Single-Tenant NNN
New
For Sale
$3,885,000
3381 Bill Metzger Ln, Pensacola, FL 32514
Renovated industrial facility leased under an NNN structure with scheduled rent increases and multiple renewal options.
Property Size15,200 SF
Lot Size2.00 Acres
Price / SF$255.59
Days on Market2
Property Features for 3381 Bill Metzger Ln
General Information
Standard status
Active
Size
15,200 SF
Lot size
2.00 Acres
Property subtype
Single-Tenant Industrial
Net Operating Income
$242,824
Financials
Asking Price
$3,885,000
Cap Rate
6.25%
Additional Details
Highway Access
Yes
Amenities
Corporate Lease with Herc Rentals, Inc | NYSE: HRI - 3rd Largest Equipment Rental Company in the U.S.
Original 10-Yr NNN Lease | Minimal LL Responsibilities - 8+ Years Remaining | 3% Annual Rental Increases
Former Tenant Acquired via a $5.3 Billion Merger - Herc Purchased H&E Equipment Services June 2025
Newly Renovated Facility | $1.3M in Improvements '24 - Built Out to Fully Accommodate Tenant's Specifications
Located in Pensacola's Ellyson Industrial Park - Strong National Tenants | Quick Access to I-10 & I-110
Proximity to Pensacola Int. Airport | 5.4 Miles - Largest Airport Between New Orleans & Jacksonville
Pensacola, FL MSA | FL is an Income Tax Free State - ~539,000 Population | NW Florida's Largest Metro
"Project Maeve" | $275M Navy Shipbuilding Facility - Industrial Demand Driver | Largescale Job Creations
Building Details
Building Size
15,200 SF
Year Built
1996
Year Renovated
2024
Buildings
1
Tenancy
Single
Listing Agency:
Marcus & Millichap - Orlando
(904) 672-1451
Listed By:
Jake Vandenburg · License #License(s): FL: SL3601186
(904) 672-1451
Source:
Marcusmillichap
Added: Aug 21
Changed: Aug 22
Last Checked: Aug 22 at 3:37AM
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 Marcus & Millichap - Orlando
Investment Insights
Based on property information with market context.
This single-tenant warehouse property includes a ±15,200-square-foot facility on a ±2.00-acre site. Constructed in 1996, the building underwent renovation in 2024, including improvements tailored to the occupant’s operating requirements. Herc Rentals, Inc. occupies the property under an NNN lease with 7+ years remaining on the initial term, 3% annual rent increases, and four 5-year renewal options. The lease structure provides for minimal landlord responsibilities.
The property is located at 3381 Bill Metzger Ln in Pensacola’s Ellyson Industrial Park, alongside Amazon, Penske, and Cintas. Pensacola International Airport is 5.4 miles away, and the site offers access to I-10 and I-110. The occupant is part of Herc Rentals, a North American equipment rental company with 609+ locations.
The property is located at 3381 Bill Metzger Ln in Pensacola’s Ellyson Industrial Park, alongside Amazon, Penske, and Cintas. Pensacola International Airport is 5.4 miles away, and the site offers access to I-10 and I-110. The occupant is part of Herc Rentals, a North American equipment rental company with 609+ locations.
Key Highlights
- ±15,200 SF warehouse facility on a ±2.00‑acre site
- Renovated in 2024 with tenant‑specific improvements
- Herc Rentals, Inc. is the single occupant
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
$116,072
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
2.99%
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%
$2,321,440
$2.3M
Cap Rate 7%
$1,658,171
$1.7M
Cap Rate 9%
$1,289,689
$1.3M
Market Conditions
NOI Build-Up for 15,200 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
$151.4K $9.96/SF
− Vacancy
−$14.8K −$0.98/SF
EGI
$136.6K $8.98/SF
− OpEx
−$20.5K −$1.35/SF
NOI
$116.1K $7.64/SF
Area
Escambia County, FL
Vacancy
9.80%
Lease Rate
$9.96 /SF/Yr
Expense Ratio
15.00%
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%
$2,321,440
Cap Rate 7%
$1,658,171
Cap Rate 9%
$1,289,689
Alternative Uses
Best Use
Warehouse
$1.66M
$1.45M – $1.93M
NOI $116,072 @ 7.0% cap · market cap 2.99%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.46M
$3.90M – $5.20M
NOI $312,270 @ 7.0% cap · market cap 8.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
291
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 32514, FL
40,844
Population
19,117
Households
2.1
Avg Household Size
39
Median Age
33%
College-Educated
91%
High-School Grad
19.8 sq mi
ZIP Area
2,063
Density / Sq Mi
$66,484
Median Household Income
$36,178
Median Earnings
$1,358
Median Rent
$241,300
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Warehouse - Renovated industrial facility leased under an NNN structure with scheduled rent increases and multiple renewal options.
Where is this warehouse located?
The property is located at 3381 Bill Metzger Ln Pensacola, FL.
What is the asking price?
The asking price for this property is $3,885,000.
What are key features of this property?
This property features: ±15,200 SF warehouse facility on a ±2.00‑acre site; Renovated in 2024 with tenant‑specific improvements; Herc Rentals, Inc. is the single occupant
