Industrial Flex Building with Radiant
For Sale
$1,100,000
25416 COMMERCE LANE, Chestertown, MD 21620
Industrial flex building with radiant floor heating, offices and shop space, and tractor-trailer access.
Property Size5,600 SF
Days on Market75
Property Features for 25416 COMMERCE LANE
General Information
Standard status
Active
Size
5,600 SF
Property subtype
Industrial
Zoning
Industrial
Additional Details
Three-Phase Power
Yes
Taxes and HOA fees
Annual Taxes
$6,703
Building Details
Building Size
5,600 SF
Year Built
2009
Listing Agency:
Coldwell Banker Chesapeake Real Estate Company
(443) 480-4275
Listed By:
Michael ONeill · License #5010912
(443) 480-4275
Source:
Barnesrealestatecompany
Added: Jun 10
Changed: Aug 23
Last Checked: Aug 22 at 10:06AM
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 Coldwell Banker Chesapeake Real Estate Company
Investment Insights
Based on property information with market context.
This industrial flex building is designed to support a range of business operations with a layout that separates personnel, office functions, and shop space. The building includes radiant floor heating, 3-phase electric throughout, and passive solar heating and cooling concepts, reflected in the dynamic roof pitch. Interior amenities include quality control, conference, and storage rooms, along with three bathrooms, one with a shower.
The property is positioned minutes from the Eastern Shore thoroughfares of Routes 301 and 213 and just outside downtown Chestertown. The offering is described as having industrial zoning, public sewer, tractor trailer access, and a railway abutting the business park. The exterior is arranged for ample parking for staff and customers separately, and is also designed for tractor trailer turnaround.
With over 2 acres and an extra sewer allotment, the site is presented as capable of supporting expansion or new business operations.
The property is positioned minutes from the Eastern Shore thoroughfares of Routes 301 and 213 and just outside downtown Chestertown. The offering is described as having industrial zoning, public sewer, tractor trailer access, and a railway abutting the business park. The exterior is arranged for ample parking for staff and customers separately, and is also designed for tractor trailer turnaround.
With over 2 acres and an extra sewer allotment, the site is presented as capable of supporting expansion or new business operations.
Key Highlights
- Industrial flex building with office, quality control, conference, storage, and shop space for personnel and work areas.
- Radiant floor heating plus passive solar heating and cooling design with dynamic roof pitch by architect Peter Newlin.
- Industrial zoning with public sewer, 3‑phase electric throughout the building, and railroad abutting the business park.
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
$30,893
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
2.81%
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%
$617,860
$617.9K
Cap Rate 7%
$441,329
$441.3K
Cap Rate 9%
$343,256
$343.3K
Market Conditions
NOI Build-Up for 5,600 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
$50.4K $9.00/SF
− Vacancy
−$2.9K −$0.51/SF
EGI
$47.5K $8.49/SF
− OpEx
−$16.6K −$2.97/SF
NOI
$30.9K $5.52/SF
Area
Queen Anne's County, MD
Vacancy
5.70%
Lease Rate
$9.00 /SF/Yr
Expense Ratio
35.00%
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%
$617,860
Cap Rate 7%
$441,329
Cap Rate 9%
$343,256
Alternative Uses
Best Use
Industrial
$441.7K
$386.5K – $515.3K
NOI $30,919 @ 7.0% cap · market cap 2.81%
Second Best
Flex RnD
$441.3K
$386.2K – $514.9K
NOI $30,893 @ 7.0% cap · market cap 2.81%
Theoretical Best
Office A
$1.34M
$1.17M – $1.57M
NOI $93,912 @ 7.0% cap · market cap 8.54%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
15
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 21620, MD
12,726
Population
6,259
Households
2
Avg Household Size
46
Median Age
43%
College-Educated
93%
High-School Grad
118.7 sq mi
ZIP Area
107
Density / Sq Mi
$76,094
Median Household Income
$39,432
Median Earnings
$1,149
Median Rent
$318,700
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Industrial flex building with radiant floor heating, offices and shop space, and tractor-trailer access.
Where is this flex space located?
The property is located at 25416 COMMERCE LANE Chestertown, MD.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: Industrial flex building with office, quality control, conference, storage, and shop space for personnel and work areas.; Radiant floor heating plus passive solar heating and cooling design with dynamic roof pitch by architect Peter Newlin.; Industrial zoning with public sewer, 3‑phase electric throughout the building, and railroad abutting the business park.
