Delray Beach Office
For Sale
$899,000
96 5th Avenue, Delray Beach, FL 33483
Downtown Delray Beach office space near Atlantic Avenue for sale.
Property Size1,140 SF
Price / SF$788.60
Days on Market245
Property Features for 96 5th Avenue
General Information
Standard status
Active
Size
1,140 SF
Property subtype
General Commercial
Taxes and HOA fees
Annual Taxes
$8,608
Amenities
3
Building Details
Year Built
1971
Listing Agency:
Sotheby's Intl. Realty, Inc.
(561) 659-3555
Listed By:
Ellison Dobbs · License #3649179
(314) 556-4437
Source:
Xome
Added: Jan 5
Changed: Sep 5
Last Checked: Sep 7 at 5:40AM
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 Sotheby's Intl. Realty, Inc.
Investment Insights
Based on property information with market context.
Located in the Fountain Square landmark building in downtown Delray Beach, this office condominium is situated less than one block from Atlantic Avenue on Federal Highway. Unit 96 is one of two offices on the second floor. The space includes four private offices, a conference room, a kitchenette, and a private bathroom. Parking is available in a large association-owned parking lot west of the building, with additional parking on the north and west sides. The property is currently tenant-occupied, with the landlord having the option to terminate the lease with 90 days' notice. The monthly condominium maintenance fee is $766. The location has a bike score of 52, indicating it is bikeable, and a walk score of 65, indicating it is somewhat walkable.
Key Highlights
- Prime downtown Delray Beach location, less than one block from Atlantic Avenue.
- Rare office condominium: one of only two offices on the second floor.
- Features four private offices, conference room, kitchenette, and private bathroom.
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
$30,216
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
3.36%
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%
$604,320
$604.3K
Cap Rate 7%
$431,657
$431.7K
Cap Rate 9%
$335,733
$335.7K
Market Conditions
NOI Build-Up for 1,140 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
$52.0K $45.60/SF
− Vacancy
−$11.7K −$10.26/SF
EGI
$40.3K $35.34/SF
− OpEx
−$10.1K −$8.84/SF
NOI
$30.2K $26.51/SF
Area
Palm Beach County, FL
Vacancy
22.50%
Lease Rate
$45.60 /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%
$604,320
Cap Rate 7%
$431,657
Cap Rate 9%
$335,733
Alternative Uses
Best Use
Office B
$431.7K
$377.7K – $503.6K
NOI $30,216 @ 7.0% cap · market cap 3.36%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$802.9K
$702.5K – $936.7K
NOI $56,200 @ 7.0% cap · market cap 6.25%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
3,603
Businesses Nearby
Explore this area
Business Placement
Demographics for 33483, FL
13,103
Population
9,493
Households
1.4
Avg Household Size
59
Median Age
57%
College-Educated
93%
High-School Grad
3.8 sq mi
ZIP Area
3,448
Density / Sq Mi
$117,854
Median Household Income
$60,502
Median Earnings
$2,306
Median Rent
$755,700
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 units - Downtown Delray Beach office space near Atlantic Avenue for sale.
Where is this office units located?
The property is located at 96 5th Avenue Delray Beach, FL.
What is the asking price?
The asking price for this property is $899,000.
What are key features of this property?
This property features: Prime downtown Delray Beach location, less than one block from Atlantic Avenue.; Rare office condominium: one of only two offices on the second floor.; Features **four private offices, conference room, kitchenette, and private bathroom.**
