Tenant-Occupied Office
For Sale
$985,000
536 Deerfield Dr, Forest, MS 39074
Established tenant occupancy supports continued office use with convenient employee and visitor access.
Property Size8,000 SF
Price / SF$123.13
Days on Market40
Property Features for 536 Deerfield Dr
General Information
Standard status
Active
Size
8,000 SF
Total Parking Spaces
51
Additional Details
Highway Access
Yes
Building Details
Year Built
2007
Buildings
1
Listing Agency:
Southern Homes Real Estate
(601) 540-2034
Listed By:
Madison Hill · License #S55311
Source:
Fiorellaavenue
Added: Jul 21
Changed: Aug 28
Last Checked: Aug 28 at 7:53PM
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 Southern Homes Real Estate
Investment Insights
Based on property information with market context.
Built in 2007, this 8,000-square-foot office building is arranged around an open central work area with six private offices. Additional improvements include a large conference room, an oversized computer/server room, two storage rooms, and a kitchenette. The property is currently occupied by a tenant, providing an existing rental-income component.
Located at 536 Deerfield Dr in Forest, Mississippi, the building sits just off Highway 35 for straightforward access. Fifty-one on-site parking spaces accommodate both employees and visitors, supporting the property's current office configuration.
Located at 536 Deerfield Dr in Forest, Mississippi, the building sits just off Highway 35 for straightforward access. Fifty-one on-site parking spaces accommodate both employees and visitors, supporting the property's current office configuration.
Key Highlights
- 8,000‑square‑foot office building constructed in 2007
- Six private offices surrounding an open central work area
- Large conference room, computer/server room, two storage rooms, and kitchenette
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
$74,765
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
7.59%
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%
$1,495,300
$1.5M
Cap Rate 7%
$1,068,071
$1.1M
Cap Rate 9%
$830,722
$830.7K
Market Conditions
NOI Build-Up for 8,000 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
$113.3K $14.16/SF
− Vacancy
−$13.6K −$1.70/SF
EGI
$99.7K $12.46/SF
− OpEx
−$24.9K −$3.12/SF
NOI
$74.8K $9.35/SF
Area
Scott County, MS
Vacancy
12.00%
Lease Rate
$14.16 /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%
$1,495,300
Cap Rate 7%
$1,068,071
Cap Rate 9%
$830,722
Alternative Uses
Best Use
Office B
$1.07M
$934.6K – $1.25M
NOI $74,765 @ 7.0% cap · market cap 7.59%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.37M
$1.20M – $1.60M
NOI $95,962 @ 7.0% cap · market cap 9.74%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
200
Businesses Nearby
Explore this area
Business Placement
Demographics for 39074, MS
14,552
Population
6,222
Households
2.3
Avg Household Size
36
Median Age
14%
College-Educated
75%
High-School Grad
277.4 sq mi
ZIP Area
52
Density / Sq Mi
$46,890
Median Household Income
$31,378
Median Earnings
$795
Median Rent
$114,700
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 - Established tenant occupancy supports continued office use with convenient employee and visitor access.
Where is this office building located?
The property is located at 536 Deerfield Dr Forest, MS.
What is the asking price?
The asking price for this property is $985,000.
What are key features of this property?
This property features: 8,000‑square‑foot office building constructed in 2007; Six private offices surrounding an open central work area; Large conference room, computer/server room, two storage rooms, and kitchenette
