Renovated Flex Space with
For Sale
$599,000
3831 Thomas, Santa Fe, NM 87507
Renovated offices support administrative and client-facing operations alongside flexible warehouse space.
Property Size3,000 SF
Price / SF$199.67
Days on Market13
Property Features for 3831 Thomas
General Information
Standard status
Active
Size
3,000 SF
Property subtype
Business Opportunities
Site & Location
Highway Access
Yes
Road Access
Yes
Warehouse & Industrial
Office Build-Out
1,000 SF
Drive-In Doors
1
Three-Phase Power
Yes
Amenities
reception
conference
kitchenette
ADA bathrooms
3
Parking.
Lot.
Overhead Doors.
Building Details
Year Built
2006
Listing Agency:
Varela Real Estate, Inc.
(505) 982-2525
Listed By:
Phillip Varela · License #18075
Source:
Xome
Added: Aug 17
Changed: Aug 28
Last Checked: Aug 29 at 7:29AM
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 Varela Real Estate, Inc.
Investment Insights
Based on property information with market context.
This 3,000 SF flex property combines renovated office areas with warehouse space. The office component includes a reception area, multiple private offices, a conference room, kitchenette, and ADA bathrooms. The layout also provides high-clearance warehouse space, a 12x12 garage bay door, and 3-phase electrical service.
The owner is willing to reopen the garage area to create 2,000 SF of warehouse space while retaining 1,000 SF for office use. Located on Thomas Road in Santa Fe, the property offers access to Airport Road, Route 599, and I-25. Built in 2006, the building accommodates storage, production, fabrication, distribution, and service-oriented operations within a combined office and warehouse setting.
The owner is willing to reopen the garage area to create 2,000 SF of warehouse space while retaining 1,000 SF for office use. Located on Thomas Road in Santa Fe, the property offers access to Airport Road, Route 599, and I-25. Built in 2006, the building accommodates storage, production, fabrication, distribution, and service-oriented operations within a combined office and warehouse setting.
Key Highlights
- 3,000 SF flex property with renovated office and warehouse areas
- Office layout includes reception, multiple offices, conference room, kitchenette, and ADA bathrooms
- Potential to reopen garage space to 2,000 SF while retaining 1,000 SF of office
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
$41,310
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
6.90%
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%
$826,200
$826.2K
Cap Rate 7%
$590,143
$590.1K
Cap Rate 9%
$459,000
$459.0K
Market Conditions
NOI Build-Up for 3,000 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
$64.8K $21.60/SF
− Vacancy
−$9.7K −$3.24/SF
EGI
$55.1K $18.36/SF
− OpEx
−$13.8K −$4.59/SF
NOI
$41.3K $13.77/SF
Area
Santa Fe County, NM
Vacancy
15.00%
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%
$826,200
Cap Rate 7%
$590,143
Cap Rate 9%
$459,000
Alternative Uses
Best Use
Office B
$590.1K
$516.4K – $688.5K
NOI $41,310 @ 7.0% cap · market cap 6.90%
Second Best
Flex RnD
$451.3K
$394.9K – $526.5K
NOI $31,590 @ 7.0% cap · market cap 5.27%
Theoretical Best
Office A
$814.6K
$712.8K – $950.4K
NOI $57,024 @ 7.0% cap · market cap 9.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
1
Drive-in doors
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
857
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 87507, NM
51,338
Population
21,272
Households
2.4
Avg Household Size
38
Median Age
31%
College-Educated
86%
High-School Grad
96.1 sq mi
ZIP Area
534
Density / Sq Mi
$62,955
Median Household Income
$34,102
Median Earnings
$1,276
Median Rent
$333,300
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Palate — 2603 Cerrillos Rd, Santa Fe, NM 87505
- Peas 'N' Pod Catering — 1314 Apache Ave, Santa Fe, NM 87505
- Capsicum Inc — 1807 2nd St, Santa Fe, NM 87505
- High Mountain Cuisine — 1807 2nd St unit 62, Santa Fe, NM 87505
- Adobo Catering — 1807 2nd St #107, Santa Fe, NM 87505
Frequently Asked Questions
What type of property is this?
Flex space - Renovated offices support administrative and client-facing operations alongside flexible warehouse space.
Where is this flex space located?
The property is located at 3831 Thomas Santa Fe, NM.
What is the asking price?
The asking price for this property is $599,000.
What are key features of this property?
This property features: 3,000 SF flex property with renovated office and warehouse areas; Office layout includes reception, multiple offices, conference room, kitchenette, and ADA bathrooms; Potential to reopen garage space to 2,000 SF while retaining 1,000 SF of office
