Fall Office Sales Study - 2024

Bentonville & West Rogers Submarket
by Butch Gurganus, President and Principal at Focus CRE Group
This report was created to study office sales post pandemic. The study included buildings or portfolios over 20,000 square feet sold from 2021 through October 2024 in Benton and Washington Counties. Please feel free to contact any of our brokers to discuss the report.

Executive Summary

Take Aways
Benton County is by far the leader in office sale transactions with 88.33% of the sales volume by square feet and 76.19% by number of transactions.
Washington County produced a higher per square foot sales price coming in at $214 per square foot. This is due to the fact that three of the five sales were User sales and one was a single tenant NNN sale, both of which tend to attract higher sale prices.
Multi-Tenant sales equated to 65% percent of the sales by square feet with a weighted average sale price of $127 per square foot.
Approximately 70% of the Multi-Tenant sales by square footage were Class B properties ranging from $113 to $115 per square foot.
Single Tenant NNN leased properties topped the sales prices with a $385 psf weighted average.
Sales by County
Sales Per Square Foot

Sale Comps over 20,000 SF ( 2021-2024)

Listed for Sale Comps

Listed office properties for sale greater than 20,000 square feet in NWA were included in the search. Excluding 809 SW A Street in downtown Bentonville, asking prices range from $125 psf to $193 psf. Downtown Bentonville prices are exponentially greater than the surrounding area.
The best value of the listed properties is 710 W. Roselawn. The property is $125 psf with a parking ratio of approximately 10 spaces per 1,000 square feet of building. Most building have a ratio of 3.3 / 1,000. However, the location is not the best for the majority of tenants. It is a perfect building for a corporate headquarters.
Most buyers must evaluate new construction compared to the purchase of an existing building and the required retrofit cost to make the building leasable to multiple tenants. Generally, it is more cost effective to retrofit a building than build new.
Contact Butch Gurganus 479.644.7266 or butch@focuscregroup.com for more details
1005 Beau Terre Drive, Suite 300, Bentonville, AR 72712
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