Veterinary Clinic Investment
For Sale
Contact for pricing
8500 Cedarhome Dr, Stanwood, WA 98292
High-yield, corporate-backed veterinary clinic with NNN lease and annual rent increases.
Property Size4,357 SF
Price / SF$431.99
Days on Market139
Property Features for 8500 Cedarhome Dr
General Information
Standard status
Active
Size
4,357 SF
Property subtype
Office, Retail
Occupancy
100%
Lease Type
NNN
Investment Type
Net Lease
Net Operating Income
$150,576
Building Details
Year Built
1964
Year Renovated
2018
Buildings
1
Tenancy
Single
Listing Agency:
Kidder Mathews Los Angeles West
Listed By:
Daniel Solomon · License #CA 02105991
Source:
Crexi
Added: Mar 27
Changed: Aug 8
Last Checked: Aug 11 at 4:57PM
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 Kidder Mathews Los Angeles West
Investment Insights
Based on property information with market context.
This veterinary clinic investment opportunity features a corporate-backed tenant and is offered at a 9.00% capitalization rate. The property is an AAHA-accredited facility, reflecting high standards of veterinary care and operational excellence. The Northwest Veterinary Clinic of Stanwood is a long-standing practice in the community. PetVet's presence and medical investments indicate confidence in the site's performance. PetVet is backed by KKR (Kohlberg Kravis Roberts), a global investment firm with over $500 billion in assets under management. The NNN lease structure provides a passive, management-free investment, with the tenant responsible for all operating expenses, including taxes, insurance, and interior maintenance. The Stanwood clinic offers a range of veterinary services, including wellness exams, diagnostics, surgical procedures, and dental care, serving families and pet owners in the Stanwood and Camano Island area. The lease includes 2% annual rental increases. The site has a history of long-term veterinary tenancy.
Key Highlights
- Attractive 9.00% capitalization rate, significantly above market rates.
- NNN Lease Structure: Tenant responsible for all operating expenses, creating a passive investment.
- Private Equity‑Backed Strength: PetVet is owned by KKR (Kohlberg Kravis Roberts).
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
$63,792
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
3.39%
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%
$1,275,840
$1.3M
Cap Rate 7%
$911,314
$911.3K
Cap Rate 9%
$708,800
$708.8K
Market Conditions
NOI Build-Up for 4,357 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
$119.7K $27.48/SF
− Vacancy
−$13.4K −$3.08/SF
EGI
$106.3K $24.40/SF
− OpEx
−$42.5K −$9.76/SF
NOI
$63.8K $14.64/SF
Area
Snohomish County, WA
Vacancy
11.20%
Lease Rate
$27.48 /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%
$1,275,840
Cap Rate 7%
$911,314
Cap Rate 9%
$708,800
Alternative Uses
Best Use
Healthcare Medical
$911.3K
$797.4K – $1.06M
NOI $63,792 @ 7.0% cap · market cap 3.39%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.22M
$1.06M – $1.42M
NOI $85,056 @ 7.0% cap · market cap 4.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
344
Businesses Nearby
Explore this area
Business Placement
Demographics for 98292, WA
24,098
Population
10,110
Households
2.4
Avg Household Size
44
Median Age
25%
College-Educated
95%
High-School Grad
76.8 sq mi
ZIP Area
314
Density / Sq Mi
$101,161
Median Household Income
$58,585
Median Earnings
$1,691
Median Rent
$610,700
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Medical center - High-yield, corporate-backed veterinary clinic with NNN lease and annual rent increases.
Where is this medical center located?
The property is located at 8500 Cedarhome Dr Stanwood, WA.
What is the asking price?
The asking price for this property is $1,882,200.
What are key features of this property?
This property features: Attractive 9.00% capitalization rate, significantly above market rates.; NNN Lease Structure: Tenant responsible for all operating expenses, creating a passive investment.; Private Equity‑Backed Strength: PetVet is owned by KKR (Kohlberg Kravis Roberts).
