Medical Office with
For Sale
$475,000
Tupelo, MS 38801, Tupelo, MS 38801
Commercial Sale, Tupelo, MS
Property Size3,225 SF
Lot Size0.34 Acres
Price / SF$147.29
Days on Market372
Property Features
General Information
Property type
Commercial Sale
Property subtype
Other
Directions
South Gloster to Garfield, West on Garfield fourth building on right.
Subdivision
Southwest Tupelo
Standard status
Active
Size
3,225 SF
Lot size
0.34 Acres
Taxes and HOA fees
Tax Description
Bk 0405 Pg 558
Tax Annual Amount
7393
Legal Description
Bk 0405 Pg 558
Amenities
covered drive-through
patient waiting area
exam rooms
x-ray room
ADA restrooms
nurses station
lab
storage space
Building Details
Year built
1970
Floors in Building
1
Listing Agency:
TM REALTORS
(662) 842-3844
Listed By:
Mikey Hunter · License #S-56843
(662) 842-3844
Added: Aug 19, 2025
Changed: Aug 19
Last Checked: Aug 25 at 12:06AM
MLS# 25-2936
Copyright © 2026 Northeast Mississippi Board of Realtors. 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.
This 3,225-square-foot masonry medical office, built in 1970, is arranged for patient-facing healthcare operations. The interior includes a waiting area, check-in office, 10 exam rooms or offices, an x-ray room, ADA restrooms, nurses station, lab, and a larger room suitable for examination or storage. A covered drive-through adds vehicle access, while the property includes a 23-space asphalt parking lot on 0.34 acres.
The property is in Tupelo, MS 38801, near North Mississippi Medical Center, a healthcare provider serving more than 40 counties. Medical offices, national pharmacies, and restaurants are located in the surrounding area.
The property is in Tupelo, MS 38801, near North Mississippi Medical Center, a healthcare provider serving more than 40 counties. Medical offices, national pharmacies, and restaurants are located in the surrounding area.
Key Highlights
- 3,225‑square‑foot medical office on 0.34 acres
- 10 exam rooms or offices plus waiting, check‑in, lab, and nurses station
- Covered drive‑through and 23‑space asphalt parking lot
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
$30,134
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
6.34%
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%
$602,680
$602.7K
Cap Rate 7%
$430,486
$430.5K
Cap Rate 9%
$334,822
$334.8K
Market Conditions
NOI Build-Up for 3,225 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
$56.1K $17.40/SF
− Vacancy
−$5.9K −$1.83/SF
EGI
$50.2K $15.57/SF
− OpEx
−$20.1K −$6.23/SF
NOI
$30.1K $9.34/SF
Area
Lee County, MS
Vacancy
10.50%
Lease Rate
$17.40 /SF/Yr
Expense Ratio
40.00%
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%
$602,680
Cap Rate 7%
$430,486
Cap Rate 9%
$334,822
Alternative Uses
Best Use
Healthcare Medical
$430.5K
$376.7K – $502.2K
NOI $30,134 @ 7.0% cap · market cap 6.34%
Second Best
Office B
$404.3K
$353.7K – $471.7K
NOI $28,299 @ 7.0% cap · market cap 5.96%
Theoretical Best
Office A
$605.7K
$530.0K – $706.6K
NOI $42,397 @ 7.0% cap · market cap 8.93%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
77
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 38801, MS
29,795
Population
13,717
Households
2.2
Avg Household Size
38
Median Age
29%
College-Educated
86%
High-School Grad
73.0 sq mi
ZIP Area
408
Density / Sq Mi
$63,447
Median Household Income
$35,596
Median Earnings
$954
Median Rent
$187,600
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?
Medical Office Space - Masonry facility offers an established clinical layout with covered vehicle access and dedicated asphalt parking.
Where is this medical office space located?
The property is located at Tupelo, MS.
What is the asking price?
The asking price for this property is $475,000.
What are key features of this property?
This property features: 3,225‑square‑foot medical office on 0.34 acres; 10 exam rooms or offices plus waiting, check‑in, lab, and nurses station; Covered drive‑through and 23‑space asphalt parking lot
