Medical Corridor Office
For Sale
$494,900
806 Garfield St., Tupelo, MS 38801
Standalone office property suited to medical, dental, professional, or administrative operations.
Property Size3,305 SF
Price / SF$149.74
Days on Market48
Property Features for 806 Garfield St.
General Information
Standard status
Active
Size
3,305 SF
Property subtype
General Commercial
Amenities
60 x 198
Building Details
Year Built
1972
Listing Agency:
TM REALTORS
(662) 871-0996
Listed By:
Mikey Hunter · License #S-56843
(662) 871-0996
Source:
Xome
Added: Jul 6
Changed: Aug 19
Last Checked: Aug 21 at 4:01AM
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 TM REALTORS
Investment Insights
Based on property information with market context.
This 3,305-square-foot office building was constructed in 1972 and occupies a 0.27-acre parcel in Tupelo’s medical corridor. The property is positioned for medical, dental, professional, or administrative office use and offers a standalone format for occupancy or investment consideration.
Located at 806 Garfield St., the site provides access to major thoroughfares. The lot measures 60 x 198, adding a defined footprint to the existing office improvement.
Located at 806 Garfield St., the site provides access to major thoroughfares. The lot measures 60 x 198, adding a defined footprint to the existing office improvement.
Key Highlights
- 3,305 SF office building constructed in 1972
- Located in Tupelo’s medical corridor
- 0.27‑acre lot measuring 60 x 198
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
$30,881
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
6.24%
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%
$617,620
$617.6K
Cap Rate 7%
$441,157
$441.2K
Cap Rate 9%
$343,122
$343.1K
Market Conditions
NOI Build-Up for 3,305 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
$57.5K $17.40/SF
− Vacancy
−$6.0K −$1.83/SF
EGI
$51.5K $15.57/SF
− OpEx
−$20.6K −$6.23/SF
NOI
$30.9K $9.34/SF
Area
Lee County, MS
Vacancy
10.50%
Lease Rate
$17.40 /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%
$617,620
Cap Rate 7%
$441,157
Cap Rate 9%
$343,122
Alternative Uses
Best Use
Healthcare Medical
$441.2K
$386.0K – $514.7K
NOI $30,881 @ 7.0% cap · market cap 6.24%
Second Best
Office B
$414.3K
$362.5K – $483.4K
NOI $29,001 @ 7.0% cap · market cap 5.86%
Theoretical Best
Office A
$620.7K
$543.1K – $724.1K
NOI $43,448 @ 7.0% cap · market cap 8.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,259
Businesses Nearby
Explore this area
Business Placement
Demographics for 38801, MS
29,795
Population
13,717
Households
2.2
Avg Household Size
38
Median Age
29%
College-Educated
86%
High-School Grad
73.0 sq mi
ZIP Area
408
Density / Sq Mi
$63,447
Median Household Income
$35,596
Median Earnings
$954
Median Rent
$187,600
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?
Office building - Standalone office property suited to medical, dental, professional, or administrative operations.
Where is this office building located?
The property is located at 806 Garfield St. Tupelo, MS.
What is the asking price?
The asking price for this property is $494,900.
What are key features of this property?
This property features: 3,305 SF office building constructed in 1972; Located in Tupelo’s medical corridor; 0.27‑acre lot measuring 60 x 198
