Redmond Light Industrial Flex
For Sale
$526,500
Pending
498 Sw Veterans Way, Redmond, OR 97756
2,700 SF light industrial building near Redmond Airport.
Property Size2,700 SF
Lot Size0.88 Acres
Days on Market301
Property Features for 498 Sw Veterans Way
General Information
Standard status
Pending
Size
2,700 SF
Lot size
0.88 Acres
Listing Agency:
Compass Commercial Real Estate
(541) 480-9873
Listed By:
Grant W Schultz · License #201217020
(541) 480-9873
Source:
Exprealty
Added: Oct 30, 2025
Changed: Aug 20
Last Checked: Aug 25 at 10:31AM
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 Compass Commercial Real Estate
Investment Insights
Based on property information with market context.
This 2,700 SF light industrial building is positioned near the Redmond Airport within the Redmond Enterprise Zone. It offers a mix of office, warehouse, and covered storage areas, presenting an owner/user opportunity. The structure includes two roll-up doors for access, suitable for shipping, receiving, or light manufacturing. Situated on a 0.88-acre lot, the property provides ample yard space for outdoor storage or future expansion. The Light Industrial (M1) zoning accommodates a range of business uses. The property has connectivity to Highway 97 and access to Central Oregon's industrial and commercial hubs. It is suitable for small manufacturers, service contractors, or local distribution users seeking a flexible and accessible industrial facility in a Redmond submarket.
Key Highlights
- Strategic location within the Redmond Enterprise Zone near the airport.
- Versatile 2,700 SF building with a mix of office, warehouse, and covered storage.
- Large 0.88‑acre lot with ample yard space for outdoor storage or expansion.
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
$30,361
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
5.77%
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%
$607,220
$607.2K
Cap Rate 7%
$433,729
$433.7K
Cap Rate 9%
$337,344
$337.3K
Market Conditions
NOI Build-Up for 2,700 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
$48.6K $18.00/SF
− Vacancy
−$1.9K −$0.70/SF
EGI
$46.7K $17.30/SF
− OpEx
−$16.3K −$6.05/SF
NOI
$30.4K $11.24/SF
Area
Deschutes County, OR
Vacancy
3.89%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
35.00%
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%
$607,220
Cap Rate 7%
$433,729
Cap Rate 9%
$337,344
Alternative Uses
Best Use
Flex RnD
$433.7K
$379.5K – $506.0K
NOI $30,361 @ 7.0% cap · market cap 5.77%
Second Best
Industrial
$356.2K
$311.7K – $415.6K
NOI $24,934 @ 7.0% cap · market cap 4.74%
Theoretical Best
Retail
$929.2K
$813.1K – $1.08M
NOI $65,046 @ 7.0% cap · market cap 12.35%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
109
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 97756, OR
42,168
Population
18,335
Households
2.3
Avg Household Size
40
Median Age
32%
College-Educated
92%
High-School Grad
126.3 sq mi
ZIP Area
334
Density / Sq Mi
$84,067
Median Household Income
$41,909
Median Earnings
$1,473
Median Rent
$469,000
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - 2,700 SF light industrial building near Redmond Airport.
Where is this flex space located?
The property is located at 498 Sw Veterans Way Redmond, OR.
What is the asking price?
The asking price for this property is $526,500.
What are key features of this property?
This property features: Strategic location within the Redmond Enterprise Zone near the airport.; Versatile 2,700 SF building with a mix of office, warehouse, and covered storage.; Large 0.88‑acre lot with ample yard space for outdoor storage or expansion.
