Medical Office and Business
For Sale
$925,000
7446 Covington Hwy, Lithonia, GA 30058
Standalone office building offering medical/dental-ready space with reception, private offices, and multiple conference rooms.
Property Size6,238 SF
Price / SF$148.28
Days on Market148
Property Features for 7446 Covington Hwy
General Information
Standard status
Active
Size
6,238 SF
Additional Details
Highway Access
Yes
Building Details
Year Built
2007
Listing Agency:
Century 21 Connect Realty
Listed By:
QUINN GREEN
Source:
Shortsaleatlanta
Added: Apr 11
Changed: Sep 3
Last Checked: Sep 5 at 10:02AM
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 Century 21 Connect Realty
Investment Insights
Based on property information with market context.
This free-standing office building includes built-out space suitable for medical or dental use, as well as real estate services, with the option for other uses through retrofitting. The interior features an elegant reception area, numerous private offices, a kitchen and shower, multiple conference rooms, and ample storage and closet space, along with bathrooms to support daily operations.
The property includes both building and land and is described as being in a superb location just minutes to I-20 and I-285, supporting convenient regional access.
Overall, the layout is designed for a professional service environment, with multiple exam- or meeting-style rooms, office support space, and areas that can be reconfigured if a different operating plan is desired.
The property includes both building and land and is described as being in a superb location just minutes to I-20 and I-285, supporting convenient regional access.
Overall, the layout is designed for a professional service environment, with multiple exam- or meeting-style rooms, office support space, and areas that can be reconfigured if a different operating plan is desired.
Key Highlights
- Free‑standing building with business office space and land
- Currently built‑out for Medical/Dental use with an elegant reception area
- Includes numerous private offices, kitchen, and shower
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
$83,533
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
9.03%
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%
$1,670,660
$1.7M
Cap Rate 7%
$1,193,329
$1.2M
Cap Rate 9%
$928,144
$928.1K
Market Conditions
NOI Build-Up for 6,238 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
$148.9K $23.87/SF
− Vacancy
−$37.5K −$6.02/SF
EGI
$111.4K $17.85/SF
− OpEx
−$27.8K −$4.46/SF
NOI
$83.5K $13.39/SF
Area
DeKalb County, GA
Vacancy
25.20%
Lease Rate
$23.87 /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%
$1,670,660
Cap Rate 7%
$1,193,329
Cap Rate 9%
$928,144
Alternative Uses
Best Use
Healthcare Medical
$1.29M
$1.13M – $1.51M
NOI $90,445 @ 7.0% cap · market cap 9.78%
Second Best
Office B
$1.19M
$1.04M – $1.39M
NOI $83,533 @ 7.0% cap · market cap 9.03%
Theoretical Best
Office A
$1.74M
$1.53M – $2.03M
NOI $122,063 @ 7.0% cap · market cap 13.20%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
663
Businesses Nearby
Explore this area
Business Placement
Demographics for 30058, GA
59,445
Population
23,671
Households
2.5
Avg Household Size
36
Median Age
30%
College-Educated
90%
High-School Grad
30.5 sq mi
ZIP Area
1,949
Density / Sq Mi
$62,633
Median Household Income
$36,992
Median Earnings
$1,478
Median Rent
$221,200
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?
Medical center - Standalone office building offering medical/dental-ready space with reception, private offices, and multiple conference rooms.
Where is this medical center located?
The property is located at 7446 Covington Hwy Lithonia, GA.
What is the asking price?
The asking price for this property is $925,000.
What are key features of this property?
This property features: Free‑standing building with business office space and land; Currently built‑out for Medical/Dental use with an elegant reception area; Includes numerous private offices, kitchen, and shower
