Two-Office Medical
For Sale
$325,000
804-806 S Berkley Rd, Kokomo, IN 46901
Flexible medical office layout supports two occupants or a single practice with separate operational areas.
Property Size3,136 SF
Price / SF$103.64
Days on Market14
Property Features for 804-806 S Berkley Rd
General Information
Standard status
Active
Size
3,136 SF
Additional Details
Office Units
2
Building Details
Year Built
1975
Buildings
1
Listing Agency:
Harrold-Chandler Real Estate
(765) 438-0649
Listed By:
Tom Harrold · License #RB14022360
Source:
Callcriswell
Added: Aug 16
Changed: Aug 28
Last Checked: Aug 28 at 1:14PM
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 Harrold-Chandler Real Estate
Investment Insights
Based on property information with market context.
Built in 1975, this 3,136-square-foot medical office building is configured for two independent office users or one larger practice. The layout provides two office sections, each with 4 or 5 exam rooms equipped with sinks, a reception area, and a private employee entrance. A shared patient waiting room supports front-of-house operations.
The building also includes a poured-concrete basement with space for record storage and access to HVAC and electrical systems. Located at 804-806 S Berkley Rd in Kokomo, Indiana, the property offers an established medical-office configuration with the flexibility to accommodate separate practices or a consolidated user.
The building also includes a poured-concrete basement with space for record storage and access to HVAC and electrical systems. Located at 804-806 S Berkley Rd in Kokomo, Indiana, the property offers an established medical-office configuration with the flexibility to accommodate separate practices or a consolidated user.
Key Highlights
- 3,136 SF medical office building constructed in 1975
- Two office sections configured for separate users or one practice
- Each side includes 4 or 5 exam rooms with sinks
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
$10,256
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
3.16%
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%
$205,120
$205.1K
Cap Rate 7%
$146,514
$146.5K
Cap Rate 9%
$113,956
$114.0K
Market Conditions
NOI Build-Up for 3,136 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
$18.4K $5.88/SF
− Vacancy
−$1.3K −$0.43/SF
EGI
$17.1K $5.45/SF
− OpEx
−$6.8K −$2.18/SF
NOI
$10.3K $3.27/SF
Area
Howard County, IN
Vacancy
7.30%
Lease Rate
$5.88 /SF/Yr
Expense Ratio
40.00%
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%
$205,120
Cap Rate 7%
$146,514
Cap Rate 9%
$113,956
Alternative Uses
Best Use
Office B
$459.6K
$402.2K – $536.3K
NOI $32,175 @ 7.0% cap · market cap 9.90%
Second Best
Healthcare Medical
$146.5K
$128.2K – $170.9K
NOI $10,256 @ 7.0% cap · market cap 3.16%
Theoretical Best
Warehouse
$2.47M
$2.16M – $2.88M
NOI $172,872 @ 7.0% cap · market cap 53.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
2
Office units
Location Intelligence
Trade Area within ½ mile
561
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 46901, IN
38,072
Population
18,307
Households
2.1
Avg Household Size
41
Median Age
17%
College-Educated
90%
High-School Grad
140.9 sq mi
ZIP Area
270
Density / Sq Mi
$61,041
Median Household Income
$37,107
Median Earnings
$869
Median Rent
$131,700
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Jefferson Road Animal Hospital — 2605 W Jefferson St, Kokomo, IN 46901
- Swart Corey DVM — 2605 W Jefferson St, Kokomo, IN 46901
Frequently Asked Questions
What type of property is this?
Medical Office Space - Flexible medical office layout supports two occupants or a single practice with separate operational areas.
Where is this medical office space located?
The property is located at 804-806 S Berkley Rd Kokomo, IN.
What is the asking price?
The asking price for this property is $325,000.
What are key features of this property?
This property features: 3,136 SF medical office building constructed in 1975; Two office sections configured for separate users or one practice; Each side includes 4 or 5 exam rooms with sinks
