New Roof Office
For Sale
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226 W Gray St, Norman, OK 73069
Office building with offices of varying sizes and street signage, located near Historic Downtown Norman across from City Hall.
Property Size18,916 SF
Price / SF$95.26
Days on Market462
Property Features for 226 W Gray St
General Information
Standard status
Active
Size
18,916 SF
Property subtype
OFFICE
Amenities
Street Signage Available
Building Details
Year Renovated
2022
Listing Agency:
Fleske Commercial Group
(405) 701-3505
Listed By:
Kendra Streeter · License ##182589
(405) 590-7202
Source:
Moodyscre
Added: Jun 9, 2025
Changed: Aug 14
Last Checked: Sep 13 at 11:04AM
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 Fleske Commercial Group
Investment Insights
Based on property information with market context.
This office building offers offices of varying sizes within a single property, supported by street signage and central, easy access. The building includes a new roof installed in 2022.
The property is located close to Historic Downtown Norman and sits across from City Hall, positioning it for convenient access and visible street frontage. With office suites in multiple sizes, the layout can support a range of office use needs.
At approximately 18,916 square feet, the building provides a substantial footprint for an owner-occupant or tenant seeking flexible office configurations and a centrally located Norman address near key municipal activity.
The property is located close to Historic Downtown Norman and sits across from City Hall, positioning it for convenient access and visible street frontage. With office suites in multiple sizes, the layout can support a range of office use needs.
At approximately 18,916 square feet, the building provides a substantial footprint for an owner-occupant or tenant seeking flexible office configurations and a centrally located Norman address near key municipal activity.
Key Highlights
- New roof installed in 2022
- 18,916 SF office building
- Across from City Hall
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
$160,428
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
8.90%
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%
$3,208,560
$3.2M
Cap Rate 7%
$2,291,829
$2.3M
Cap Rate 9%
$1,782,533
$1.8M
Market Conditions
NOI Build-Up for 18,916 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
$288.3K $15.24/SF
− Vacancy
−$74.4K −$3.93/SF
EGI
$213.9K $11.31/SF
− OpEx
−$53.5K −$2.83/SF
NOI
$160.4K $8.48/SF
Area
Norman, OK
Vacancy
25.80%
Lease Rate
$15.24 /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%
$3,208,560
Cap Rate 7%
$2,291,829
Cap Rate 9%
$1,782,533
Alternative Uses
Best Use
Office B
$2.29M
$2.01M – $2.67M
NOI $160,428 @ 7.0% cap · market cap 8.90%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$3.27M
$2.86M – $3.81M
NOI $228,808 @ 7.0% cap · market cap 12.70%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
2,078
Businesses Nearby
Explore this area
Business Placement
Demographics for 73069, OK
26,464
Population
12,719
Households
2.1
Avg Household Size
32
Median Age
45%
College-Educated
93%
High-School Grad
15.7 sq mi
ZIP Area
1,686
Density / Sq Mi
$55,699
Median Household Income
$34,151
Median Earnings
$1,031
Median Rent
$212,400
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in South region
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Frequently Asked Questions
What type of property is this?
Office building - Office building with offices of varying sizes and street signage, located near Historic Downtown Norman across from City Hall.
Where is this office building located?
The property is located at 226 W Gray St Norman, OK.
What is the asking price?
The asking price for this property is $1,801,915.
What are key features of this property?
This property features: New roof installed in 2022; 18,916 SF office building; Across from City Hall
