Owner Occupied Commercial Property - Help me Evaluate this deal!

[Adryan Lado]

Hello Bigger Pockets!

My brother and I own a clothing manufacturing business here in Southern California. We are currently in the process of purchasing a business park and plan to submit an offer here soon. We would love to have any input or feedback on what you think about the details. Our primary intention is to own the property  to operate our business from it. The real estate appreciation and investment aspect is only a bonus!

Subject Property: Commercial Business Park

Asking Price: $4 Million

Our business will occupy 51%. We will be financing this with 10% down and the rest through an SBA loan at a blended rate of roughly 3.35 interest

31,000 Sq Feet
17,000 - Executive Office Suits (22 units)

Rent Roll:
Offices - $5,200
7 Units are being rented by 5 tenants
Parking - $500
Gross Revenue: $5,700

When we purchase the property, we will use all of the industrial space in the park and will occupy an additional 7 office units. This means there will be 10 office units that are delivered vacant. Our business will have staff available to property manage and get tenants for the remaining units.

Why we like this property:
Cost Per Square Ft Comparison
Subject Property: $1.30 per square foot
Other Commercial Properties: $2.30 per sq foot (Better construction / High Ceilings)

1.) New Metal Construction on Industrial Building

This building was built in 2019 and was built for light manufacturing (15' ceilings) using metal construction which is cheaper then other construction methods. It has no obstructions in the warehouse and would require no modifications which would reduce our move-in expenses.
2.) The office units are executive suits and are about 600 square feet.

***My question is***

#1. What are the cons of a metal industrial building? 

#2. Is $130 per a square foot a fair price to pay for this type of property that includes a combination of industrial property constructed of metal and executive office suites that are generic in nature?

#3. We will be opening up a new LLC which our manufacturing business will rent from. If our business rents the property at fair market value, this means the business park would be bringing in gross rent of $21,000 while still having 10 office units vacant. If we can get these office units occupied, we estimate bringing in $28,000 in gross revenue per month.

#4. With the metal construction(cheaper price per square foot) would you say $4 million is a fair asking price to pay? I figured that we could get this business park to bring in $336,000 a year. If I estimate 25-30% toward expenses, I figured this would be valued at $4,700,000-$5,000,000 based upon a 5 cap.

I would love to hear everyones thoughts!