Light Industrial Flex with
For Sale
$1,125,000
723 W Deschutes Ave, Kennewick, WA 99336
Light industrial building with gated and non-gated yard areas for equipment and vehicle storage.
Property Size6,126 SF
Price / SF$183.64
Days on Market49
Property Features for 723 W Deschutes Ave
General Information
Standard status
Active
Size
6,126 SF
Property subtype
Industrial
Zoning
Light Industrial
Site & Location
Highway Access
Yes
Fenced Yard
Yes
Additional Details
Opportunity Zone
Yes
Building Details
Building Size
6,126 SF
Year Built
1970
Listing Agency:
SVN | Cornerstone
(509) 251-7716
Listed By:
Ariel Mizrahi · License #WA #25031188
Source:
Svncornerstone
Added: Jun 25
Changed: Aug 7
Last Checked: Aug 12 at 4:25AM
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 SVN | Cornerstone
Investment Insights
Based on property information with market context.
This light industrial flex property includes a 6,126 SF building constructed in 1970 with a flexible layout and an open interior arrangement designed to support a range of light industrial uses. Outdoor storage is supported by both gated and non-gated yard areas, providing practical space for equipment and vehicle storage.
The property is located in Kennewick, WA, in an industrial corridor with convenient access to US-395 and the East Kennewick industrial submarket. The site is within a designated Opportunity Zone, and it is zoned Light Industrial.
For buyers and operators seeking a warehouse, distribution, or contractor yard setup, the combination of an open interior and dedicated yard storage can help accommodate businesses that need both indoor work space and outdoor staging. The configuration also supports owner-user occupancy, with additional optionality noted for future redevelopment.
The property is located in Kennewick, WA, in an industrial corridor with convenient access to US-395 and the East Kennewick industrial submarket. The site is within a designated Opportunity Zone, and it is zoned Light Industrial.
For buyers and operators seeking a warehouse, distribution, or contractor yard setup, the combination of an open interior and dedicated yard storage can help accommodate businesses that need both indoor work space and outdoor staging. The configuration also supports owner-user occupancy, with additional optionality noted for future redevelopment.
Key Highlights
- 6,126 SF light industrial building built in 1970 in Kennewick, WA
- Gated and non‑gated yard areas for equipment and vehicle storage
- Convenient access to US‑395 and the East Kennewick industrial submarket
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
$48,566
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
4.32%
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%
$971,320
$971.3K
Cap Rate 7%
$693,800
$693.8K
Cap Rate 9%
$539,622
$539.6K
Market Conditions
NOI Build-Up for 6,126 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
$80.9K $13.20/SF
− Vacancy
−$6.1K −$1.00/SF
EGI
$74.7K $12.20/SF
− OpEx
−$26.2K −$4.27/SF
NOI
$48.6K $7.93/SF
Area
Benton County, WA
Vacancy
7.60%
Lease Rate
$13.20 /SF/Yr
Expense Ratio
35.00%
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%
$971,320
Cap Rate 7%
$693,800
Cap Rate 9%
$539,622
Alternative Uses
Best Use
Flex RnD
$693.8K
$607.1K – $809.4K
NOI $48,566 @ 7.0% cap · market cap 4.32%
Second Best
Warehouse
$547.2K
$478.8K – $638.5K
NOI $38,307 @ 7.0% cap · market cap 3.41%
Theoretical Best
Office A
$1.70M
$1.49M – $1.98M
NOI $118,939 @ 7.0% cap · market cap 10.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Fenced yard
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
971
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 99336, WA
51,127
Population
20,915
Households
2.4
Avg Household Size
33
Median Age
21%
College-Educated
85%
High-School Grad
13.4 sq mi
ZIP Area
3,815
Density / Sq Mi
$63,308
Median Household Income
$38,211
Median Earnings
$1,155
Median Rent
$292,300
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Wild Olive’s Charcuterie Kingdom — 212 w kennewick ave, kennewick, wa 99336
Frequently Asked Questions
What type of property is this?
Flex space - Light industrial building with gated and non-gated yard areas for equipment and vehicle storage.
Where is this flex space located?
The property is located at 723 W Deschutes Ave Kennewick, WA.
What is the asking price?
The asking price for this property is $1,125,000.
What are key features of this property?
This property features: 6,126 SF light industrial building built in 1970 in Kennewick, WA; Gated and non‑gated yard areas for equipment and vehicle storage; Convenient access to US‑395 and the East Kennewick industrial submarket
