Flex Space with Shop
For Sale
$1,340,000
Pending
505 E Z Street, Prescott, AZ 86301
Two-building industrial property with IL zoning, versatile layouts, and infrastructure suited to commercial service operations.
Property Size8,400 SF
Days on Market265
Property Features for 505 E Z Street
General Information
Standard status
Pending
Size
8,400 SF
Property subtype
Commercial/Industrial
Taxes and HOA fees
Annual Taxes
$5,801
Building Details
Year Built
1985
Listing Agency:
eXp Realty
(928) 237-4425
Listed By:
Geoffrey R Hyland · License #SA561564000
(928) 237-4425
Source:
Exitrealty
Added: Dec 8, 2025
Changed: Aug 30
Last Checked: Aug 30 at 1:51PM
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 eXp Realty
Investment Insights
Based on property information with market context.
This flex property comprises two buildings totaling approximately 8,400 square feet on 0.64 acres. The primary 6,400-square-foot metal building offers an open shop and warehouse configuration with three 14-foot overhead doors, 3-phase power, three subpanels, fire sprinklers, and two restrooms with showers. A separate 2,000-square-foot rear building adds a split layout, two overhead doors, a restroom, office space, and storage mezzanines.
The property is located at 505 E Z Street in Prescott’s established 6th Street/EZ Street industrial district and is designated as an Opportunity Zone. An asphalt-paved lot provides 18 parking spaces, including handicap parking. IL zoning supports a range of commercial and industrial uses, while the building configuration accommodates warehouse, contractor, service, and light industrial operations.
The property is located at 505 E Z Street in Prescott’s established 6th Street/EZ Street industrial district and is designated as an Opportunity Zone. An asphalt-paved lot provides 18 parking spaces, including handicap parking. IL zoning supports a range of commercial and industrial uses, while the building configuration accommodates warehouse, contractor, service, and light industrial operations.
Key Highlights
- Two buildings totaling approximately 8,400 SF on 0.64 acres
- 6,400 SF metal shop/warehouse with three 14‑foot overhead doors
- 3‑phase power with 3 subpanels for future improvements or multiple units
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
$73,209
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
5.46%
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%
$1,464,180
$1.5M
Cap Rate 7%
$1,045,843
$1.0M
Cap Rate 9%
$813,433
$813.4K
Market Conditions
NOI Build-Up for 8,400 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
$117.9K $14.04/SF
− Vacancy
−$5.3K −$0.63/SF
EGI
$112.6K $13.41/SF
− OpEx
−$39.4K −$4.69/SF
NOI
$73.2K $8.72/SF
Area
Yavapai County, AZ
Vacancy
4.50%
Lease Rate
$14.04 /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%
$1,464,180
Cap Rate 7%
$1,045,843
Cap Rate 9%
$813,433
Alternative Uses
Best Use
Warehouse
$2.81M
$2.46M – $3.28M
NOI $196,978 @ 7.0% cap · market cap 14.70%
Second Best
Industrial
$2.32M
$2.03M – $2.70M
NOI $162,217 @ 7.0% cap · market cap 12.11%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,972
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 86301, AZ
25,115
Population
13,863
Households
1.8
Avg Household Size
57
Median Age
37%
College-Educated
96%
High-School Grad
33.4 sq mi
ZIP Area
752
Density / Sq Mi
$71,962
Median Household Income
$33,989
Median Earnings
$1,580
Median Rent
$495,100
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Flex space - Two-building industrial property with IL zoning, versatile layouts, and infrastructure suited to commercial service operations.
Where is this flex space located?
The property is located at 505 E Z Street Prescott, AZ.
What is the asking price?
The asking price for this property is $1,340,000.
What are key features of this property?
This property features: Two buildings totaling approximately 8,400 SF on 0.64 acres; 6,400 SF metal shop/warehouse with three 14‑foot overhead doors; 3‑phase power with 3 subpanels for future improvements or multiple units
