Renovated Mixed-Use Gallery
For Sale
$585,000
422 S HIGHLAND AVENUE S, Baltimore, MD 21224
Flexible commercial and residential configuration with dedicated utilities, upgraded building systems, and professionally finished gallery space.
Property Size3,596 SF
Days on Market114
Property Features for 422 S HIGHLAND AVENUE S
General Information
Standard status
Active
Size
3,596 SF
Property subtype
Duplex
Additional Details
Utilities to Site
Yes
Taxes and HOA fees
Annual Taxes
$4,073
Building Details
Building Size
3,596 SF
Year Built
1920
Buildings
1
Listing Agency:
Guerilla Realty LLC
Listed By:
David Tomasko · License #649159
(443) 850-1014
Source:
Thehulsmangroup
Added: Jun 2
Changed: Sep 19
Last Checked: Sep 22 at 9:59PM
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 Guerilla Realty LLC
Investment Insights
Based on property information with market context.
This mixed-use property combines a gallery-oriented commercial level with a renovated residence above, creating more than 2,600 square feet of combined space. The first floor includes skylights, gallery and recessed lighting, a private office, security room, utility closet with stainless steel sink, half bath, and handicap-compliant bathroom. Two-hour fire-rated walls, ceilings, and doors separate the commercial and residential areas. The upper level features a designer kitchen, engineered white oak flooring, custom cabinetry, Bosch appliances, a gas range, oversized island, natural-light-filled living area, walk-in closet, and renovated spa-style bathroom.
Exterior improvements include restored brickwork, updated doors and windows, a new roof and gutters installed in 2021, security cameras, and rear alley access. Three separate BGE meters serve the commercial, residential, and egress/common areas. Mechanical work completed in 2025-2026 added a high-efficiency heat pump and gas-powered Bosch tankless water heater. The property is located in Baltimore’s Highlandtown Arts District at 422 S Highland Avenue S.
Exterior improvements include restored brickwork, updated doors and windows, a new roof and gutters installed in 2021, security cameras, and rear alley access. Three separate BGE meters serve the commercial, residential, and egress/common areas. Mechanical work completed in 2025-2026 added a high-efficiency heat pump and gas-powered Bosch tankless water heater. The property is located in Baltimore’s Highlandtown Arts District at 422 S Highland Avenue S.
Key Highlights
- More than 2,600 square feet of combined commercial and residential space
- Gallery level with skylights, dedicated gallery lighting, office, security room, and two bathrooms
- Two‑hour fire‑rated separation between commercial and residential areas completed in 2021
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
$49,039
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
8.38%
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%
$980,780
$980.8K
Cap Rate 7%
$700,557
$700.6K
Cap Rate 9%
$544,878
$544.9K
Market Conditions
NOI Build-Up for 3,596 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
$79.0K $21.96/SF
− Vacancy
−$13.6K −$3.78/SF
EGI
$65.4K $18.18/SF
− OpEx
−$16.3K −$4.55/SF
NOI
$49.0K $13.64/SF
Area
ZIP 21224
Vacancy
17.20%
Lease Rate
$21.96 /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%
$980,780
Cap Rate 7%
$700,557
Cap Rate 9%
$544,878
Alternative Uses
Best Use
Office B
$700.6K
$613.0K – $817.3K
NOI $49,039 @ 7.0% cap · market cap 8.38%
Second Best
Mixed Use
$624.2K
$546.1K – $728.2K
NOI $43,691 @ 7.0% cap · market cap 7.47%
Theoretical Best
Office A
$861.5K
$753.8K – $1.01M
NOI $60,305 @ 7.0% cap · market cap 10.31%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
2,444
Businesses Nearby
Explore this area
Business Placement
Demographics for 21224, MD
54,266
Population
23,433
Households
2.3
Avg Household Size
33
Median Age
50%
College-Educated
85%
High-School Grad
9.3 sq mi
ZIP Area
5,835
Density / Sq Mi
$86,209
Median Household Income
$63,556
Median Earnings
$1,782
Median Rent
$281,400
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Baltimore, MD
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Flexible commercial and residential configuration with dedicated utilities, upgraded building systems, and professionally finished gallery space.
Where is this mixed-use property located?
The property is located at 422 S HIGHLAND AVENUE S Baltimore, MD.
What is the asking price?
The asking price for this property is $585,000.
What are key features of this property?
This property features: More than 2,600 square feet of combined commercial and residential space; Gallery level with skylights, dedicated gallery lighting, office, security room, and two bathrooms; Two‑hour fire‑rated separation between commercial and residential areas completed in 2021
