_cap rates explained
Orlando industrial cap rates
Recent Orlando industrial sales with disclosed cap rates traded between 5.00% and 5.85%. In Q3 2026, a 546,940 SF central Orlando small-bay portfolio sold at an implied 5.36% cap rate and a Silver Star/Apopka sale closed at 5.00%. Your building's rate depends on its lease, tenant, age, clear height and location.
A cap rate is a building's yearly net operating income divided by its price. Buyers use it to compare deals, and owners use it to see what their income is worth today.
- 5.36%
- Implied cap rate$103.0M central Orlando small-bay portfolio, closed Sept. 30, 2026
- 5.00%
- Cap rate$53.5M Silver Star Commerce Center, closed July 2, 2026
- 5.85%
- Cap rate2901 W. Airport Blvd., Sanford, $9,750,000, March 2026
- 7.2%
- Market cap rateSanford industrial, October 2026 report
Sale figures from the Q3 2026 Orlando industrial report and the Sanford industrial report. Data: a proprietary blend of market data sources compiled by Blackline Research & Market Intelligence. Cap rates are shown only where disclosed.
_the math
How do you calculate a cap rate?
Divide net operating income by price. For example, a building earning $500,000 a year in NOI that sells for $10,000,000 trades at a 5% cap rate. Read the other way, value equals NOI divided by the cap rate.
That is why small income changes matter. Unrecovered expenses, below-market rent or a short lease all lower the income a buyer will pay for.
_what moves the rate
Why do two Orlando buildings trade at different cap rates?
Buyers pay more, meaning a lower cap rate, for income they trust. The usual drivers are:
- Lease term and tenant credit. Long leases with strong tenants price tighter.
- Rent versus market. Below-market rent can mean a low cap rate today and upside later.
- Building quality: age, clear height, loading, parking and outdoor storage.
- Submarket. Low-vacancy areas such as Lake Mary/Sanford and Altamonte/Longwood/Casselberry tend to draw more buyers.
- Size and structure. Multi-tenant small-bay, single-tenant net lease and vacant owner-user buildings are priced in different ways.
_market context
How does the Q3 2026 market affect cap rates?
Orlando industrial vacancy reached 9.7% in Q3 2026 while average asking rent rose to $10.61 per SF NNN. Investors kept buying, and the three largest sales traded between $188 and $230 per SF. See all 13 submarkets in the Q3 2026 report or browse all market reports.
_your building
What cap rate would my building sell at?
It depends on your leases, so a market average is only a starting point. A free Broker Opinion of Value gives you a written value range based on your income and recent comparable sales. If you are ready to sell, see how investment sales work at Blackline.
_next steps
Put a number on your building.
_questions
Frequently asked questions
What is a good cap rate for Orlando industrial property?
There is no single good rate. Recent Orlando sales with disclosed cap rates traded between 5.00% and 5.85%, including an implied 5.36% on a central Orlando small-bay portfolio and 5.00% on a Silver Star/Apopka sale in Q3 2026.
What is the cap rate in Sanford?
The Sanford industrial market cap rate is 7.2% in the October 2026 report. The featured sale at 2901 W. Airport Blvd. traded at a 5.85% cap rate in March 2026.
Does a lower cap rate mean a higher price?
Yes. For the same income, a lower cap rate means a higher value. A building with $500,000 of NOI is worth $10,000,000 at a 5% cap rate and less at any higher rate.
Do vacant buildings have a cap rate?
Not in the usual sense. A vacant building has no income yet, so owner-users price it per SF and by what it costs to occupy, and investors price it on the rent they expect to achieve.
How can I find my building's cap rate?
Request a free Broker Opinion of Value. Blackline reviews your leases and income and compares recent sales to give you a written value range. Main office (689) 215-1651.