Office Building Near Downtown
For Sale
Contact for pricing
325 W South Boulder Rd, Louisville, CO 80027
Office building with good tenant mix and high visibility.
Property Size12,917 SF
Price / SF$185.80
Days on Market759
Property Features for 325 W South Boulder Rd
General Information
Standard status
Active
Size
12,917 SF
Property subtype
Office
Building Details
Buildings
1
Stories
2
Listing Agency:
Gibbons-White Inc
Listed By:
Steve Sims · License #CO EA.001312310
(303) 442-1040
Source:
Crexi
Added: Aug 7, 2024
Changed: Aug 23
Last Checked: Sep 4 at 10:10AM
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 Gibbons-White Inc
Investment Insights
Based on property information with market context.
This commercial property, an office building, is priced at a 6.9% cap rate on pro forma NOI. It features a good mix of tenants, including Young Dentistry for Children and the National Institute for Trial Advocacy, with staggered expiration dates. Suite 1, comprising 1,632 square feet, and Suite 2, comprising 1,765 square feet, are currently available for a potential owner-user. The property benefits from high visibility on South Boulder Road and offers monument signage. A new HVAC system was installed, and the roof was replaced in 2017. The property is located one block from Mudrock’s Tap & Tavern, Luna Coffee, Shamrock Foodservice Warehouse, and Village Square retailers, and it is one mile from the restaurants and shops of historic downtown Louisville. The property has a total size of 12,917 square feet.
Key Highlights
- Priced at a 6.9% cap rate on pro forma NOI
- Suites available for potential owner user (1,632 sq. ft. & 1,765 sq. ft.)
- New HVAC and roof replaced in 2017
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
$171,682
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
7.15%
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%
$3,433,640
$3.4M
Cap Rate 7%
$2,452,600
$2.5M
Cap Rate 9%
$1,907,578
$1.9M
Market Conditions
NOI Build-Up for 12,917 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
$322.4K $24.96/SF
− Vacancy
−$93.5K −$7.24/SF
EGI
$228.9K $17.72/SF
− OpEx
−$57.2K −$4.43/SF
NOI
$171.7K $13.29/SF
Area
Boulder County, CO
Vacancy
29.00%
Lease Rate
$24.96 /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%
$3,433,640
Cap Rate 7%
$2,452,600
Cap Rate 9%
$1,907,578
Alternative Uses
Best Use
Office B
$2.45M
$2.15M – $2.86M
NOI $171,682 @ 7.0% cap · market cap 7.15%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.90M
$3.41M – $4.55M
NOI $272,807 @ 7.0% cap · market cap 11.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
455
Businesses Nearby
Explore this area
Business Placement
Demographics for 80027, CO
34,413
Population
13,248
Households
2.6
Avg Household Size
40
Median Age
71%
College-Educated
98%
High-School Grad
18.6 sq mi
ZIP Area
1,850
Density / Sq Mi
$153,165
Median Household Income
$70,617
Median Earnings
$2,234
Median Rent
$822,700
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Office building with good tenant mix and high visibility.
Where is this office building located?
The property is located at 325 W South Boulder Rd Louisville, CO.
What is the asking price?
The asking price for this property is $2,400,000.
What are key features of this property?
This property features: Priced at a 6.9% cap rate on pro forma NOI; Suites available for potential owner user (1,632 sq. ft. & 1,765 sq. ft.); New HVAC and roof replaced in 2017
