Versatile Commercial Space For
For Sale
$425,000
408 Center Road, Kokomo, IN 46902
Prime commercial property with high visibility and ample parking.
Property Size4,000 SF
Price / SF$106.25
Days on Market741
Property Features for 408 Center Road
General Information
Standard status
Active
Size
4,000 SF
Property subtype
Other
Taxes and HOA fees
Annual Taxes
$9,742
Amenities
Central Air
3
144.83x16.54
Building Details
Year Built
1981
Listing Agency:
Paul Wyman -
(765) 854-1234
Listed By:
Paul Wyman · License #RB14023441
(765) 419-1021
Source:
Xome
Added: Aug 18, 2024
Changed: Aug 27
Last Checked: Aug 26 at 5:36AM
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 Paul Wyman -
Investment Insights
Based on property information with market context.
This commercial property offers over 4,000 square feet of versatile space, situated at the intersection of Center Road and 931. The location provides excellent visibility and accessibility, complemented by ample parking to accommodate high traffic. The interior features a spacious dining area suitable for patrons, along with a well-equipped prep area and a walk-in refrigerator. A newer metal roof provides durability and requires minimal maintenance. This property offers potential for various business uses.
Key Highlights
- Prime commercial property at the intersection of Center Road and 931
- Over 4,000 square feet of versatile space
- Excellent visibility and accessibility
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
$16,952
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
3.99%
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%
$339,040
$339.0K
Cap Rate 7%
$242,171
$242.2K
Cap Rate 9%
$188,356
$188.4K
Market Conditions
NOI Build-Up for 4,000 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
$23.5K $5.88/SF
− Vacancy
−$917 −$0.23/SF
EGI
$22.6K $5.65/SF
− OpEx
−$5.7K −$1.41/SF
NOI
$17.0K $4.24/SF
Area
Howard County, IN
Vacancy
3.90%
Lease Rate
$5.88 /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%
$339,040
Cap Rate 7%
$242,171
Cap Rate 9%
$188,356
Alternative Uses
Best Use
Retail
$610.3K
$534.0K – $712.0K
NOI $42,722 @ 7.0% cap · market cap 10.05%
Second Best
Specialty Retail
$242.2K
$211.9K – $282.5K
NOI $16,952 @ 7.0% cap · market cap 3.99%
Theoretical Best
Warehouse
$3.15M
$2.76M – $3.68M
NOI $220,500 @ 7.0% cap · market cap 51.88%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
257
Businesses Nearby
156k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 77%
Shops & Services 18%
Hotels & Casinos 4%
Home Improvements & Furnishings 1%
Texas Roadhouse
Dining
29,511 visits/mo
0.3 miles
Cracker Barrel Old Country Store
Dining
25,183 visits/mo
0.2 miles
Culver's
Dining
18,866 visits/mo
0.2 miles
Olive Garden
Dining
18,767 visits/mo
0.4 miles
Speedway
Shops & Services
12,845 visits/mo
0.1 miles
Demographics for 46902, IN
36,038
Population
18,004
Households
2
Avg Household Size
42
Median Age
20%
College-Educated
92%
High-School Grad
50.7 sq mi
ZIP Area
711
Density / Sq Mi
$59,548
Median Household Income
$36,902
Median Earnings
$929
Median Rent
$154,400
Median Home Value
Market
Vacancy Rate% for Retail in Midwest 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?
Retail space - Prime commercial property with high visibility and ample parking.
Where is this retail space located?
The property is located at 408 Center Road Kokomo, IN.
What is the asking price?
The asking price for this property is $425,000.
What are key features of this property?
This property features: Prime commercial property at the intersection of Center Road and 931; Over 4,000 square feet of versatile space; Excellent visibility and accessibility
