Freestanding Industrial Property in
For Sale
$3,750,000
8502 Kelso Rd, Baltimore, MD 21221
Free-standing, Industrial property for sale in Essex, MD
Property Size18,000 SF
Lot Size2.70 Acres
Price / SF$208.33
Days on Market245
Property Features for 8502 Kelso Rd
General Information
Standard status
Active
Property type
Warehouses, Industrial properties
Size
18,000 SF
Class
C
Lot size
2.70 Acres
Listing Agency:
Gold and Company, LLC.
(443) 928-7522
Listed By:
Jim · License #617251
(443) 928-7522
Added: Dec 19, 2025
Changed: Mar 16
Investment Insights
Based on property information with market context.
A freestanding industrial property with 18,000 square feet of space is available for sale. The property is situated on a 2.7-acre lot. The property is located in Baltimore, Maryland and is zoned for industrial use.
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
$118,547
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%
$2,370,940
$2.4M
Cap Rate 7%
$1,693,529
$1.7M
Cap Rate 9%
$1,317,189
$1.3M
Market Conditions
NOI Build-Up for 18,000 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
$151.2K $8.40/SF
− Vacancy
−$11.7K −$0.65/SF
EGI
$139.5K $7.75/SF
− OpEx
−$20.9K −$1.16/SF
NOI
$118.5K $6.59/SF
Area
Baltimore, MD
Vacancy
7.76%
Lease Rate
$8.40 /SF/Yr
Expense Ratio
15.00%
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%
$2,370,940
Cap Rate 7%
$1,693,529
Cap Rate 9%
$1,317,189
Alternative Uses
Best Use
Warehouse
$1.69M
$1.48M – $1.98M
NOI $118,547 @ 7.0% cap · market cap 3.16%
Second Best
Industrial
$1.42M
$1.24M – $1.66M
NOI $99,384 @ 7.0% cap · market cap 2.65%
Theoretical Best
Office A
$4.31M
$3.77M – $5.03M
NOI $301,861 @ 7.0% cap · market cap 8.05%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
139
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 21221, MD
43,381
Population
18,364
Households
2.4
Avg Household Size
39
Median Age
20%
College-Educated
86%
High-School Grad
15.0 sq mi
ZIP Area
2,892
Density / Sq Mi
$67,368
Median Household Income
$44,416
Median Earnings
$1,305
Median Rent
$266,800
Median Home Value
Market
Vacancy Rate% for Industrial in Baltimore, MD
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Warehouse - Free-standing, Industrial property for sale in Essex, MD
Where is this warehouse located?
The property is located at 8502 Kelso Rd Baltimore, MD.
What is the asking price?
The asking price for this property is $3,750,000.
