Four-Office
For Sale
$398,000
2559 E Fort Lowell Rd, Tucson, AZ 85716
Four private offices complement shared reception, waiting, break-room, and restroom areas.
Property Size1,358 SF
Price / SF$293.08
Days on Market231
Property Features for 2559 E Fort Lowell Rd
General Information
Standard status
Active
Size
1,358 SF
Property subtype
Commercial
Building Details
Year Built
1962
Buildings
1
Listing Agency:
Long Realty
Listed By:
Waco Starr wacostarr@longrealty.com
Source:
Seetucsonhouses
Added: Jan 9
Changed: Aug 28
Last Checked: Aug 25 at 7:53AM
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 Long Realty
Investment Insights
Based on property information with market context.
This office building contains four private offices arranged with shared reception and waiting areas, along with a break room and restroom. The configuration separates individual work areas from common customer-facing space and was built in 1962.
The property is located at 2559 E Fort Lowell Rd in Tucson, Arizona. Its reported 1,358 SF provides a compact office footprint with a dedicated multi-room layout and an established commercial presence along the road.
The property is located at 2559 E Fort Lowell Rd in Tucson, Arizona. Its reported 1,358 SF provides a compact office footprint with a dedicated multi-room layout and an established commercial presence along the road.
Key Highlights
- Four private offices within the building
- Reception area and waiting room provide shared front‑of‑house space
- Break room and restroom included
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
$19,844
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
4.99%
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%
$396,880
$396.9K
Cap Rate 7%
$283,486
$283.5K
Cap Rate 9%
$220,489
$220.5K
Market Conditions
NOI Build-Up for 1,358 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
$29.3K $21.60/SF
− Vacancy
−$2.9K −$2.12/SF
EGI
$26.5K $19.48/SF
− OpEx
−$6.6K −$4.87/SF
NOI
$19.8K $14.61/SF
Area
Tucson, AZ
Vacancy
9.80%
Lease Rate
$21.60 /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%
$396,880
Cap Rate 7%
$283,486
Cap Rate 9%
$220,489
Alternative Uses
Best Use
Office B
$283.5K
$248.1K – $330.7K
NOI $19,844 @ 7.0% cap · market cap 4.99%
Second Best
Healthcare Medical
$258.4K
$226.1K – $301.5K
NOI $18,089 @ 7.0% cap · market cap 4.54%
Theoretical Best
Office A
$352.8K
$308.7K – $411.6K
NOI $24,694 @ 7.0% cap · market cap 6.20%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,132
Businesses Nearby
Explore this area
Business Placement
Demographics for 85716, AZ
31,521
Population
19,025
Households
1.7
Avg Household Size
39
Median Age
42%
College-Educated
92%
High-School Grad
7.2 sq mi
ZIP Area
4,378
Density / Sq Mi
$47,009
Median Household Income
$33,367
Median Earnings
$1,021
Median Rent
$300,900
Median Home Value
Market
Vacancy Rate% for Office in Tucson, AZ
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Four private offices complement shared reception, waiting, break-room, and restroom areas.
Where is this office building located?
The property is located at 2559 E Fort Lowell Rd Tucson, AZ.
What is the asking price?
The asking price for this property is $398,000.
What are key features of this property?
This property features: Four private offices within the building; Reception area and waiting room provide shared front‑of‑house space; Break room and restroom included
