Two-Story Medical Office
For Sale
$5,750,000
320 W Dayton St, Kennewick, WA 99336
Commercial Sale, Kennewick, WA
Property Size30,000 SF
Lot Size2.50 Acres
Price / SF$191.67
Days on Market440
Property Features for 320 W Dayton St
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning
COMMCL OFFICE
Parking
75
Directions
Head west on W Kennewick Ave, turn right onto N Dayton St, and continue to the intersection with W Dayton St; the destination will be on your left
Standard status
Active
APN
101894BP5536002
Lot size
2.50 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
36594
Building Details
Year built
2000
Listing Agency:
StrickerCRE
50959199
Listed By:
Derrick Stricker · License #7AA1290
(509) 430-8533
Added: Jun 26, 2025
Changed: Sep 4
Last Checked: Sep 8 at 12:06AM
MLS# 285484
Copyright © 2026 PACMLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This vacant two-story medical office building contains approximately 30,000 square feet arranged across two symmetrical 15,000-square-foot floorplates. The layout includes more than 40 exam rooms per floor, multiple entry points, and a large central elevator system. Designed to support up to four separate tenants, the property can accommodate owner-user occupancy, civic conversion, or adaptive reuse, subject to applicable requirements.
The building occupies a 2.5-acre corner parcel at 320 W Dayton St in Kennewick. Constructed in 2000, it has continued to receive maintenance from the hospital’s facilities team, with building systems and utilities reported to remain in good working condition. The site is adjacent to Kennewick’s new Fire Station and regional Recovery & Addiction Center. Medical-use deed restrictions require buyer verification with the listing broker.
The building occupies a 2.5-acre corner parcel at 320 W Dayton St in Kennewick. Constructed in 2000, it has continued to receive maintenance from the hospital’s facilities team, with building systems and utilities reported to remain in good working condition. The site is adjacent to Kennewick’s new Fire Station and regional Recovery & Addiction Center. Medical-use deed restrictions require buyer verification with the listing broker.
Key Highlights
- Approximately +/-30,000 SF across two 15,000 SF floorplates
- More than 40 exam rooms on each floor
- Designed for up to four separate tenants
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
$460,501
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
8.01%
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%
$9,210,020
$9.2M
Cap Rate 7%
$6,578,586
$6.6M
Cap Rate 9%
$5,116,678
$5.1M
Market Conditions
NOI Build-Up for 30,000 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
$658.8K $21.96/SF
− Vacancy
−$44.8K −$1.49/SF
EGI
$614.0K $20.47/SF
− OpEx
−$153.5K −$5.12/SF
NOI
$460.5K $15.35/SF
Area
Benton County, WA
Vacancy
6.80%
Lease Rate
$21.96 /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%
$9,210,020
Cap Rate 7%
$6,578,586
Cap Rate 9%
$5,116,678
Alternative Uses
Best Use
Office B
$6.58M
$5.76M – $7.68M
NOI $460,501 @ 7.0% cap · market cap 8.01%
Second Best
Healthcare Medical
$6.36M
$5.57M – $7.42M
NOI $445,262 @ 7.0% cap · market cap 7.74%
Theoretical Best
Office A
$8.32M
$7.28M – $9.71M
NOI $582,463 @ 7.0% cap · market cap 10.13%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
601
Businesses Nearby
Explore this area
Business Placement
Demographics for 99336, WA
51,127
Population
20,915
Households
2.4
Avg Household Size
33
Median Age
21%
College-Educated
85%
High-School Grad
13.4 sq mi
ZIP Area
3,815
Density / Sq Mi
$63,308
Median Household Income
$38,211
Median Earnings
$1,155
Median Rent
$292,300
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?
Office building - Vacant office facility with multiple entrances, substantial exam-room capacity, and flexible two-floor configuration.
Where is this office building located?
The property is located at 320 W Dayton St Kennewick, WA.
What is the asking price?
The asking price for this property is $5,750,000.
What are key features of this property?
This property features: Approximately +/-30,000 SF across two 15,000 SF floorplates; More than 40 exam rooms on each floor; Designed for up to four separate tenants
