NNN Industrial
For Sale
Contact for pricing
6225 East 38th Avenue, Denver, CO 80207
NNN lease structure and a tenant reported in place for more than 30 years define this Denver industrial property.
Property Size48,484 SF
Price / SF$116.74
Days on Market77
Property Features for 6225 East 38th Avenue
General Information
Standard status
Active
Size
48,484 SF
Property subtype
Industrial
Zoning
I-MX-3
Additional Details
Cap Rate
6.38%
Building Details
Year Built
1972
Listing Agency:
Matthews
Listed By:
Angelo Vattano · License #100101759
Source:
Crexi
Added: Jun 15
Changed: Aug 30
Last Checked: Aug 30 at 7:37AM
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 Matthews
Investment Insights
Based on property information with market context.
This Denver industrial property was built in 1972 and is identified with I-MX-3 zoning. The offering carries an NNN lease structure, with a tenant reported in place for more than 30 years.
The property is located at 6225 East 38th Avenue in Denver, Colorado. The stated property size is 48,484, and the reported cap rate is 6.38%.
The property is located at 6225 East 38th Avenue in Denver, Colorado. The stated property size is 48,484, and the reported cap rate is 6.38%.
Key Highlights
- NNN lease structure
- Tenant reported in place for more than 30 years
- 48,484 property size
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
$501,015
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
8.85%
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%
$10,020,300
$10.0M
Cap Rate 7%
$7,157,357
$7.2M
Cap Rate 9%
$5,566,833
$5.6M
Market Conditions
NOI Build-Up for 48,484 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
$640.0K $13.20/SF
− Vacancy
−$50.6K −$1.04/SF
EGI
$589.4K $12.16/SF
− OpEx
−$88.4K −$1.82/SF
NOI
$501.0K $10.33/SF
Area
Denver, CO
Vacancy
7.90%
Lease Rate
$13.20 /SF/Yr
Expense Ratio
15.00%
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%
$10,020,300
Cap Rate 7%
$7,157,357
Cap Rate 9%
$5,566,833
Alternative Uses
Best Use
Warehouse
$7.16M
$6.26M – $8.35M
NOI $501,015 @ 7.0% cap · market cap 8.85%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$15.43M
$13.50M – $18.01M
NOI $1,080,394 @ 7.0% cap · market cap 19.09%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
759
Businesses Nearby
Explore this area
Business Placement
Demographics for 80207, CO
21,170
Population
9,291
Households
2.3
Avg Household Size
38
Median Age
61%
College-Educated
93%
High-School Grad
3.9 sq mi
ZIP Area
5,428
Density / Sq Mi
$112,325
Median Household Income
$71,163
Median Earnings
$1,819
Median Rent
$661,900
Median Home Value
Market
Vacancy Rate% for Industrial in Denver, CO
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
NNN property - NNN lease structure and a tenant reported in place for more than 30 years define this Denver industrial property.
Where is this nnn property located?
The property is located at 6225 East 38th Avenue Denver, CO.
What is the asking price?
The asking price for this property is $5,660,000.
What are key features of this property?
This property features: NNN lease structure; Tenant reported in place for more than 30 years; 48,484 property size
