Corner Office Building with
For Sale
Contact for pricing
6403 Lakewood Drive West, University Place, WA 98467
Fully leased office building with private offices, conference rooms, and a reception area plus abundant on-site parking.
Property Size6,104 SF
Price / SF$253.85
Days on Market786
Property Features for 6403 Lakewood Drive West
General Information
Standard status
Active
Size
6,104 SF
Property subtype
OFFICE
Occupancy
100%
Amenities
private offices
conference rooms
breakroom area
reception area
cubicles
work area
landscaping
Building Details
Year Renovated
2022
Listing Agency:
Kidder Mathews
(253) 779-9292
Listed By:
Jerome O'Leary · License #9685
(253) 779-9292
Source:
Moodyscre
Added: Jun 13, 2024
Changed: Jul 30
Last Checked: Aug 6 at 5:09AM
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 Kidder Mathews
Investment Insights
Based on property information with market context.
Fully leased office building in excellent condition with a layout that supports multiple work styles. The interior includes several private offices, conference rooms, a breakroom area, and a reception area with room for cubicles and a dedicated work area.
The property is a corner location bordering Tacoma and University Place, across from Meadow Park Golf Course. Abundant parking and high-quality landscaping help support daily tenant and visitor access.
Recent building updates include a new roof in 2023 and interior renovation completed in 2022. With the combination of established office space and covered improvements, the building is well suited for an owner or tenant seeking an operational office environment.
The property is a corner location bordering Tacoma and University Place, across from Meadow Park Golf Course. Abundant parking and high-quality landscaping help support daily tenant and visitor access.
Recent building updates include a new roof in 2023 and interior renovation completed in 2022. With the combination of established office space and covered improvements, the building is well suited for an owner or tenant seeking an operational office environment.
Key Highlights
- 6,104 SF fully leased office building
- Corner location across from Meadow Park Golf Course
- Several private offices plus conference rooms and breakroom
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
$86,458
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
5.58%
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%
$1,729,160
$1.7M
Cap Rate 7%
$1,235,114
$1.2M
Cap Rate 9%
$960,644
$960.6K
Market Conditions
NOI Build-Up for 6,104 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
$134.0K $21.96/SF
− Vacancy
−$18.8K −$3.07/SF
EGI
$115.3K $18.89/SF
− OpEx
−$28.8K −$4.72/SF
NOI
$86.5K $14.16/SF
Area
Pierce County, WA
Vacancy
14.00%
Lease Rate
$21.96 /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%
$1,729,160
Cap Rate 7%
$1,235,114
Cap Rate 9%
$960,644
Alternative Uses
Best Use
Office B
$1.24M
$1.08M – $1.44M
NOI $86,458 @ 7.0% cap · market cap 5.58%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.65M
$1.44M – $1.92M
NOI $115,404 @ 7.0% cap · market cap 7.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
400
Businesses Nearby
Explore this area
Business Placement
Demographics for 98467, WA
16,512
Population
6,718
Households
2.5
Avg Household Size
39
Median Age
42%
College-Educated
95%
High-School Grad
4.8 sq mi
ZIP Area
3,440
Density / Sq Mi
$90,586
Median Household Income
$48,802
Median Earnings
$1,566
Median Rent
$580,100
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 building - Fully leased office building with private offices, conference rooms, and a reception area plus abundant on-site parking.
Where is this office building located?
The property is located at 6403 Lakewood Drive West University Place, WA.
What is the asking price?
The asking price for this property is $1,549,500.
What are key features of this property?
This property features: 6,104 SF fully leased office building; Corner location across from Meadow Park Golf Course; Several private offices plus conference rooms and breakroom
