Historic Office
For Sale
$399,000
Pending
9 Locust Avenue, Farmington, AR 72730
COMMERCIAL - Farmington, AR
Property Size1,933 SF
Lot Size0.35 Acres
Days on Market164
Property Features for 9 Locust Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Parking features
Parking Lot
Security features
Security
Exterior features
Storage
Appliances
GasWaterHeater
Lot features
Central Business District, Corner Lot, City Lot
Directions
From HWY 62 heading west toward Farmington, turn right onto Locust Street. Continue a short distance and the home will be on the left on the corner lot.
Standard status
Pending
APN
760-00851-000
Size
1,933 SF
Lot size
0.35 Acres
Taxes and HOA fees
Tax Description
LOTS 5 & 6 BLOCK 2
Tax Annual Amount
2763
Legal Description
LOTS 5 & 6 BLOCK 2
Utilities
Sewer type
Public Sewer
Heating system
Electric (Heating), Central
Cooling system
Central Air
Water source
Public
Amenities
solar panels
Building Details
Year built
1893
Floors in Building
2
Flooring type
Wood
Building materials
WoodSiding
Roof type
Metal
Additional Structures
Storage
Listing Agency:
Homescape Realty
(479) 224-2433
Listed By:
Kayla Colon · License #SA00087558
(479) 770-4880
Added: Mar 10
Changed: Aug 19
Last Checked: Aug 20 at 3:06AM
MLS# 1338881
Copyright © 2026 ArkansasONE MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Located at 9 Locust Avenue in Farmington, this 1,933-square-foot wood-sided office building dates to 1893 and was remodeled in 2019. The interior includes multiple rooms that can support offices, meeting areas, or creative workspace, with preserved hardwood flooring, original doors, locks, and ornate hinges. Updated electrical, plumbing, and HVAC systems complement the historic elements. A metal roof, central air, central heating, public water, and public sewer serve the property.
The building occupies a 0.3497-acre corner lot and is zoned C2. The property information describes potential applications including office, boutique retail, studio, and live/work use, subject to verification of permitted uses with the City of Farmington. Solar panels convey with the sale, along with storage, a parking lot, and a gas water heater.
The building occupies a 0.3497-acre corner lot and is zoned C2. The property information describes potential applications including office, boutique retail, studio, and live/work use, subject to verification of permitted uses with the City of Farmington. Solar panels convey with the sale, along with storage, a parking lot, and a gas water heater.
Key Highlights
- 1,933‑square‑foot office building originally built in 1893
- Remodeled in 2019 with updated electrical, plumbing, and HVAC
- 0.3497‑acre corner lot at 9 Locust Avenue in Farmington, AR 72730
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
$29,185
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
7.31%
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%
$583,700
$583.7K
Cap Rate 7%
$416,929
$416.9K
Cap Rate 9%
$324,278
$324.3K
Market Conditions
NOI Build-Up for 1,933 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
$41.8K $21.60/SF
− Vacancy
−$2.8K −$1.47/SF
EGI
$38.9K $20.13/SF
− OpEx
−$9.7K −$5.03/SF
NOI
$29.2K $15.10/SF
Area
Washington County, AR
Vacancy
6.80%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
25.00%
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%
$583,700
Cap Rate 7%
$416,929
Cap Rate 9%
$324,278
Alternative Uses
Best Use
Office B
$416.9K
$364.8K – $486.4K
NOI $29,185 @ 7.0% cap · market cap 7.31%
Second Best
Mixed Use
$192.2K
$168.2K – $224.2K
NOI $13,454 @ 7.0% cap · market cap 3.37%
Theoretical Best
Office A
$518.8K
$454.0K – $605.3K
NOI $36,319 @ 7.0% cap · market cap 9.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
338
Businesses Nearby
Explore this area
Business Placement
Demographics for 72730, AR
9,624
Population
4,017
Households
2.4
Avg Household Size
36
Median Age
27%
College-Educated
91%
High-School Grad
20.8 sq mi
ZIP Area
463
Density / Sq Mi
$88,780
Median Household Income
$45,652
Median Earnings
$1,225
Median Rent
$244,900
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - C2-zoned property with updated systems, preserved architectural details, and flexibility for office, retail, studio, or live/work use.
Where is this office building located?
The property is located at 9 Locust Avenue Farmington, AR.
What is the asking price?
The asking price for this property is $399,000.
What are key features of this property?
This property features: 1,933‑square‑foot office building originally built in 1893; Remodeled in 2019 with updated electrical, plumbing, and HVAC; 0.3497‑acre corner lot at 9 Locust Avenue in Farmington, AR 72730
