Insulated Warehouse
New
For Sale
$600,000
407 Lakewood Road, Arlington, WA 98223
Fully insulated shop space includes high ceilings, concrete floors, and a large roll-up door.
Property Size3,360 SF
Lot Size2.00 Acres
Price / SF$178.57
Days on Market3
Property Features for 407 Lakewood Road
General Information
Standard status
Active
Size
3,360 SF
Lot size
2.00 Acres
Property subtype
Vacant Land / Lots
Additional Details
Road Access
Yes
Three-Phase Power
Yes
Building Details
Buildings
1
Building Size
3,360 SF
Listing Agency:
RE/MAX Elite
(360) 863-3940
Listed By:
Lynette Gamm · License #NWM95449
Source:
Jacobneumanrealestate
Added: Aug 28
Changed: Aug 29
Last Checked: Aug 28 at 7:02AM
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 RE/MAX Elite
Investment Insights
Based on property information with market context.
This warehouse property centers on a fully insulated 40' x 84' shop measuring approximately 3,360 square feet. The building features high ceilings, exposed trusses, concrete floors, a large roll-up door, and a wood-burning stove. Compressed-air plumbing and a 50-amp RV electrical connection add functional infrastructure for equipment, vehicles, storage, and projects. A partially completed 24' x 40' section spans two levels and includes multiple rooms that remain available for customization.
The 2-acre property at 407 Lakewood Road in Arlington includes an 87,120-square-foot lot with approximately 320 feet of Lakewood Road frontage. Open areas, established trees, plum and mature pear trees, partial mountain views, and a bus stop at the property corner are also present. Shopping, dining, services, and everyday conveniences are nearby.
The 2-acre property at 407 Lakewood Road in Arlington includes an 87,120-square-foot lot with approximately 320 feet of Lakewood Road frontage. Open areas, established trees, plum and mature pear trees, partial mountain views, and a bus stop at the property corner are also present. Shopping, dining, services, and everyday conveniences are nearby.
Key Highlights
- 40' x 84' fully insulated shop with approximately 3,360 sq ft
- 87,120 sq ft lot across 2 acres
- Approximately 320' of Lakewood Rd frontage
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
$42,482
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
7.08%
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%
$849,640
$849.6K
Cap Rate 7%
$606,886
$606.9K
Cap Rate 9%
$472,022
$472.0K
Market Conditions
NOI Build-Up for 3,360 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
$53.6K $15.96/SF
− Vacancy
−$3.6K −$1.09/SF
EGI
$50.0K $14.87/SF
− OpEx
−$7.5K −$2.23/SF
NOI
$42.5K $12.64/SF
Area
Snohomish County, WA
Vacancy
6.80%
Lease Rate
$15.96 /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%
$849,640
Cap Rate 7%
$606,886
Cap Rate 9%
$472,022
Alternative Uses
Best Use
Warehouse
$606.9K
$531.0K – $708.0K
NOI $42,482 @ 7.0% cap · market cap 7.08%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$937.0K
$819.9K – $1.09M
NOI $65,593 @ 7.0% cap · market cap 10.93%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
23
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 98223, WA
45,139
Population
18,224
Households
2.5
Avg Household Size
40
Median Age
21%
College-Educated
93%
High-School Grad
316.2 sq mi
ZIP Area
143
Density / Sq Mi
$96,478
Median Household Income
$52,487
Median Earnings
$1,780
Median Rent
$556,900
Median Home Value
Market
Vacancy Rate% for Industrial 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?
Warehouse - Fully insulated shop space includes high ceilings, concrete floors, and a large roll-up door.
Where is this warehouse located?
The property is located at 407 Lakewood Road Arlington, WA.
What is the asking price?
The asking price for this property is $600,000.
What are key features of this property?
This property features: 40' x 84' fully insulated shop with approximately 3,360 sq ft; 87,120 sq ft lot across 2 acres; Approximately 320' of Lakewood Rd frontage
