Corner Office
For Sale
$369,000
1640 Periwinkle Way Unit 5, Sanibel, FL 33957
Updated professional suite with reception, private offices, natural light, and a private half bath.
Property Size1,200 SF
Price / SF$307.50
Days on Market132
Property Features for 1640 Periwinkle Way Unit 5
General Information
Standard status
Active
Size
1,200 SF
Property subtype
Commercial
Additional Details
HOA Fee
$750
Office Units
1
Building Details
Year Built
1978
Buildings
1
Tenancy
Single
Listing Agency:
Premier Sotheby's Int'l Realty
(239) 464-2984
Listed By:
Jeffrey Burns · License #280595636
Source:
Napleshomesearches
Added: Apr 20
Changed: Aug 28
Last Checked: Aug 29 at 10:38AM
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 Premier Sotheby's Int'l Realty
Investment Insights
Based on property information with market context.
This office condominium provides approximately 1,200 square feet of air-conditioned space in a five-unit, partially elevated building. The interior includes a reception area, three private offices, and a private half bath. Recent building improvements include a new shingle roof and firewalls separating each condominium. As a corner unit at the plaza’s end, the property benefits from additional windows, enhanced privacy, and convenient parking for customers and staff.
The property is located at 1640 Periwinkle Way Unit 5 in Sanibel, near Jerry’s Foods and within an active mid-island commercial district. The setting offers access for island residents and visitors, with an established plaza environment that has supported accounting, chiropractic, veterinary, wellness, real estate, and vacation rental businesses. The current tenant occupies the unit under a month-to-month lease and has indicated a willingness to renew. Condominium services include building insurance, water, sewer, trash service, and pest control.
The property is located at 1640 Periwinkle Way Unit 5 in Sanibel, near Jerry’s Foods and within an active mid-island commercial district. The setting offers access for island residents and visitors, with an established plaza environment that has supported accounting, chiropractic, veterinary, wellness, real estate, and vacation rental businesses. The current tenant occupies the unit under a month-to-month lease and has indicated a willingness to renew. Condominium services include building insurance, water, sewer, trash service, and pest control.
Key Highlights
- Approximately 1,200 square feet of air‑conditioned office space
- Three private offices, reception area, and private half bath
- Corner unit at the end of a five‑unit, partially elevated 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
$20,622
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
5.59%
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%
$412,440
$412.4K
Cap Rate 7%
$294,600
$294.6K
Cap Rate 9%
$229,133
$229.1K
Market Conditions
NOI Build-Up for 1,200 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
$30.0K $24.96/SF
− Vacancy
−$2.5K −$2.05/SF
EGI
$27.5K $22.91/SF
− OpEx
−$6.9K −$5.73/SF
NOI
$20.6K $17.18/SF
Area
Lee County, FL
Vacancy
8.20%
Lease Rate
$24.96 /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%
$412,440
Cap Rate 7%
$294,600
Cap Rate 9%
$229,133
Alternative Uses
Best Use
Office B
$294.6K
$257.8K – $343.7K
NOI $20,622 @ 7.0% cap · market cap 5.59%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$377.7K
$330.5K – $440.6K
NOI $26,438 @ 7.0% cap · market cap 7.16%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Office units
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
293
Businesses Nearby
Explore this area
Business Placement
Demographics for 33957, FL
6,382
Population
8,525
Households
0.7
Avg Household Size
68
Median Age
62%
College-Educated
99%
High-School Grad
16.2 sq mi
ZIP Area
394
Density / Sq Mi
$122,730
Median Household Income
$44,840
Median Earnings
$747
Median Rent
$912,200
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Updated professional suite with reception, private offices, natural light, and a private half bath.
Where is this office units located?
The property is located at 1640 Periwinkle Way Unit 5 Sanibel, FL.
What is the asking price?
The asking price for this property is $369,000.
What are key features of this property?
This property features: Approximately 1,200 square feet of air‑conditioned office space; Three private offices, reception area, and private half bath; Corner unit at the end of a five‑unit, partially elevated building
