Downtown Frederick Office/Medical
For Sale
$779,000
241 E 4TH St 105, Frederick, MD 21701
2,848 SF office/medical space in historic downtown Frederick.
Property Size2,848 SF
Lot Size1.49 Acres
Price / SF$273.53
Days on Market152
Property Features for 241 E 4TH St 105
General Information
Standard status
Active
Size
2,848 SF
Lot size
1.49 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$8,852
Building Details
Year Built
1937
Units
1
Listing Agency:
MACKINTOSH, INC.
(301) 748-3321
Listed By:
Nancy A Green · License #512471
(301) 748-3321
Source:
Elliman
Added: Mar 11
Changed: Aug 8
Last Checked: Aug 8 at 6:24AM
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 MACKINTOSH, INC.
Investment Insights
Based on property information with market context.
This is a 2,848 square foot office or medical space located in historic downtown Frederick. The space is situated within a 44,840 square foot building on a 1.49-acre lot, which is equivalent to 64,620 square feet. The property is zoned DB. The interior includes five offices, a conference room, and three large open cubicle areas. It also features a large full kitchen. Multiple restrooms and a breakroom are available in a common area. The property is located on East Street and is not intended for retail use.
Key Highlights
- Beautifully decorated 2,848 SF office/medical space.
- Located in historic downtown Frederick on East Street.
- Includes five offices, conference room, and three large open cubicle areas.
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
$53,769
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%
$1,075,380
$1.1M
Cap Rate 7%
$768,129
$768.1K
Cap Rate 9%
$597,433
$597.4K
Market Conditions
NOI Build-Up for 2,848 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
$99.8K $35.04/SF
− Vacancy
−$10.2K −$3.57/SF
EGI
$89.6K $31.47/SF
− OpEx
−$35.8K −$12.59/SF
NOI
$53.8K $18.88/SF
Area
Frederick County, MD
Vacancy
10.20%
Lease Rate
$35.04 /SF/Yr
Expense Ratio
40.00%
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%
$1,075,380
Cap Rate 7%
$768,129
Cap Rate 9%
$597,433
Alternative Uses
Best Use
Healthcare Medical
$768.1K
$672.1K – $896.2K
NOI $53,769 @ 7.0% cap · market cap 6.90%
Second Best
Office B
$745.4K
$652.2K – $869.6K
NOI $52,177 @ 7.0% cap · market cap 6.70%
Theoretical Best
Specialty Retail
$1.06M
$923.4K – $1.23M
NOI $73,872 @ 7.0% cap · market cap 9.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
3,244
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 21701, MD
39,629
Population
18,914
Households
2.1
Avg Household Size
40
Median Age
50%
College-Educated
95%
High-School Grad
39.7 sq mi
ZIP Area
998
Density / Sq Mi
$102,306
Median Household Income
$59,381
Median Earnings
$1,607
Median Rent
$404,900
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Medical Office Space - 2,848 SF office/medical space in historic downtown Frederick.
Where is this medical office space located?
The property is located at 241 E 4TH St 105 Frederick, MD.
What is the asking price?
The asking price for this property is $779,000.
What are key features of this property?
This property features: Beautifully decorated 2,848 SF office/medical space.; Located in historic downtown Frederick on East Street.; Includes five offices, conference room, and three large open cubicle areas.
