Four-Unit Brick Office
For Sale
$795,000
402-406b Harris Avenue, Raeford, NC 28376
Downtown commercial property offers multiple suites for office or retail occupancy.
Property Size5,000 SF
Price / SF$159
Days on Market176
Property Features for 402-406b Harris Avenue
General Information
Standard status
Active
Size
5,000 SF
Property subtype
Office
Additional Details
Office Units
4
Taxes and HOA fees
Annual Taxes
$1,887
Amenities
Electric
3
commercial
No Parking.
135x126x119x124
Building Details
Year Built
1990
Buildings
1
Construction
brick
Tenancy
Multi
Listing Agency:
Freedom Realty of NC, LLC
(910) 603-8603
Listed By:
Angela Rooney · License #266012
(910) 603-8603
Source:
Xome
Added: Mar 8
Changed: Aug 30
Last Checked: Aug 30 at 2:55PM
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 Freedom Realty of NC, LLC
Investment Insights
Based on property information with market context.
Built in 1990, this approximately 5,000-square-foot all-brick commercial building contains four separate units. The configuration supports office or retail occupancy, with two units currently occupied and additional space available for leasing or owner use.
The property is located at 402-406B Harris Avenue in downtown Raeford, within the city limits. The site has no parking and carries an irregular footprint described as 135x126x119x124.
The property is located at 402-406B Harris Avenue in downtown Raeford, within the city limits. The site has no parking and carries an irregular footprint described as 135x126x119x124.
Key Highlights
- Approximately 5,000 SF all‑brick commercial building
- Four separately configured units
- Two units currently occupied
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
$61,124
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
7.69%
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%
$1,222,480
$1.2M
Cap Rate 7%
$873,200
$873.2K
Cap Rate 9%
$679,156
$679.2K
Market Conditions
NOI Build-Up for 5,000 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
$102.0K $20.40/SF
− Vacancy
−$20.5K −$4.10/SF
EGI
$81.5K $16.30/SF
− OpEx
−$20.4K −$4.07/SF
NOI
$61.1K $12.22/SF
Area
Hoke County, NC
Vacancy
20.10%
Lease Rate
$20.40 /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%
$1,222,480
Cap Rate 7%
$873,200
Cap Rate 9%
$679,156
Alternative Uses
Best Use
Office B
$873.2K
$764.1K – $1.02M
NOI $61,124 @ 7.0% cap · market cap 7.69%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.10M
$958.8K – $1.28M
NOI $76,704 @ 7.0% cap · market cap 9.65%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
4
Office units
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
674
Businesses Nearby
Explore this area
Business Placement
Demographics for 28376, NC
43,160
Population
16,834
Households
2.6
Avg Household Size
33
Median Age
23%
College-Educated
90%
High-School Grad
278.7 sq mi
ZIP Area
155
Density / Sq Mi
$61,793
Median Household Income
$40,858
Median Earnings
$1,091
Median Rent
$208,100
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Downtown commercial property offers multiple suites for office or retail occupancy.
Where is this office building located?
The property is located at 402-406b Harris Avenue Raeford, NC.
What is the asking price?
The asking price for this property is $795,000.
What are key features of this property?
This property features: Approximately 5,000 SF all‑brick commercial building; Four separately configured units; Two units currently occupied
