Medical Office Buildings Near
For Sale
$3,799,999
309-311 Lennon Lane, Walnut Creek, CA 94598
Office/medical buildings near Kaiser Permanente & John Muir Medical Offices.
Property Size14,878 SF
Price / SF$255.41
Days on Market274
Property Features for 309-311 Lennon Lane
General Information
Standard status
Active
Size
14,878 SF
Class
B
Property subtype
Office
Building Details
Building Size
14,878 SF
Listing Agency:
TRI Commercial | Walnut Creek
(925) 383-2379
Listed By:
Matt Hatfield · License #CalDRE #01937755
(925) 383-2379
Source:
Tricommercial
Added: Nov 21, 2025
Changed: Aug 22
Last Checked: Aug 22 at 4:46AM
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 TRI Commercial | Walnut Creek
Investment Insights
Based on property information with market context.
Located in the medical submarket of Shadelands in Walnut Creek, 309-311 Lennon Lane consists of office and medical buildings. The property is suitable for investment or owner/user opportunities. The surrounding submarket supports major medical entities such as Kaiser Permanente, John Muir, BASS Medical, and Benioff Children’s Hospital. The Shadelands area offers dining and recreation destinations, including Heather Farm Park, Lime Ridge Open Space, Boundary Oak Golf Course, Diablo Shadows Park, and Orchards Playground at the Orchards Shopping Center. Dining options include Mike Hess Brewing, Jack’s Urban Eats, MOD Pizza, California Fish Grill, and Burger Lounge. The property has a size of 14878 square feet.
Key Highlights
- Located in the Shadelands medical submarket near Kaiser Permanente & John Muir Medical Offices.
- Suitable for investment or owner/user.
- Proximity to major medical entities including BASS Medical and Benioff Children’s Hospital.
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
$269,009
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
7.08%
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%
$5,380,180
$5.4M
Cap Rate 7%
$3,842,986
$3.8M
Cap Rate 9%
$2,988,989
$3.0M
Market Conditions
NOI Build-Up for 14,878 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
$437.4K $29.40/SF
− Vacancy
−$78.7K −$5.29/SF
EGI
$358.7K $24.11/SF
− OpEx
−$89.7K −$6.03/SF
NOI
$269.0K $18.08/SF
Area
Contra Costa County, CA
Vacancy
18.00%
Lease Rate
$29.40 /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%
$5,380,180
Cap Rate 7%
$3,842,986
Cap Rate 9%
$2,988,989
Alternative Uses
Best Use
Office B
$3.84M
$3.36M – $4.48M
NOI $269,009 @ 7.0% cap · market cap 7.08%
Second Best
Healthcare Medical
$3.15M
$2.76M – $3.68M
NOI $220,537 @ 7.0% cap · market cap 5.80%
Theoretical Best
Office A
$5.62M
$4.92M – $6.56M
NOI $393,672 @ 7.0% cap · market cap 10.36%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,055
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 94598, CA
26,826
Population
10,735
Households
2.5
Avg Household Size
46
Median Age
74%
College-Educated
98%
High-School Grad
20.6 sq mi
ZIP Area
1,302
Density / Sq Mi
$188,170
Median Household Income
$99,757
Median Earnings
$2,989
Median Rent
$1,307,100
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Medical Office Space - Office/medical buildings near Kaiser Permanente & John Muir Medical Offices.
Where is this medical office space located?
The property is located at 309-311 Lennon Lane Walnut Creek, CA.
What is the asking price?
The asking price for this property is $3,799,999.
What are key features of this property?
This property features: Located in the Shadelands medical submarket near Kaiser Permanente & John Muir Medical Offices.; Suitable for investment or owner/user.; Proximity to major medical entities including BASS Medical and Benioff Children’s Hospital.
