Professional Office Building with Flexible
For Sale
$1,200,000
230 W Pennsylvania Ave, Southern Pines, NC 28387
Built in 2000, the professional office building is currently occupied by three month-to-month tenants.
Property Size5,200 SF
Price / SF$230.77
Days on Market47
Property Features for 230 W Pennsylvania Ave
General Information
Standard status
Active
Size
5,200 SF
Property subtype
Office
Site & Location
Highway Access
Yes
Road Access
Yes
Additional Details
Asking Price
$1,200,000
Building Details
Building Size
5,200 SF
Year Built
2000
Buildings
1
Tenancy
Multi
Listing Agency:
Lee & Associates - Raleigh Durham
Listed By:
Christina Coffey · License #194187
(919) 522-9915
Source:
Lee-associates
Added: Jul 30
Changed: Aug 28
Last Checked: Sep 14 at 6:20AM
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 Lee & Associates - Raleigh Durham
Investment Insights
Based on property information with market context.
230 W Pennsylvania Avenue is a 5,200 SF professional office building built in 2000, offering a versatile layout that can support a single occupant or multiple tenants. The property is currently occupied by three month-to-month tenants, creating flexibility for an owner-user while also fitting an investor approach.
The building is located on W Pennsylvania Avenue in Southern Pines, with convenient access to Downtown Southern Pines, Pinehurst, Aberdeen, and US-1. It also benefits from adjacent public parking and street parking. Vehicular traffic on W Pennsylvania Ave is listed at 30,500 VPD (per NCDOT, 2024), and SE Broad St at 3,900 VPD, supporting visibility for businesses serving office, professional, and service needs.
The space can be positioned for a range of professional and service-oriented uses, including businesses such as legal, financial, medical, and other professional services, depending on tenant configuration.
The building is located on W Pennsylvania Avenue in Southern Pines, with convenient access to Downtown Southern Pines, Pinehurst, Aberdeen, and US-1. It also benefits from adjacent public parking and street parking. Vehicular traffic on W Pennsylvania Ave is listed at 30,500 VPD (per NCDOT, 2024), and SE Broad St at 3,900 VPD, supporting visibility for businesses serving office, professional, and service needs.
The space can be positioned for a range of professional and service-oriented uses, including businesses such as legal, financial, medical, and other professional services, depending on tenant configuration.
Key Highlights
- 5,200 SF professional office building built in 2000
- Currently occupied by three month‑to‑month tenants
- Single‑tenant or multi‑tenant layout
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
$38,329
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
3.19%
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%
$766,580
$766.6K
Cap Rate 7%
$547,557
$547.6K
Cap Rate 9%
$425,878
$425.9K
Market Conditions
NOI Build-Up for 5,200 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
$146.0K $28.08/SF
− Vacancy
−$94.9K −$18.25/SF
EGI
$51.1K $9.83/SF
− OpEx
−$12.8K −$2.46/SF
NOI
$38.3K $7.37/SF
Area
Moore County, NC
Vacancy
65.00%
Lease Rate
$28.08 /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%
$766,580
Cap Rate 7%
$547,557
Cap Rate 9%
$425,878
Alternative Uses
Best Use
Office B
$547.6K
$479.1K – $638.8K
NOI $38,329 @ 7.0% cap · market cap 3.19%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$990.8K
$867.0K – $1.16M
NOI $69,359 @ 7.0% cap · market cap 5.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
1,170
Businesses Nearby
Explore this area
Business Placement
Demographics for 28387, NC
16,413
Population
8,731
Households
1.9
Avg Household Size
45
Median Age
53%
College-Educated
93%
High-School Grad
29.5 sq mi
ZIP Area
556
Density / Sq Mi
$73,587
Median Household Income
$51,681
Median Earnings
$1,137
Median Rent
$366,600
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 building - Built in 2000, the professional office building is currently occupied by three month-to-month tenants.
Where is this office building located?
The property is located at 230 W Pennsylvania Ave Southern Pines, NC.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: 5,200 SF professional office building built in 2000; Currently occupied by three month‑to‑month tenants; Single‑tenant or multi‑tenant layout
