Montavilla Retail Building
For Sale
$2,100,000
8037 SE STARK St, Portland, OR 97215
Five-unit retail building in the heart of Montavilla.
Property Size7,875 SF
Price / SF$266.67
Days on Market323
Property Features for 8037 SE STARK St
General Information
Standard status
Active
Size
7,875 SF
Property subtype
General Commercial
Taxes and HOA fees
Annual Taxes
$10,465
Amenities
Heat Pump
3
Flat, Rubber
CM2
14 Parking Spaces. On Site.
Fenced. Paved Road.
Building Details
Year Built
1924
Listing Agency:
M Maltase Real Estate Group
(503) 730-2596
Listed By:
Michelle Maltase · License #200309223
(503) 730-2596
Source:
Xome
Added: Oct 5, 2025
Changed: Aug 23
Last Checked: Aug 22 at 12:56PM
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 M Maltase Real Estate Group
Investment Insights
Based on property information with market context.
The Montavilla Building is a five-unit retail building located in the heart of Montavilla. This well-maintained property offers investors an opportunity to acquire a retail asset in a thriving neighborhood. The property features ample off-street parking, ensuring convenience and accessibility. With long-term tenants in place and consistent rental income, the property demonstrates financial performance. The building is positioned for long-term growth and offers reliable returns. The property size is 7875 square feet.
Key Highlights
- Proven retail asset in a thriving Montavilla neighborhood.
- Stable, income‑producing property with a strong CAP rate.
- Long‑term tenants in place, ensuring consistent rental income.
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
$91,783
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
4.37%
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%
$1,835,660
$1.8M
Cap Rate 7%
$1,311,186
$1.3M
Cap Rate 9%
$1,019,811
$1.0M
Market Conditions
NOI Build-Up for 7,875 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
$141.8K $18.00/SF
− Vacancy
−$10.6K −$1.35/SF
EGI
$131.1K $16.65/SF
− OpEx
−$39.3K −$5.00/SF
NOI
$91.8K $11.66/SF
Area
Portland, OR
Vacancy
7.50%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
30.00%
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%
$1,835,660
Cap Rate 7%
$1,311,186
Cap Rate 9%
$1,019,811
Alternative Uses
Best Use
Retail
$1.31M
$1.15M – $1.53M
NOI $91,783 @ 7.0% cap · market cap 4.37%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.21M
$1.94M – $2.58M
NOI $154,805 @ 7.0% cap · market cap 7.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,037
Businesses Nearby
Explore this area
Business Placement
Demographics for 97215, OR
18,221
Population
7,855
Households
2.3
Avg Household Size
40
Median Age
64%
College-Educated
97%
High-School Grad
2.3 sq mi
ZIP Area
7,922
Density / Sq Mi
$114,361
Median Household Income
$62,704
Median Earnings
$1,587
Median Rent
$658,500
Median Home Value
Market
Vacancy Rate% for Retail in Portland, OR
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Five-unit retail building in the heart of Montavilla.
Where is this retail space located?
The property is located at 8037 SE STARK St Portland, OR.
What is the asking price?
The asking price for this property is $2,100,000.
What are key features of this property?
This property features: Proven retail asset in a thriving Montavilla neighborhood.; Stable, income‑producing property with a strong CAP rate.; Long‑term tenants in place, ensuring consistent rental income.
