Medical Office
For Sale
Contact for pricing
7265 E Tanque Verde Rd, Tucson, AZ 85715
Professional office property with a medical-office layout and access from Tanque Verde Road and Camino Valle Verde.
Property Size6,056 SF
Price / SF$276.59
Days on Market189
Property Features for 7265 E Tanque Verde Rd
General Information
Standard status
Active
Size
6,056 SF
Class
B
Property subtype
Office
Zoning
C-1 (City of Tucson)
Investment Type
Owner/User
Additional Details
Road Access
Yes
Building Details
Year Built
1999
Buildings
1
Stories
1
Units
2
Owner Occupied
Yes
Listing Agency:
Paul Ash Commercial Real Estate
Listed By:
John Yarborough · License #AZ SA040432000
(520) 577-1000
Source:
Crexi
Added: Feb 25
Changed: Aug 30
Last Checked: Sep 1 at 8:13AM
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 Paul Ash Commercial Real Estate
Investment Insights
Based on property information with market context.
Built in 1999, this 6,056-square-foot office building was initially configured for medical-practice use and has served as professional office space since 2020. The property is located within a four-building development and carries C-1 zoning under the City of Tucson.
Access is available from both Tanque Verde Road and Camino Valle Verde. The building sits east of the Sabino Canyon intersection in northeast Tucson, with a location described as convenient to multiple hospitals and accessible for office visitors and employees.
Access is available from both Tanque Verde Road and Camino Valle Verde. The building sits east of the Sabino Canyon intersection in northeast Tucson, with a location described as convenient to multiple hospitals and accessible for office visitors and employees.
Key Highlights
- 6,056‑square‑foot office building built in 1999
- Originally configured for medical‑practice use
- Used as professional office space since 2020
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
$88,493
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
5.28%
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%
$1,769,860
$1.8M
Cap Rate 7%
$1,264,186
$1.3M
Cap Rate 9%
$983,256
$983.3K
Market Conditions
NOI Build-Up for 6,056 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
$130.8K $21.60/SF
− Vacancy
−$12.8K −$2.12/SF
EGI
$118.0K $19.48/SF
− OpEx
−$29.5K −$4.87/SF
NOI
$88.5K $14.61/SF
Area
Tucson, AZ
Vacancy
9.80%
Lease Rate
$21.60 /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%
$1,769,860
Cap Rate 7%
$1,264,186
Cap Rate 9%
$983,256
Alternative Uses
Best Use
Office B
$1.26M
$1.11M – $1.47M
NOI $88,493 @ 7.0% cap · market cap 5.28%
Second Best
Healthcare Medical
$1.15M
$1.01M – $1.34M
NOI $80,666 @ 7.0% cap · market cap 4.82%
Theoretical Best
Office A
$1.57M
$1.38M – $1.84M
NOI $110,124 @ 7.0% cap · market cap 6.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
989
Businesses Nearby
Explore this area
Business Placement
Demographics for 85715, AZ
18,561
Population
9,678
Households
1.9
Avg Household Size
51
Median Age
47%
College-Educated
95%
High-School Grad
6.6 sq mi
ZIP Area
2,812
Density / Sq Mi
$82,651
Median Household Income
$48,259
Median Earnings
$1,368
Median Rent
$330,900
Median Home Value
Market
Vacancy Rate% for Office in Tucson, AZ
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Professional office property with a medical-office layout and access from Tanque Verde Road and Camino Valle Verde.
Where is this office building located?
The property is located at 7265 E Tanque Verde Rd Tucson, AZ.
What is the asking price?
The asking price for this property is $1,675,000.
What are key features of this property?
This property features: 6,056‑square‑foot office building built in 1999; Originally configured for medical‑practice use; Used as professional office space since 2020
