Office Building with Second-Floor
For Sale
$750,000
502 S Croatan Hwy, Kill Devil Hills, NC 27948
Two-level office and workshop layout on a centrally located commercial lot with double curb cuts and a front deck.
Property Size3,000 SF
Lot Size0.40 Acres
Price / SF$250
Days on Market254
Property Features for 502 S Croatan Hwy
General Information
Standard status
Active
Size
3,000 SF
Lot size
0.40 Acres
Taxes and HOA fees
Annual Taxes
$4,272
Building Details
Stories
2
Listing Agency:
Harrell & Associates
(252) 441-7887
Listed By:
Kate Harrell · License #281194
Source:
Exprealty
Added: Dec 1, 2025
Changed: Aug 7
Last Checked: Aug 11 at 11:54AM
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 Harrell & Associates
Investment Insights
Based on property information with market context.
This property includes a 3,000 SF office building on a 17,500 SF lot, with a storage shed on site. The ground level offers an open-style floor plan with a combination of hardwood and tile flooring, a restroom, a storage closet, and a large front deck for direct outdoor access. An interior staircase leads to the second floor, which is currently configured as a workshop and includes a kitchenette and vaulted ceilings.
The site is served by double curb cuts, supporting practical vehicle access and flexibility for deliveries, parking, or future layout adjustments. While the property is currently utilizing a private septic system, the option of connecting to sewer can be explored, potentially expanding the workable scope of the site.
With its combination of an open ground-level office area and a dedicated second-floor workshop space, this building can fit businesses that need both client-facing or work areas and a separate production or project space. The existing restroom, kitchenette, and storage components support day-to-day operations, while the deck and storage shed add functional outdoor and ancillary space.
The site is served by double curb cuts, supporting practical vehicle access and flexibility for deliveries, parking, or future layout adjustments. While the property is currently utilizing a private septic system, the option of connecting to sewer can be explored, potentially expanding the workable scope of the site.
With its combination of an open ground-level office area and a dedicated second-floor workshop space, this building can fit businesses that need both client-facing or work areas and a separate production or project space. The existing restroom, kitchenette, and storage components support day-to-day operations, while the deck and storage shed add functional outdoor and ancillary space.
Key Highlights
- 17,500 SF commercial lot in centrally located Kill Devil Hills with double curb cuts
- 3,000 SF two‑level building plus a storage shed
- Ground level includes open‑style floor plan, restroom, storage closet, and large front deck
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
$36,720
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
4.90%
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%
$734,400
$734.4K
Cap Rate 7%
$524,571
$524.6K
Cap Rate 9%
$408,000
$408.0K
Market Conditions
NOI Build-Up for 3,000 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
$57.6K $19.20/SF
− Vacancy
−$8.6K −$2.88/SF
EGI
$49.0K $16.32/SF
− OpEx
−$12.2K −$4.08/SF
NOI
$36.7K $12.24/SF
Area
Dare County, NC
Vacancy
15.00%
Lease Rate
$19.20 /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%
$734,400
Cap Rate 7%
$524,571
Cap Rate 9%
$408,000
Alternative Uses
Best Use
Office B
$524.6K
$459.0K – $612.0K
NOI $36,720 @ 7.0% cap · market cap 4.90%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$724.1K
$633.6K – $844.8K
NOI $50,688 @ 7.0% cap · market cap 6.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
380
Businesses Nearby
Explore this area
Business Placement
Demographics for 27948, NC
12,095
Population
10,143
Households
1.2
Avg Household Size
46
Median Age
43%
College-Educated
96%
High-School Grad
9.3 sq mi
ZIP Area
1,301
Density / Sq Mi
$85,319
Median Household Income
$41,433
Median Earnings
$1,539
Median Rent
$398,100
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?
Creative space - Two-level office and workshop layout on a centrally located commercial lot with double curb cuts and a front deck.
Where is this creative space located?
The property is located at 502 S Croatan Hwy Kill Devil Hills, NC.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: 17,500 SF commercial lot in centrally located Kill Devil Hills with double curb cuts; 3,000 SF two‑level building plus a storage shed; Ground level includes open‑style floor plan, restroom, storage closet, and large front deck
