suites on Large
For Sale
Contact for pricing
16 East Hatcher Road, Phoenix, AZ 85020
Two office suites with reception, three offices, and baths, convertible to one larger suite, on a secured large lot.
Property Size1,584 SF
Price / SF$252.53
Days on Market70
Property Features for 16 East Hatcher Road
General Information
Standard status
Active
Size
1,584 SF
Total Parking Spaces
8
Property subtype
Retail, Office, Mixed Use
Zoning
C-2
Building Details
Year Built
1953
Buildings
2
Units
2
Listing Agency:
HomeSmart
Listed By:
Shannon Collins · License #SA114615000
(602) 361-5470
Source:
Crexi
Added: Jul 3
Changed: Sep 7
Last Checked: Sep 9 at 5:38AM
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 HomeSmart
Investment Insights
Based on property information with market context.
This property is currently configured as two separate office suites. Each suite includes a reception area, three offices, and one bathroom. Suite A also includes a kitchenette. The suites can also be combined into one larger, six-office suite with two bathrooms. Finishes include travertine floors and carpet in the offices, and an exterior building includes electricity for additional storage or office use.
The property is zoned C-2 multi-use and is part of the Hatcher Overlay District (see documents). It offers good street frontage with a paved walkway and front patio, plus a rear yard secured by a block fence. Access is supported by two RV gates, and there is parking in the back for vehicles or equipment. One AC unit was replaced approximately two years ago.
A large-lot setup with multiple access points and flexible interior configuration makes this a practical option for office users or businesses looking for a facility that can be staged as separate suites or operated as one unit.
The property is zoned C-2 multi-use and is part of the Hatcher Overlay District (see documents). It offers good street frontage with a paved walkway and front patio, plus a rear yard secured by a block fence. Access is supported by two RV gates, and there is parking in the back for vehicles or equipment. One AC unit was replaced approximately two years ago.
A large-lot setup with multiple access points and flexible interior configuration makes this a practical option for office users or businesses looking for a facility that can be staged as separate suites or operated as one unit.
Key Highlights
- 1953‑built property in North Central Phoenix, zoned C‑2 multi‑use and part of the Hatcher Overlay District
- Currently configured as 2 separate office suites: Suite A (~740 SF) and Suite B (~830 SF)
- Each suite includes a reception area plus three offices and 1 bath; could also be converted to one large 6‑office suite with 2 bathrooms
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
$27,116
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
6.78%
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%
$542,320
$542.3K
Cap Rate 7%
$387,371
$387.4K
Cap Rate 9%
$301,289
$301.3K
Market Conditions
NOI Build-Up for 1,584 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
$48.7K $30.72/SF
− Vacancy
−$12.5K −$7.90/SF
EGI
$36.2K $22.82/SF
− OpEx
−$9.0K −$5.71/SF
NOI
$27.1K $17.12/SF
Area
Phoenix, AZ
Vacancy
25.70%
Lease Rate
$30.72 /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%
$542,320
Cap Rate 7%
$387,371
Cap Rate 9%
$301,289
Alternative Uses
Best Use
Office B
$387.4K
$339.0K – $451.9K
NOI $27,116 @ 7.0% cap · market cap 6.78%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$479.8K
$419.8K – $559.8K
NOI $33,587 @ 7.0% cap · market cap 8.40%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
1,923
Businesses Nearby
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Business Placement
Demographics for 85020, AZ
34,534
Population
18,231
Households
1.9
Avg Household Size
43
Median Age
43%
College-Educated
90%
High-School Grad
8.8 sq mi
ZIP Area
3,924
Density / Sq Mi
$78,412
Median Household Income
$48,230
Median Earnings
$1,389
Median Rent
$400,800
Median Home Value
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Market
Vacancy Rate% for Office in Phoenix, AZ
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Frequently Asked Questions
What type of property is this?
Office units - Two office suites with reception, three offices, and baths, convertible to one larger suite, on a secured large lot.
Where is this office units located?
The property is located at 16 East Hatcher Road Phoenix, AZ.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: 1953‑built property in North Central Phoenix, zoned C‑2 multi‑use and part of the Hatcher Overlay District; Currently configured as 2 separate office suites: Suite A (~740 SF) and Suite B (~830 SF); Each suite includes a reception area plus three offices and 1 bath; could also be converted to one large 6‑office suite with 2 bathrooms
