Medical Center Portfolio with NNN
For Sale
$31,533,925
427 S Bernard St 9651 North Nevada St 31 E Central Avenue 208 West 5th Avenue, Spokane, WA 99204
Four Spokane-area facilities support an established ophthalmology practice with limited landlord obligations.
Property Size72,000 SF
Price / SF$437.97
Days on Market59
Property Features for 427 S Bernard St 9651 North Nevada St 31 E Central Avenue 208 West 5th Avenue
General Information
Standard status
Active
Size
72,000 SF
Property subtype
Commercial
Lease Term
±6.7 YRS
Net Operating Income
$2,097,006
Building Details
Units
4
Listing Agency:
Bang Realty
(630) 854-9717
Listed By:
Tyler Swade · License #02238285 (CA)
(630) 854-9717
Source:
Matthews
Added: Jul 3
Changed: Aug 30
Last Checked: Aug 30 at 2:18AM
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 Bang Realty
Investment Insights
Based on property information with market context.
This offering comprises four medical properties totaling approximately 72,000 square feet across the Spokane metropolitan area. The portfolio is occupied by Spokane Eye Clinic, an ophthalmology practice with 28 physicians, more than 350 staff members, four clinic locations, and an ambulatory surgery center with five operating rooms.
The properties are leased on NNN structures, with landlord responsibilities limited to roof and structural capital expenditures. Each lease includes annual escalations of 2.5%. The portfolio addresses are 427 S Bernard St, 9651 North Nevada St, 31 E. Central Avenue, and 208 West 5th Avenue in Spokane, WA 99204.
The properties are leased on NNN structures, with landlord responsibilities limited to roof and structural capital expenditures. Each lease includes annual escalations of 2.5%. The portfolio addresses are 427 S Bernard St, 9651 North Nevada St, 31 E. Central Avenue, and 208 West 5th Avenue in Spokane, WA 99204.
Key Highlights
- Four‑property medical portfolio totaling approximately 72,000 square feet
- Occupied by Spokane Eye Clinic, a 28‑physician ophthalmology practice
- Five‑operating‑room ambulatory surgery center included across the portfolio
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
$1,030,968
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
3.27%
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%
$20,619,360
$20.6M
Cap Rate 7%
$14,728,114
$14.7M
Cap Rate 9%
$11,455,200
$11.5M
Market Conditions
NOI Build-Up for 72,000 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
$1.60M $22.20/SF
− Vacancy
−$223.8K −$3.11/SF
EGI
$1.37M $19.09/SF
− OpEx
−$343.7K −$4.77/SF
NOI
$1.03M $14.32/SF
Area
Spokane, WA
Vacancy
14.00%
Lease Rate
$22.20 /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%
$20,619,360
Cap Rate 7%
$14,728,114
Cap Rate 9%
$11,455,200
Alternative Uses
Best Use
Office B
$14.73M
$12.89M – $17.18M
NOI $1,030,968 @ 7.0% cap · market cap 3.27%
Second Best
Healthcare Medical
$13.29M
$11.63M – $15.50M
NOI $930,010 @ 7.0% cap · market cap 2.95%
Theoretical Best
Office A
$18.58M
$16.25M – $21.67M
NOI $1,300,320 @ 7.0% cap · market cap 4.12%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
6,906
Businesses Nearby
Explore this area
Business Placement
Demographics for 99204, WA
7,000
Population
4,357
Households
1.6
Avg Household Size
34
Median Age
37%
College-Educated
93%
High-School Grad
1.0 sq mi
ZIP Area
7,000
Density / Sq Mi
$50,266
Median Household Income
$39,036
Median Earnings
$1,103
Median Rent
$355,700
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Medical center - Four Spokane-area facilities support an established ophthalmology practice with limited landlord obligations.
Where is this medical center located?
The property is located at 427 S Bernard St 9651 North Nevada St 31 E Central Avenue 208 West 5th Avenue Spokane, WA.
What is the asking price?
The asking price for this property is $31,533,925.
What are key features of this property?
This property features: Four‑property medical portfolio totaling approximately 72,000 square feet; Occupied by Spokane Eye Clinic, a 28‑physician ophthalmology practice; Five‑operating‑room ambulatory surgery center included across the portfolio
