Commercial Property Seller - All new to me

[Jonathan Carter]

So today was exciting, I spoke with my first seller who sounded motivated :). I was driving for dollars and found a home with yard work needed. Called the owner and had a good convo. I made an offer on the house which he was not really thrilled about but he didn't say no.

He also mentioned he owns a small office building and is more inclined to sell that. (says "I'm not doing anything with it"). I'm not sure how to value commercial real estate and would like some help.

It would be awesome if an investor in the area would like to partner with me on this potential deal?

Location near: 1100 Dresser Ct, Raleigh, NC 27609 

1,200 sf

built 1980

Tax assessment: $130,000k

building class B (I think)

was last leased for $850 included most not all of the space (~900 sf)

Whats a good starting offer? 

I'm about to start researching now....but what are some obvious things to consider? Does the owner pay utils for office building? if so I would need to be well below the 1% rule.

Keywords: Durham, Raleigh, Chapel hill