Renovated Flex Space with
New
For Sale
$599,000
3831 Thomas, Santa Fe, NM 87507
CommercialSale, Santa Fe, NM
Property Size3,000 SF
Lot Size0.05 Acres
Price / SF$199.67
Days on Market4
Property Features for 3831 Thomas
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
I-1
Parking features
Parking Lot
Directions
Port Road to Thomas Road to property.
Standard status
Active
APN
099303247
Size
3,000 SF
Lot size
0.05 Acres
Taxes and HOA fees
Tax Description
UNIT A, LOT 6-A, CG ONE CODOMINIUM, THOMAS BUSINESS PARK, S12 T16N R8E
Legal Description
UNIT A, LOT 6-A, CG ONE CODOMINIUM, THOMAS BUSINESS PARK, S12 T16N R8E
Utilities
Sewer type
Public Sewer
Water source
Public
Building Details
Year built
2006
Flooring type
Concrete, Wood
Building materials
Frame
Roof type
Metal
Listing Agency:
Varela Real Estate, Inc.
(505) 982-2525
Listed By:
Phillip Varela · License #18075
(505) 982-2525
Added: Aug 19
Changed: Aug 21
Last Checked: Aug 22 at 7:06PM
MLS# 202603646
Copyright © 2026 Santa Fe Association of REALTORS®, Inc. 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 3,000-square-foot flex property combines renovated office accommodations with warehouse space. The office component includes several private areas, a reception area, conference room, kitchenette, and ADA-compliant bathrooms. Concrete and wood flooring support a practical mix of administrative and industrial functions, while the building also offers a 12x12 garage bay door, high-clearance space, and 3-phase electrical service. The owner is willing to reopen up to 2000 sq ft of garage area while retaining 1000 sq ft for office use.
Built in 2006, the frame-construction property has a metal roof, parking lot, public water, and public sewer. It is zoned I-1 and located on Thomas Road in Santa Fe, with access to 599, Airport Road, and I-25. The configuration supports owner-user occupancy or use as an investment property.
Built in 2006, the frame-construction property has a metal roof, parking lot, public water, and public sewer. It is zoned I-1 and located on Thomas Road in Santa Fe, with access to 599, Airport Road, and I-25. The configuration supports owner-user occupancy or use as an investment property.
Key Highlights
- 3,000 square feet of combined office and warehouse space
- Renovated offices with reception, conference room, kitchenette, and ADA bathrooms
- Owner willing to reopen garage space to 2000 sq ft while keeping 1000 sq ft for 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
Property Profile
Current Use
Lease Details
1
Drive-in doors
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
3
Businesses Nearby
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.
Frequently Asked Questions
What type of property is this?
Flex space - Renovated administrative areas accompany a high-clearance industrial workspace.
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 square feet of combined office and warehouse space; Renovated offices with reception, conference room, kitchenette, and ADA bathrooms; Owner willing to reopen garage space to 2000 sq ft while keeping 1000 sq ft for office
