Two-Story Office
New
For Sale
$4,599,000
B-8836 W Gage Blvd, Kennewick, WA 99336
Updated office condominium with conference rooms, private offices, training space, and dedicated parking.
Property Size14,334 SF
Price / SF$320.85
Days on Market6
Property Features for B-8836 W Gage Blvd
General Information
Standard status
Active
Size
14,334 SF
Additional Details
Utilities to Site
Yes
Sprinkler System
Yes
Office Units
2
Taxes and HOA fees
Annual Taxes
$25,927
Building Details
Year Renovated
2019
Buildings
1
Stories
2
Construction
stucco and wood frame
Tenancy
Single
Listing Agency:
Coldwell Banker Tomlinson
(509) 783-4147
Listed By:
Travis Davis · License #10810
(509) 786-9456
Source:
Exprealty
Added: Sep 2
Changed: Sep 6
Last Checked: Sep 6 at 3:05PM
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 Coldwell Banker Tomlinson
Investment Insights
Based on property information with market context.
Suites 101B and 201B comprise a two-story office condominium totaling 14,334 square feet. The property includes a training room, two conference rooms, multiple private offices, a reception area, and main-floor bathrooms. Improvements completed in 2019 included new flooring, carpet tiles, paint, trim, a refreshed reception area, and updated bathrooms.
The building is located on West Gage Boulevard near Steptoe Street in Kennewick. Construction features stucco and wood framing, a metal roof, vinyl windows, central air with a heat pump system, timed underground sprinklers, and full fire suppression. A dedicated parking lot, sidewalks, street lighting, and public sewer and water support the property.
The building is located on West Gage Boulevard near Steptoe Street in Kennewick. Construction features stucco and wood framing, a metal roof, vinyl windows, central air with a heat pump system, timed underground sprinklers, and full fire suppression. A dedicated parking lot, sidewalks, street lighting, and public sewer and water support the property.
Key Highlights
- 14,334 square feet across Suites 101B and 201B
- Two‑story office condominium with a training room and two conference rooms
- 2019 updates included flooring, carpet tiles, paint, trim, reception, and bathrooms
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
$220,027
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
4.78%
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%
$4,400,540
$4.4M
Cap Rate 7%
$3,143,243
$3.1M
Cap Rate 9%
$2,444,744
$2.4M
Market Conditions
NOI Build-Up for 14,334 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
$314.8K $21.96/SF
− Vacancy
−$21.4K −$1.49/SF
EGI
$293.4K $20.47/SF
− OpEx
−$73.3K −$5.12/SF
NOI
$220.0K $15.35/SF
Area
Benton County, WA
Vacancy
6.80%
Lease Rate
$21.96 /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%
$4,400,540
Cap Rate 7%
$3,143,243
Cap Rate 9%
$2,444,744
Alternative Uses
Best Use
Office B
$3.14M
$2.75M – $3.67M
NOI $220,027 @ 7.0% cap · market cap 4.78%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.98M
$3.48M – $4.64M
NOI $278,301 @ 7.0% cap · market cap 6.05%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
2
Office units
Single-tenant
Tenancy
Yes
Sprinkler system
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
1,549
Businesses Nearby
Explore this area
Business Placement
Demographics for 99336, WA
51,127
Population
20,915
Households
2.4
Avg Household Size
33
Median Age
21%
College-Educated
85%
High-School Grad
13.4 sq mi
ZIP Area
3,815
Density / Sq Mi
$63,308
Median Household Income
$38,211
Median Earnings
$1,155
Median Rent
$292,300
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 units - Updated office condominium with conference rooms, private offices, training space, and dedicated parking.
Where is this office units located?
The property is located at B-8836 W Gage Blvd Kennewick, WA.
What is the asking price?
The asking price for this property is $4,599,000.
What are key features of this property?
This property features: 14,334 square feet across Suites 101B and 201B; Two‑story office condominium with a training room and two conference rooms; 2019 updates included flooring, carpet tiles, paint, trim, reception, and bathrooms
