Denver Industrial Flex
For Sale
$4,695,000
2401 S Delaware St, Denver, CO 80223
Versatile industrial property with office space and storage yard.
Property Size31,357 SF
Price / SF$149.73
Days on Market264
Property Features for 2401 S Delaware St
General Information
Standard status
Active
Size
31,357 SF
Class
C
Property subtype
Industrial
Building Details
Building Size
31,357 SF
Year Built
1967
Listing Agency:
SVN | Denver Commercial LLC
(513) 907-1349
Listed By:
John Lutkewitte · License #CO #FA.100076953
(513) 907-1349
Source:
Svn
Added: Nov 21, 2025
Changed: Aug 8
Last Checked: May 9 at 12:59AM
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 SVN | Denver Commercial LLC
Investment Insights
Based on property information with market context.
This industrial property at 2401 S Delaware St, Denver, CO, offers a flexible space suitable for various business operations. The property includes multiple buildings equipped with large bay doors, facilitating efficient logistics. It features 31,357 square feet of industrial/flex building. The property also includes office space with a kitchenette, private offices, and open work areas. High ceilings and a small yard for additional storage enhance the property's functionality. Ample parking is available for employees along the North and East facing walls. Loading docks are present. The property is zoned I-MX-3. The location is in an industrial corridor with surrounding new multi-family and single family developments.
Key Highlights
- Strategic Denver location in a growing industrial corridor.
- 31,357 SF industrial/flex building zoned I‑MX‑3.
- Multiple buildings with large bay doors and loading docks for efficient operations.
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
$324,031
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
6.90%
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%
$6,480,620
$6.5M
Cap Rate 7%
$4,629,014
$4.6M
Cap Rate 9%
$3,600,344
$3.6M
Market Conditions
NOI Build-Up for 31,357 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
$413.9K $13.20/SF
− Vacancy
−$32.7K −$1.04/SF
EGI
$381.2K $12.16/SF
− OpEx
−$57.2K −$1.82/SF
NOI
$324.0K $10.33/SF
Area
Denver, CO
Vacancy
7.90%
Lease Rate
$13.20 /SF/Yr
Expense Ratio
15.00%
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%
$6,480,620
Cap Rate 7%
$4,629,014
Cap Rate 9%
$3,600,344
Alternative Uses
Best Use
Office B
$6.56M
$5.74M – $7.66M
NOI $459,443 @ 7.0% cap · market cap 9.79%
Second Best
Warehouse
$4.63M
$4.05M – $5.40M
NOI $324,031 @ 7.0% cap · market cap 6.90%
Theoretical Best
Office A
$9.98M
$8.73M – $11.65M
NOI $698,744 @ 7.0% cap · market cap 14.88%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,086
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 80223, CO
19,862
Population
9,532
Households
2.1
Avg Household Size
34
Median Age
46%
College-Educated
87%
High-School Grad
5.3 sq mi
ZIP Area
3,748
Density / Sq Mi
$80,461
Median Household Income
$50,567
Median Earnings
$1,650
Median Rent
$497,900
Median Home Value
Market
Vacancy Rate% for Office in Denver, CO
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Versatile industrial property with office space and storage yard.
Where is this flex space located?
The property is located at 2401 S Delaware St Denver, CO.
What is the asking price?
The asking price for this property is $4,695,000.
What are key features of this property?
This property features: Strategic Denver location in a growing industrial corridor.; 31,357 SF industrial/flex building zoned I‑MX‑3.; Multiple buildings with large bay doors and loading docks for efficient operations.
