Multi-Tenant Office
For Sale
$2,900,000
208 E Kiehl, Sherwood, AR 72120
Office building on 1.82 acres with 2 tenants currently occupying about two-thirds of the space.
Property Size15,489 SF
Lot Size1.82 Acres
Price / SF$187.23
Days on Market82
Property Features for 208 E Kiehl
General Information
Standard status
Active
Size
15,489 SF
Total Parking Spaces
62
Lot size
1.82 Acres
Lease Term
12 Months
Taxes and HOA fees
Annual Taxes
$12,303
Amenities
Accessible Common Area, Accessible Entrance
Electric, Central Air
Paved
Traditional
Building Details
Building Size
15,489 SF
Year Built
1990
Buildings
1
Stories
1
Listing Agency:
IRealty Arkansas - Sherwood
(501) 837-4391
Listed By:
Kristen Kennon
(501) 837-4391
Source:
Evrealestate
Added: Jun 3
Changed: Aug 23
Last Checked: Aug 22 at 9:38AM
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 IRealty Arkansas - Sherwood
Investment Insights
Based on property information with market context.
This multi-tenant office building sits on 1.82 acres, including a half-acre outparcel. The property totals 15,489 square feet and is currently split between two tenants occupying about two-thirds of the building and individual office leases making up the remaining one-third. One tenant has approximately 5,000 square feet with one year remaining on its lease term, creating near-term flexibility for the owner-occupant or continued leasing.
The location in the heart of Sherwood is supported by reported traffic counts of over 16,000 VPD on Kiehl and 28,000 VPD on Hwy 107/JFK, which can be beneficial for office visibility and customer access.
For sale. Monthly rent is listed at $26,000 with stated expenses of $6,000 per month.
The location in the heart of Sherwood is supported by reported traffic counts of over 16,000 VPD on Kiehl and 28,000 VPD on Hwy 107/JFK, which can be beneficial for office visibility and customer access.
For sale. Monthly rent is listed at $26,000 with stated expenses of $6,000 per month.
Key Highlights
- Office building on 1.82 acres (includes 1/2‑acre outparcel) with 15,489 SF
- High‑traffic frontage with 16,000+ VPD on Kiehl and 28,000+ VPD on Hwy 107/JFK
- Currently leased to 2 tenants—about 2/3 of the space tenant‑occupied and 1/3 as individual office leases
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
$129,538
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
4.47%
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%
$2,590,760
$2.6M
Cap Rate 7%
$1,850,543
$1.9M
Cap Rate 9%
$1,439,311
$1.4M
Market Conditions
NOI Build-Up for 15,489 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
$195.2K $12.60/SF
− Vacancy
−$22.4K −$1.45/SF
EGI
$172.7K $11.15/SF
− OpEx
−$43.2K −$2.79/SF
NOI
$129.5K $8.36/SF
Area
Pulaski County, AR
Vacancy
11.50%
Lease Rate
$12.60 /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%
$2,590,760
Cap Rate 7%
$1,850,543
Cap Rate 9%
$1,439,311
Alternative Uses
Best Use
Office B
$1.85M
$1.62M – $2.16M
NOI $129,538 @ 7.0% cap · market cap 4.47%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$2.95M
$2.59M – $3.45M
NOI $206,818 @ 7.0% cap · market cap 7.13%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
513
Businesses Nearby
Explore this area
Business Placement
Demographics for 72120, AR
34,784
Population
15,216
Households
2.3
Avg Household Size
41
Median Age
35%
College-Educated
95%
High-School Grad
54.2 sq mi
ZIP Area
642
Density / Sq Mi
$75,853
Median Household Income
$48,453
Median Earnings
$1,026
Median Rent
$189,400
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 - Office building on 1.82 acres with 2 tenants currently occupying about two-thirds of the space.
Where is this office units located?
The property is located at 208 E Kiehl Sherwood, AR.
What is the asking price?
The asking price for this property is $2,900,000.
What are key features of this property?
This property features: Office building on 1.82 acres (includes 1/2‑acre outparcel) with 15,489 SF; High‑traffic frontage with 16,000+ VPD on Kiehl and 28,000+ VPD on Hwy 107/JFK; Currently leased to 2 tenants—about 2/3 of the space tenant‑occupied and 1/3 as individual office leases
