Freestanding Office Building with
For Sale
Contact for pricing
506 E Camelback Road, Phoenix, AZ 85012
Freestanding office building with direct Camelback Rd frontage and on-site parking.
Property Size2,057 SF
Price / SF$483.71
Days on Market212
Property Features for 506 E Camelback Road
General Information
Standard status
Active
Size
2,057 SF
Property subtype
OFFICE
Zoning
C-2
Site & Location
Road Access
Yes
Utilities to Site
Yes
Amenities
Reception Area
Break Room
2 Restrooms
Conference Room
Building Details
Buildings
1
Construction
Mid Century
Listing Agency:
SVN | Desert Commercial Advisors
(480) 425-5500
Listed By:
Jonathan Levy · License ##SA648012000
(623) 556-6420
Source:
Moodyscre
Added: Feb 16
Changed: Sep 15
Last Checked: Sep 15 at 11:25AM
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 SVN | Desert Commercial Advisors
Investment Insights
Based on property information with market context.
Freestanding mid-century office building offering a practical layout for day-to-day operations. The space includes five private offices, a reception area, a break room, a conference room, and two restrooms. Natural gas is available to the property, supporting a wide range of office and light operational needs.
The property has direct frontage along Camelback Rd with approximately 160,000 VPD. It is positioned on-site with ample parking and is described as highly walkable, surrounded by Uptown Plaza and other Camelback Rd amenities.
Zoned C-2, the property offers flexibility beyond traditional office use while still serving well as an office headquarters for an owner or tenant seeking dedicated on-site space and straightforward access.
The property has direct frontage along Camelback Rd with approximately 160,000 VPD. It is positioned on-site with ample parking and is described as highly walkable, surrounded by Uptown Plaza and other Camelback Rd amenities.
Zoned C-2, the property offers flexibility beyond traditional office use while still serving well as an office headquarters for an owner or tenant seeking dedicated on-site space and straightforward access.
Key Highlights
- 5 private offices, reception, break room, conference room, and 2 restrooms
- Natural gas available to the property
- Direct frontage along Camelback Rd with approx 160,000 VPD
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
$35,213
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
3.54%
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%
$704,260
$704.3K
Cap Rate 7%
$503,043
$503.0K
Cap Rate 9%
$391,256
$391.3K
Market Conditions
NOI Build-Up for 2,057 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
$63.2K $30.72/SF
− Vacancy
−$16.2K −$7.90/SF
EGI
$47.0K $22.82/SF
− OpEx
−$11.7K −$5.71/SF
NOI
$35.2K $17.12/SF
Area
Phoenix, AZ
Vacancy
25.70%
Lease Rate
$30.72 /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%
$704,260
Cap Rate 7%
$503,043
Cap Rate 9%
$391,256
Alternative Uses
Best Use
Office B
$503.0K
$440.2K – $586.9K
NOI $35,213 @ 7.0% cap · market cap 3.54%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$623.1K
$545.2K – $726.9K
NOI $43,616 @ 7.0% cap · market cap 4.38%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
2,425
Businesses Nearby
Explore this area
Business Placement
Demographics for 85012, AZ
8,201
Population
5,269
Households
1.6
Avg Household Size
39
Median Age
60%
College-Educated
95%
High-School Grad
2.3 sq mi
ZIP Area
3,566
Density / Sq Mi
$80,242
Median Household Income
$57,228
Median Earnings
$1,693
Median Rent
$701,200
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Phoenix, AZ
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Freestanding office building with direct Camelback Rd frontage and on-site parking.
Where is this office building located?
The property is located at 506 E Camelback Road Phoenix, AZ.
What is the asking price?
The asking price for this property is $995,000.
What are key features of this property?
This property features: 5 private offices, reception, break room, conference room, and 2 restrooms; Natural gas available to the property; Direct frontage along Camelback Rd with approx 160,000 VPD
