Two-Story Office
For Sale
$995,000
608 Arendell St, Morehead City, NC 28557
DB-zoned commercial property with flexible rooms, kitchen facilities, and a climate-controlled garage in the waterfront district.
Property Size2,380 SF
Price / SF$418.07
Days on Market42
Property Features for 608 Arendell St
General Information
Standard status
Active
Size
2,380 SF
Zoning
DB
Amenities
private rear yard
dedicated workshop and storage area
heated and cooled one-car garage
water views
Building Details
Year Built
1910
Buildings
1
Stories
2
Listing Agency:
Hamad Realty
(252) 726-3473
Listed By:
Samer Hamad · License #188498
Source:
Barefootbrokers
Added: Jul 20
Changed: Aug 28
Last Checked: Aug 29 at 12:19PM
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 Hamad Realty
Investment Insights
Based on property information with market context.
This 2,380-square-foot office property occupies a two-story commercial building constructed in 1910. The interior includes four private offices, consultation rooms, or treatment areas, along with two restrooms and a full kitchen with break-room function. A private rear yard, workshop, storage area, and heated and cooled one-car garage add useful support space for operations and inventory.
The property is located at 608 Arendell St in Morehead City’s Waterfront District, directly across from City Park and offering water views. DB, or Downtown Business, zoning accommodates office, specialized spa, medical practice, and boutique retail uses. Dedicated residential use requires approval of a Special Use Permit from Morehead City.
The property is located at 608 Arendell St in Morehead City’s Waterfront District, directly across from City Park and offering water views. DB, or Downtown Business, zoning accommodates office, specialized spa, medical practice, and boutique retail uses. Dedicated residential use requires approval of a Special Use Permit from Morehead City.
Key Highlights
- 2,380 SF two‑story office building constructed in 1910
- Four private offices, consultation rooms, or treatment areas
- Two restrooms plus a full kitchen and break room
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
$36,842
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
3.70%
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%
$736,840
$736.8K
Cap Rate 7%
$526,314
$526.3K
Cap Rate 9%
$409,356
$409.4K
Market Conditions
NOI Build-Up for 2,380 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
$57.1K $24.00/SF
− Vacancy
−$8.0K −$3.36/SF
EGI
$49.1K $20.64/SF
− OpEx
−$12.3K −$5.16/SF
NOI
$36.8K $15.48/SF
Area
Carteret County, NC
Vacancy
14.00%
Lease Rate
$24.00 /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%
$736,840
Cap Rate 7%
$526,314
Cap Rate 9%
$409,356
Alternative Uses
Best Use
Office B
$526.3K
$460.5K – $614.0K
NOI $36,842 @ 7.0% cap · market cap 3.70%
Second Best
Healthcare Medical
$403.2K
$352.8K – $470.4K
NOI $28,223 @ 7.0% cap · market cap 2.84%
Theoretical Best
Office A
$714.0K
$624.8K – $833.0K
NOI $49,980 @ 7.0% cap · market cap 5.02%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
475
Businesses Nearby
Explore this area
Business Placement
Demographics for 28557, NC
14,910
Population
9,168
Households
1.6
Avg Household Size
50
Median Age
40%
College-Educated
93%
High-School Grad
14.2 sq mi
ZIP Area
1,050
Density / Sq Mi
$67,753
Median Household Income
$38,534
Median Earnings
$1,143
Median Rent
$331,800
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - DB-zoned commercial property with flexible rooms, kitchen facilities, and a climate-controlled garage in the waterfront district.
Where is this office building located?
The property is located at 608 Arendell St Morehead City, NC.
What is the asking price?
The asking price for this property is $995,000.
What are key features of this property?
This property features: 2,380 SF two‑story office building constructed in 1910; Four private offices, consultation rooms, or treatment areas; Two restrooms plus a full kitchen and break room
