1031 Exchange Property with H&R
For Sale
$254,900
407 Pinola Dr Se, Magee, MS 39111
Fully leased commercial building with an established tenancy through April 30, 2028.
Property Size1,845 SF
Price / SF$138.16
Days on Market8
Property Features for 407 Pinola Dr Se
General Information
Standard status
Active
Size
1,845 SF
Occupancy
100%
Additional Details
Office Units
1
Taxes and HOA fees
Annual Taxes
$1,771
Building Details
Buildings
1
Building Size
1,845 SF
Tenancy
Single
Owner Occupied
No
Abandoned
No
Listing Agency:
E Speed Realty
(601) 273-2180
Listed By:
Kimberly D Walker · License #S49526
(601) 273-2180
Source:
Exprealty
Added: Jul 31
Changed: Aug 7
Last Checked: Aug 7 at 2:36AM
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 E Speed Realty
Investment Insights
Based on property information with market context.
This 1,845+/- square foot commercial building is fully leased to H&R Block, providing an established occupant and an existing lease term through April 30, 2028. The property features a well-maintained exterior and paved on-site parking, supporting straightforward day-to-day ownership and tenant access.
Located at 407 Pinola Dr SE in Magee, the building sits along a busy commercial corridor with strong visibility and convenient accessibility. Its combination of an established national tenant, compact commercial footprint, and existing parking makes the property suitable for an investor or 1031 exchange buyer seeking an occupied commercial asset.
Located at 407 Pinola Dr SE in Magee, the building sits along a busy commercial corridor with strong visibility and convenient accessibility. Its combination of an established national tenant, compact commercial footprint, and existing parking makes the property suitable for an investor or 1031 exchange buyer seeking an occupied commercial asset.
Key Highlights
- Fully leased to H&R Block
- 1,845+/- square foot commercial building
- Existing lease runs through April 30, 2028
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
$18,288
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
7.17%
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%
$365,760
$365.8K
Cap Rate 7%
$261,257
$261.3K
Cap Rate 9%
$203,200
$203.2K
Market Conditions
NOI Build-Up for 1,845 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
$27.7K $15.00/SF
− Vacancy
−$1.5K −$0.84/SF
EGI
$26.1K $14.16/SF
− OpEx
−$7.8K −$4.25/SF
NOI
$18.3K $9.91/SF
Area
Simpson County, MS
Vacancy
5.60%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
30.00%
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%
$365,760
Cap Rate 7%
$261,257
Cap Rate 9%
$203,200
Alternative Uses
Best Use
Retail
$261.3K
$228.6K – $304.8K
NOI $18,288 @ 7.0% cap · market cap 7.17%
Second Best
Office B
$246.3K
$215.5K – $287.4K
NOI $17,243 @ 7.0% cap · market cap 6.76%
Theoretical Best
Office A
$316.2K
$276.6K – $368.9K
NOI $22,131 @ 7.0% cap · market cap 8.68%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
1
Office units
100%
Occupancy
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
2
Businesses Nearby
Explore this area
Business Placement
Demographics for 39111, MS
9,517
Population
4,049
Households
2.4
Avg Household Size
39
Median Age
15%
College-Educated
79%
High-School Grad
141.5 sq mi
ZIP Area
67
Density / Sq Mi
$46,399
Median Household Income
$30,586
Median Earnings
$794
Median Rent
$119,200
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?
1031 exchange property - Fully leased commercial building with an established tenancy through April 30, 2028.
Where is this 1031 exchange property located?
The property is located at 407 Pinola Dr Se Magee, MS.
What is the asking price?
The asking price for this property is $254,900.
What are key features of this property?
This property features: Fully leased to H&R Block; 1,845+/- square foot commercial building; Existing lease runs through April 30, 2028
