Flex Warehouse
For Sale
Contact for pricing
8955 Drennan Rd, Colorado Springs, CO 80925
Stand-alone flex warehouse includes dock-high and grade-level loading, 3-phase power, and climate-controlled space.
Property Size45,251 SF
Lot Size10.00 Acres
Price / SF$130.38
Days on Market148
Property Features for 8955 Drennan Rd
General Information
Standard status
Active
Size
45,251 SF
Total Parking Spaces
178
Lot size
10.00 Acres
Property subtype
Office, Industrial
Zoning
I-2 CAD-O
Lease Type
NNN
Investment Type
Owner/User
Additional Details
Heavy Power
Yes
Building Details
Year Built
1984
Tenancy
Multi
Listing Agency:
Cushman & Wakefield Colorado Springs Commercial
Listed By:
Aaron Horn · License #CO FA100007326
(719) 418-4070
Source:
Crexi
Added: Apr 21
Changed: Sep 13
Last Checked: Sep 14 at 5:35AM
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 Cushman & Wakefield Colorado Springs Commercial
Investment Insights
Based on property information with market context.
8955 Drennan Road is a stand-alone flex warehouse facility positioned on a full 10-acre site. The building offers 45,251 square feet and a loading setup that includes both dock-high and grade-level bays, along with 3-phase power and climate-controlled space throughout.
The property is located in the established industrial corridor of Colorado Springs and is described as having strong regional connectivity.
Configured to accommodate a wide range of uses, the facility is identified as suitable for office, R&D, light industrial, or specialized government-oriented operations.
The property is located in the established industrial corridor of Colorado Springs and is described as having strong regional connectivity.
Configured to accommodate a wide range of uses, the facility is identified as suitable for office, R&D, light industrial, or specialized government-oriented operations.
Key Highlights
- 45,251 SF stand‑alone industrial/flex building on a full 10‑acre site in Colorado Springs’ established industrial corridor
- Loading includes both dock‑high and grade‑level doors to support flexible operations
- 3‑phase power available for industrial and light manufacturing uses
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
$435,903
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
7.39%
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%
$8,718,060
$8.7M
Cap Rate 7%
$6,227,186
$6.2M
Cap Rate 9%
$4,843,367
$4.8M
Market Conditions
NOI Build-Up for 45,251 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
$705.9K $15.60/SF
− Vacancy
−$35.3K −$0.78/SF
EGI
$670.6K $14.82/SF
− OpEx
−$234.7K −$5.19/SF
NOI
$435.9K $9.63/SF
Area
Colorado Springs, CO
Vacancy
5.00%
Lease Rate
$15.60 /SF/Yr
Expense Ratio
35.00%
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%
$8,718,060
Cap Rate 7%
$6,227,186
Cap Rate 9%
$4,843,367
Alternative Uses
Best Use
Flex RnD
$6.23M
$5.45M – $7.27M
NOI $435,903 @ 7.0% cap · market cap 7.39%
Second Best
Industrial
$5.87M
$5.13M – $6.84M
NOI $410,624 @ 7.0% cap · market cap 6.96%
Theoretical Best
Specialty Retail
$8.94M
$7.82M – $10.43M
NOI $625,550 @ 7.0% cap · market cap 10.60%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Heavy power
Location Intelligence
Trade Area within ½ mile
30
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 80925, CO
15,061
Population
5,870
Households
2.6
Avg Household Size
30
Median Age
44%
College-Educated
97%
High-School Grad
28.7 sq mi
ZIP Area
525
Density / Sq Mi
$107,955
Median Household Income
$56,534
Median Earnings
$2,260
Median Rent
$441,100
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Industrial in Colorado Springs, CO
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Frequently Asked Questions
What type of property is this?
Flex space - Stand-alone flex warehouse includes dock-high and grade-level loading, 3-phase power, and climate-controlled space.
Where is this flex space located?
The property is located at 8955 Drennan Rd Colorado Springs, CO.
What is the asking price?
The asking price for this property is $5,900,000.
What are key features of this property?
This property features: 45,251 SF stand‑alone industrial/flex building on a full 10‑acre site in Colorado Springs’ established industrial corridor; Loading includes both dock‑high and grade‑level doors to support flexible operations; 3‑phase power available for industrial and light manufacturing uses
