Finished Second-Floor Office
For Sale
Contact for pricing
5420 Arapahoe Avenue, Boulder, CO 80303
BC-1 zoning supports office, retail, personal service, wellness, and fitness uses.
Property Size1,162 SF
Price / SF$365.75
Days on Market20
Property Features for 5420 Arapahoe Avenue
General Information
Standard status
Active
Size
1,162 SF
Class
B
Property subtype
Office
Zoning
BC-1
Additional Details
Floor
2nd Floor
Amenities
hardwood floors
open work area
kitchenette
restroom with shower
operable windows
Listing Agency:
Gibbons-White Inc
(303) 442-1040
Listed By:
Michael-Ryan McCarty · License #CO FA.040029628
Source:
Crexi
Added: Jul 22
Changed: Aug 4
Last Checked: Aug 9 at 11:20AM
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 Gibbons-White Inc
Investment Insights
Based on property information with market context.
This second-floor office condominium features hardwood flooring, three private offices, an open work area, and a large kitchenette. The restroom includes a shower, while operable windows on both the east and west sides provide natural ventilation. The property measures 1,162 square feet and is configured for professional office use within a finished commercial setting.
BC-1 zoning allows a broad range of office, retail, personal service, wellness, and fitness uses. The property is near the intersection of 55th Street and Arapahoe Avenue, with monument signage available for added property identification.
BC-1 zoning allows a broad range of office, retail, personal service, wellness, and fitness uses. The property is near the intersection of 55th Street and Arapahoe Avenue, with monument signage available for added property identification.
Key Highlights
- 1,162‑square‑foot second‑floor office condominium
- Three private offices plus an open work area
- Hardwood floors and a large 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
$19,165
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
4.51%
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%
$383,300
$383.3K
Cap Rate 7%
$273,786
$273.8K
Cap Rate 9%
$212,944
$212.9K
Market Conditions
NOI Build-Up for 1,162 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
$29.3K $25.20/SF
− Vacancy
−$1.9K −$1.64/SF
EGI
$27.4K $23.56/SF
− OpEx
−$8.2K −$7.07/SF
NOI
$19.2K $16.49/SF
Area
Boulder, CO
Vacancy
6.50%
Lease Rate
$25.20 /SF/Yr
Expense Ratio
30.00%
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%
$383,300
Cap Rate 7%
$273,786
Cap Rate 9%
$212,944
Alternative Uses
Best Use
Retail
$273.8K
$239.6K – $319.4K
NOI $19,165 @ 7.0% cap · market cap 4.51%
Second Best
Office B
$233.4K
$204.2K – $272.3K
NOI $16,335 @ 7.0% cap · market cap 3.84%
Theoretical Best
Office A
$392.7K
$343.6K – $458.1K
NOI $27,486 @ 7.0% cap · market cap 6.47%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,977
Businesses Nearby
Explore this area
Business Placement
Demographics for 80303, CO
25,328
Population
12,583
Households
2
Avg Household Size
32
Median Age
79%
College-Educated
99%
High-School Grad
21.9 sq mi
ZIP Area
1,157
Density / Sq Mi
$77,344
Median Household Income
$31,661
Median Earnings
$1,833
Median Rent
$941,600
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 - BC-1 zoning supports office, retail, personal service, wellness, and fitness uses.
Where is this office units located?
The property is located at 5420 Arapahoe Avenue Boulder, CO.
What is the asking price?
The asking price for this property is $425,000.
What are key features of this property?
This property features: 1,162‑square‑foot second‑floor office condominium; Three private offices plus an open work area; Hardwood floors and a large kitchenette
