Historic Mixed-Use
New
For Sale
Contact for pricing
312 DAVIS HWY, Pensacola, FL 32504
OEHC-1 zoning supports residential, office, and select neighborhood commercial uses.
Property Size1,127 SF
Price / SF$354.04
Days on Market7
Property Features for 312 DAVIS HWY
General Information
Standard status
Active
Size
1,127 SF
Property subtype
RETAIL
Zoning
OEHC-1
Building Details
Year Built
1915
Listing Agency:
Octavius Real Estate
(850) 498-8128
Listed By:
James O'Donovan · License #15495
(850) 748-9881
Source:
Moodyscre
Added: Sep 16
Changed: Sep 18
Last Checked: Sep 21 at 12:13PM
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 Octavius Real Estate
Investment Insights
Based on property information with market context.
Built in 1915, this approximately 1,127-square-foot property includes 2 bedrooms and 1 bathroom within a flexible mixed-use configuration. The OEHC-1 Old East Hill Neighborhood Commercial zoning supports residential, office, and select neighborhood commercial uses, accommodating possibilities such as a professional office, studio, boutique business, residence, or live/work arrangement.
The property is located at 312 Davis Hwy in Pensacola’s Old East Hill Historic District, with access to Downtown Pensacola and Palafox Street. Restaurants, shopping, entertainment, hospitals, and surrounding historic neighborhoods are also identified in the immediate area. Its highway location provides a visible setting for an owner-occupant, business user, or investor seeking a property with both residential and commercial-use potential.
The property is located at 312 Davis Hwy in Pensacola’s Old East Hill Historic District, with access to Downtown Pensacola and Palafox Street. Restaurants, shopping, entertainment, hospitals, and surrounding historic neighborhoods are also identified in the immediate area. Its highway location provides a visible setting for an owner-occupant, business user, or investor seeking a property with both residential and commercial-use potential.
Key Highlights
- OEHC‑1 Old East Hill Neighborhood Commercial zoning
- Approximately 1,127 square feet with 2 bedrooms and 1 bathroom
- 1915 construction date
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
$19,007
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
4.76%
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%
$380,140
$380.1K
Cap Rate 7%
$271,529
$271.5K
Cap Rate 9%
$211,189
$211.2K
Market Conditions
NOI Build-Up for 1,127 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
$28.3K $25.08/SF
− Vacancy
−$2.9K −$2.59/SF
EGI
$25.3K $22.49/SF
− OpEx
−$6.3K −$5.62/SF
NOI
$19.0K $16.87/SF
Area
Escambia County, FL
Vacancy
10.34%
Lease Rate
$25.08 /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%
$380,140
Cap Rate 7%
$271,529
Cap Rate 9%
$211,189
Alternative Uses
Best Use
Office B
$271.5K
$237.6K – $316.8K
NOI $19,007 @ 7.0% cap · market cap 4.76%
Second Best
Mixed Use
$191.3K
$167.4K – $223.2K
NOI $13,389 @ 7.0% cap · market cap 3.36%
Theoretical Best
Office A
$330.8K
$289.4K – $385.9K
NOI $23,153 @ 7.0% cap · market cap 5.80%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
2,715
Businesses Nearby
Explore this area
Business Placement
Demographics for 32504, FL
21,791
Population
10,436
Households
2.1
Avg Household Size
43
Median Age
41%
College-Educated
92%
High-School Grad
10.5 sq mi
ZIP Area
2,075
Density / Sq Mi
$74,067
Median Household Income
$41,990
Median Earnings
$1,257
Median Rent
$242,400
Median Home Value
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Market
Vacancy Rate% for Office in South region
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Frequently Asked Questions
What type of property is this?
Mixed-use property - OEHC-1 zoning supports residential, office, and select neighborhood commercial uses.
Where is this mixed-use property located?
The property is located at 312 DAVIS HWY Pensacola, FL.
What is the asking price?
The asking price for this property is $399,000.
What are key features of this property?
This property features: OEHC‑1 Old East Hill Neighborhood Commercial zoning; Approximately 1,127 square feet with 2 bedrooms and 1 bathroom; 1915 construction date
