Renovated Office/Retail Building For
For Sale
$2,750,000
6 S Gay Street, Baltimore, MD 21202
Versatile, renovated office/retail building in Baltimore's CBD.
Property Size17,998 SF
Days on Market143
Property Features for 6 S Gay Street
General Information
Standard status
Active
Size
17,998 SF
Property subtype
Office
Zoning
C-5-TO (Downtown Zoning District)
Building Details
Building Size
17,998 SF
Listing Agency:
MacKenzie Commercial Real Estate | Baltimore
(443) 573-3202
Listed By:
Jim Grieves
(443) 573-3202
Source:
Mackenziecommercial
Added: Apr 3
Changed: Aug 10
Last Checked: Aug 22 at 3:30AM
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 MacKenzie Commercial Real Estate | Baltimore
Investment Insights
Based on property information with market context.
The property at 6 S. Gay Street is available for sale or lease and is in excellent condition. A full renovation was completed in 2015, with additional upgrades including a new roof in 2019 and individual HVAC units for each office in 2018. The building features high-end finishes and updated utilities. It can be easily subdivided into four units across two floors, with private entrances on the first floor suitable for potential retail tenants. An ADA-compliant passenger elevator serves all levels. Most furniture and audio/video equipment convey with the sale. The property is located in the CBD, just blocks from the Inner Harbor, City Hall, and the city courthouses, and benefits from proximity to a 24-hour 1,107-space garage and new residential and retail developments along Gay Street. Zoning permits a variety of commercial uses.
Key Highlights
- Prime CBD location near Inner Harbor, City Hall, and courthouses.
- Fully renovated in 2015 with high‑end finishes and updated utilities.
- Versatile building easily subdivisible into four units with private entrances.
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
$250,222
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
9.10%
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%
$5,004,440
$5.0M
Cap Rate 7%
$3,574,600
$3.6M
Cap Rate 9%
$2,780,244
$2.8M
Market Conditions
NOI Build-Up for 17,998 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
$399.6K $22.20/SF
− Vacancy
−$65.9K −$3.66/SF
EGI
$333.6K $18.54/SF
− OpEx
−$83.4K −$4.63/SF
NOI
$250.2K $13.90/SF
Area
Baltimore, MD
Vacancy
16.50%
Lease Rate
$22.20 /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%
$5,004,440
Cap Rate 7%
$3,574,600
Cap Rate 9%
$2,780,244
Alternative Uses
Best Use
Office B
$3.57M
$3.13M – $4.17M
NOI $250,222 @ 7.0% cap · market cap 9.10%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.31M
$3.77M – $5.03M
NOI $301,827 @ 7.0% cap · market cap 10.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
8,928
Businesses Nearby
Explore this area
Business Placement
Demographics for 21202, MD
22,247
Population
12,731
Households
1.7
Avg Household Size
33
Median Age
48%
College-Educated
86%
High-School Grad
1.6 sq mi
ZIP Area
13,904
Density / Sq Mi
$61,578
Median Household Income
$53,609
Median Earnings
$1,497
Median Rent
$307,700
Median Home Value
Market
Vacancy Rate% for Office in Baltimore, MD
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Versatile, renovated office/retail building in Baltimore's CBD.
Where is this office building located?
The property is located at 6 S Gay Street Baltimore, MD.
What is the asking price?
The asking price for this property is $2,750,000.
What are key features of this property?
This property features: Prime CBD location near Inner Harbor, City Hall, and courthouses.; Fully renovated in 2015 with high‑end finishes and updated utilities.; Versatile building easily subdivisible into four units with private entrances.
