Medical Office Building For
For Sale
Contact for pricing
Pending
1856 Colonial Medical Ct, Virginia Beach, VA 23454
Medical office building in Great Neck, Virginia Beach for sale.
Property Size4,316 SF
Lot Size0.43 Acres
Days on Market209
Property Features for 1856 Colonial Medical Ct
General Information
Standard status
Pending
Size
4,316 SF
Lot size
0.43 Acres
Property subtype
Office
Zoning
O-2
Investment Type
Owner/User
Building Details
Year Built
1982
Listing Agency:
Hunter Paul Commercial
Listed By:
David Hunter, CCIM · License #VA 0225233139
Source:
Crexi
Added: Jan 29
Changed: Aug 8
Last Checked: Jul 25 at 1:51PM
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 Hunter Paul Commercial
Investment Insights
Based on property information with market context.
The property at 1856 Colonial Medical Court is a 4,316-square-foot, single-story medical office building situated on a 0.43-acre lot in the Great Neck submarket of Virginia Beach. The building is configured into multiple suites, offering flexibility for various practices. The location provides convenient access for patients and staff, with proximity to other healthcare providers and hospitals. It is located off First Colonial Road, near Hilltop Retail Shopping Centers, and 1.45 miles from Interstate 264. This property allows for long-term location security, space customization, equity building, and potential leasing of excess space to other practitioners. The building is suitable for establishing or expanding a practice in a stable, high-income area.
Key Highlights
- Prime location in the sought‑after Great Neck submarket of Virginia Beach.
- 4,316 sq ft single‑story medical office building offering flexibility with multiple suites.
- Convenient access for patients and staff, located off First Colonial Road and near I‑264.
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
$60,422
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
4.17%
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%
$1,208,440
$1.2M
Cap Rate 7%
$863,171
$863.2K
Cap Rate 9%
$671,356
$671.4K
Market Conditions
NOI Build-Up for 4,316 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
$94.8K $21.96/SF
− Vacancy
−$14.2K −$3.29/SF
EGI
$80.6K $18.67/SF
− OpEx
−$20.1K −$4.67/SF
NOI
$60.4K $14.00/SF
Area
ZIP 23454
Vacancy
15.00%
Lease Rate
$21.96 /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%
$1,208,440
Cap Rate 7%
$863,171
Cap Rate 9%
$671,356
Alternative Uses
Best Use
Office B
$863.2K
$755.3K – $1.01M
NOI $60,422 @ 7.0% cap · market cap 4.17%
Second Best
Healthcare Medical
$784.4K
$686.4K – $915.2K
NOI $54,910 @ 7.0% cap · market cap 3.79%
Theoretical Best
Office A
$1.09M
$955.3K – $1.27M
NOI $76,420 @ 7.0% cap · market cap 5.27%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,424
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 23454, VA
58,665
Population
24,253
Households
2.4
Avg Household Size
38
Median Age
43%
College-Educated
94%
High-School Grad
22.5 sq mi
ZIP Area
2,607
Density / Sq Mi
$97,835
Median Household Income
$48,961
Median Earnings
$1,600
Median Rent
$401,900
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?
Medical Office Space - Medical office building in Great Neck, Virginia Beach for sale.
Where is this medical office space located?
The property is located at 1856 Colonial Medical Ct Virginia Beach, VA.
What is the asking price?
The asking price for this property is $1,450,000.
What are key features of this property?
This property features: Prime location in the sought‑after Great Neck submarket of Virginia Beach.; 4,316 sq ft single‑story medical office building offering flexibility with multiple suites.; Convenient access for patients and staff, located off First Colonial Road and near I‑264.
