Freestanding Flex Space
For Sale
$1,250,000
2 NW Racetrack Road, Fort Walton Beach, FL 32547
Commercial for Sale, Fort Walton Beach, FL
Property Size9,760 SF
Lot Size0.81 Acres
Price / SF$128.07
Days on Market971
Property Features for 2 NW Racetrack Road
General Information
Property type
Commercial Sale
Property subtype
Other
Directions
Turn off Eglin Pkwy onto Racetrack Rd. Building intersects Racetrack and Mooney Rd.
Subdivision
12 - Fort Walton Beach
Standard status
Active
APN
35-1S-24-1550-0008-0000
Lot size
0.81 Acres
Taxes and HOA fees
Tax Description
MAGNOLIA MANOR LOT 8
Legal Description
MAGNOLIA MANOR LOT 8
Listing Agency:
Taylor Allen Properties LLC
(850) 259-2894
Listed By:
Chad Knaepple · License #3050854
(850) 687-4075
Added: Jan 22, 2024
Changed: Sep 11
Last Checked: Sep 19 at 7:06AM
MLS# 976785
Copyright © 2026 Emerald Coast Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This freestanding flex property provides 9760 sf of commercial space arranged between 5140sf of office and showroom area and 4620sf of warehouse area. The configuration offers a blend of customer-facing, administrative, and storage space within one building, with 30 parking spaces serving the site.
The property is positioned in Fort Walton Beach with access from both Mooney Rd and Racetrack Rd. Traffic exposure is supported by a reported 28.500 AADT, while the dual-road access provides more than one approach to the property. The site is suited to commercial operations requiring a combination of office, display, and warehouse functions.
The property is positioned in Fort Walton Beach with access from both Mooney Rd and Racetrack Rd. Traffic exposure is supported by a reported 28.500 AADT, while the dual-road access provides more than one approach to the property. The site is suited to commercial operations requiring a combination of office, display, and warehouse functions.
Key Highlights
- 9760 sf freestanding flex space building
- 5140sf of office and showroom area
- 4620sf warehouse area
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
$107,340
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
8.59%
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%
$2,146,800
$2.1M
Cap Rate 7%
$1,533,429
$1.5M
Cap Rate 9%
$1,192,667
$1.2M
Market Conditions
NOI Build-Up for 9,760 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
$175.7K $18.00/SF
− Vacancy
−$10.5K −$1.08/SF
EGI
$165.1K $16.92/SF
− OpEx
−$57.8K −$5.92/SF
NOI
$107.3K $11.00/SF
Area
Okaloosa County, FL
Vacancy
6.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
35.00%
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%
$2,146,800
Cap Rate 7%
$1,533,429
Cap Rate 9%
$1,192,667
Alternative Uses
Best Use
Flex RnD
$1.53M
$1.34M – $1.79M
NOI $107,340 @ 7.0% cap · market cap 8.59%
Second Best
Warehouse
$947.7K
$829.3K – $1.11M
NOI $66,341 @ 7.0% cap · market cap 5.31%
Theoretical Best
Specialty Retail
$3.76M
$3.29M – $4.39M
NOI $263,283 @ 7.0% cap · market cap 21.06%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
715
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 32547, FL
35,466
Population
16,112
Households
2.2
Avg Household Size
37
Median Age
28%
College-Educated
89%
High-School Grad
29.0 sq mi
ZIP Area
1,223
Density / Sq Mi
$67,822
Median Household Income
$36,465
Median Earnings
$1,421
Median Rent
$299,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Industrial in South region
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Similar Off Market Nearby
- Heystack's Shrimp Shack — 421 Racetrack Rd NE, Fort Walton Beach, FL 32547
Frequently Asked Questions
What type of property is this?
Flex space - Freestanding commercial space combines office, showroom, and warehouse areas with substantial on-site parking.
Where is this flex space located?
The property is located at 2 NW Racetrack Road Fort Walton Beach, FL.
What is the asking price?
The asking price for this property is $1,250,000.
What are key features of this property?
This property features: 9760 sf freestanding flex space building; 5140sf of office and showroom area; 4620sf warehouse area
