Three-Suite Office
For Sale
$950,000
504 N Villa Rd, Newberg, OR 97132
Flexible professional property with existing plumbing, on-site parking, and a layout adaptable to office or specialty use.
Property Size3,883 SF
Price / SF$244.66
Days on Market200
Property Features for 504 N Villa Rd
General Information
Standard status
Active
Size
3,883 SF
Total Parking Spaces
20
Additional Details
Road Access
Yes
Office Units
3
Taxes and HOA fees
Annual Taxes
$11,467
Building Details
Buildings
1
Building Size
3,883 SF
Listing Agency:
Miller Consulting Group, LLC
(503) 740-9200
Listed By:
Mary Martin Miller · License #200107121
(503) 740-9200
Source:
Exprealty
Added: Jan 21
Changed: Aug 8
Last Checked: Aug 9 at 11:59AM
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 Miller Consulting Group, LLC
Investment Insights
Based on property information with market context.
This approximately 3,883-square-foot professional building is arranged as three suites and is currently configured for daycare use. The property previously accommodated three dental offices, providing a history of professional and specialty occupancy. A 3-foot concrete crawl space provides access to plumbing that remains in place throughout the building, while a composition roof was replaced in fall 2025.
The property occupies almost a half acre on Villa Road near 99W Portland Road in Newberg. Twenty on-site parking spaces support the existing multi-suite configuration and provide practical access for occupants and visitors. The combination of separate suites, parking, and established building infrastructure supports continued professional, specialty, or daycare-oriented use, subject to applicable requirements.
The property occupies almost a half acre on Villa Road near 99W Portland Road in Newberg. Twenty on-site parking spaces support the existing multi-suite configuration and provide practical access for occupants and visitors. The combination of separate suites, parking, and established building infrastructure supports continued professional, specialty, or daycare-oriented use, subject to applicable requirements.
Key Highlights
- Approximately 3,883 square feet configured as three suites
- Currently set up as a daycare; formerly operated as three dental offices
- Almost a half acre on Villa Road near 99W Portland Road
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
$50,264
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
5.29%
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%
$1,005,280
$1.0M
Cap Rate 7%
$718,057
$718.1K
Cap Rate 9%
$558,489
$558.5K
Market Conditions
NOI Build-Up for 3,883 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
$88.5K $22.80/SF
− Vacancy
−$21.5K −$5.54/SF
EGI
$67.0K $17.26/SF
− OpEx
−$16.8K −$4.31/SF
NOI
$50.3K $12.94/SF
Area
Yamhill County, OR
Vacancy
24.30%
Lease Rate
$22.80 /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%
$1,005,280
Cap Rate 7%
$718,057
Cap Rate 9%
$558,489
Alternative Uses
Best Use
Office B
$718.1K
$628.3K – $837.7K
NOI $50,264 @ 7.0% cap · market cap 5.29%
Second Best
Healthcare Medical
$415.6K
$363.7K – $484.9K
NOI $29,093 @ 7.0% cap · market cap 3.06%
Theoretical Best
Office A
$1.05M
$917.1K – $1.22M
NOI $73,368 @ 7.0% cap · market cap 7.72%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
3
Office units
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
1,041
Businesses Nearby
Explore this area
Business Placement
Demographics for 97132, OR
32,028
Population
12,411
Households
2.6
Avg Household Size
38
Median Age
39%
College-Educated
93%
High-School Grad
62.6 sq mi
ZIP Area
512
Density / Sq Mi
$95,150
Median Household Income
$46,005
Median Earnings
$1,567
Median Rent
$498,500
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?
Office units - Flexible professional property with existing plumbing, on-site parking, and a layout adaptable to office or specialty use.
Where is this office units located?
The property is located at 504 N Villa Rd Newberg, OR.
What is the asking price?
The asking price for this property is $950,000.
What are key features of this property?
This property features: Approximately 3,883 square feet configured as three suites; Currently set up as a daycare; formerly operated as three dental offices; Almost a half acre on Villa Road near 99W Portland Road
