Renovated Panama City Commercial
For Sale
$620,000
5311 E Highway 22, Panama City, FL 32404
Modernized 4,004 SF building near Tyndall Air Force Base.
Property Size4,004 SF
Lot Size0.71 Acres
Price / SF$154.85
Days on Market235
Property Features for 5311 E Highway 22
General Information
Standard status
Active
Size
4,004 SF
Lot size
0.71 Acres
Property subtype
Commercial
Amenities
Shingle Roof
Building Details
Year Built
1991
Listing Agency:
NAI TALCOR
(850) 249-2879
Listed By:
TAMMY R HUSTON · License #SL3513905
Source:
Corcoran
Added: Dec 16, 2025
Changed: Aug 8
Last Checked: Aug 8 at 6:05AM
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 NAI TALCOR
Investment Insights
Based on property information with market context.
This commercial property features a recently renovated 4,004-square-foot building, redesigned in 2023. Located along high-visibility Highway 22 and minutes from Tyndall Air Force Base and central Panama City, it offers modern upgrades, a flexible design, and a strategic location. The adaptable floor plan includes multiple oversized rooms suitable for medical or therapy services, collaborative training environments, or open workspaces. Seven versatile rooms can be configured as private offices, exam rooms, or meeting spaces, complemented by dedicated reception and administrative areas. The property also includes five restrooms, a kitchen/break area, and additional support spaces. A secure fenced yard provides storage or equipment space, while ample off-street parking ensures access for employees, clients, and visitors. This modernized building offers flexibility and long-term value for medical, physical therapy, professional office, or training facility use.
Key Highlights
- Strategic location on high‑visibility Highway 22, minutes from Tyndall Air Force Base and central Panama City.
- Recently renovated (2023) 4,004 sq ft building, modernized to meet current standards.
- Highly adaptable floor plan with multiple oversized rooms suitable for various professional uses (medical, therapy, office, training).
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
$54,184
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
8.74%
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%
$1,083,680
$1.1M
Cap Rate 7%
$774,057
$774.1K
Cap Rate 9%
$602,044
$602.0K
Market Conditions
NOI Build-Up for 4,004 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
$100.9K $25.20/SF
− Vacancy
−$10.6K −$2.65/SF
EGI
$90.3K $22.55/SF
− OpEx
−$36.1K −$9.02/SF
NOI
$54.2K $13.53/SF
Area
Walton County, FL
Vacancy
10.50%
Lease Rate
$25.20 /SF/Yr
Expense Ratio
40.00%
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%
$1,083,680
Cap Rate 7%
$774,057
Cap Rate 9%
$602,044
Alternative Uses
Best Use
Healthcare Medical
$774.1K
$677.3K – $903.1K
NOI $54,184 @ 7.0% cap · market cap 8.74%
Second Best
Office B
$720.7K
$630.6K – $840.8K
NOI $50,450 @ 7.0% cap · market cap 8.14%
Theoretical Best
Office A
$1.01M
$881.1K – $1.17M
NOI $70,486 @ 7.0% cap · market cap 11.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
383
Businesses Nearby
Explore this area
Business Placement
Demographics for 32404, FL
38,186
Population
18,053
Households
2.1
Avg Household Size
40
Median Age
21%
College-Educated
87%
High-School Grad
135.1 sq mi
ZIP Area
283
Density / Sq Mi
$72,208
Median Household Income
$38,701
Median Earnings
$1,355
Median Rent
$239,700
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - Modernized 4,004 SF building near Tyndall Air Force Base.
Where is this office building located?
The property is located at 5311 E Highway 22 Panama City, FL.
What is the asking price?
The asking price for this property is $620,000.
What are key features of this property?
This property features: Strategic location on high‑visibility Highway 22, minutes from Tyndall Air Force Base and central Panama City.; Recently renovated (2023) 4,004 sq ft building, modernized to meet current standards.; Highly adaptable floor plan with multiple oversized rooms suitable for various professional uses (medical, therapy, office, training).
