Restaurant with Coffee
For Sale
$599,000
2226 Navajo Boulevard, Holbrook, AZ 86025
Commercial Sale, Holbrook, AZ
Property Size1,645 SF
Lot Size0.14 Acres
Price / SF$364.13
Days on Market246
Property Features for 2226 Navajo Boulevard
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
C-2
Subdivision
Holbrook Unsub
Directions
Exit 1-40 Navajo Blvd S. to 2226 Studio 66
Standard status
Active
APN
109-25-228
Size
1,645 SF
Lot size
0.14 Acres
Taxes and HOA fees
Tax Description
SECTION 29,T18N,R21E:BEG MOST NLY COR LOT 12, BLK 3, MESA BONITASUBD;TH N39DG44'E 50';TH S50DG16'E 97.2'; TH S39DG44'W 50';TH N50DG16'W 97.2'TPOB ALSO THAT PORTION OF ABANDONED HWY R/W, BEING ASTRIP 25' WIDE LYING BETWEEN ABOVE PARCEL & PRESENT HWY R/W-PERRESOLUTION 81-3
Tax Annual Amount
733
Legal Description
SECTION 29,T18N,R21E:BEG MOST NLY COR LOT 12, BLK 3, MESA BONITASUBD;TH N39DG44'E 50';TH S50DG16'E 97.2'; TH S39DG44'W 50';TH N50DG16'W 97.2'TPOB ALSO THAT PORTION OF ABANDONED HWY R/W, BEING ASTRIP 25' WIDE LYING BETWEEN ABOVE PARCEL & PRESENT HWY R/W-PERRESOLUTION 81-3
Utilities
Cooling system
Evaporative Cooling
Building Details
Year built
1969
Roof type
Metal
Listing Agency:
SEI Real Estate Professionals - Holbrook
(888) 973-4737
Listed By:
Yvonne Larson · License #SA626193000
(928) 241-1229
Added: Jan 20
Changed: Sep 3
Last Checked: Sep 23 at 12:06AM
MLS# 259212
Copyright © 2026 White Mountain Association 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 1,645-square-foot restaurant property combines an operating kitchen with a dedicated coffee bar and customer-facing dining space. The building includes business equipment and features a metal roof, evaporative cooling, and a lighted exterior coffee sign. Its interior and exterior incorporate rustic Route 66-themed elements, while the existing layout supports both dine-in and drive-through service.
Located at 2226 Navajo Boulevard in Holbrook, the property fronts Old Route 66 and offers direct highway access. The building was constructed in 1969 and occupies a 0.14-acre site. The existing restaurant improvements and equipment provide a defined framework for continued food-service use or a new culinary concept.
Located at 2226 Navajo Boulevard in Holbrook, the property fronts Old Route 66 and offers direct highway access. The building was constructed in 1969 and occupies a 0.14-acre site. The existing restaurant improvements and equipment provide a defined framework for continued food-service use or a new culinary concept.
Key Highlights
- 1,645 SF restaurant building on a 0.14‑acre site
- Frontage on Old Route 66 with highway access
- Operational restaurant kitchen and dedicated coffee bar
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
$31,292
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
5.22%
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%
$625,840
$625.8K
Cap Rate 7%
$447,029
$447.0K
Cap Rate 9%
$347,689
$347.7K
Market Conditions
NOI Build-Up for 1,645 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
$42.8K $26.04/SF
− Vacancy
−$1.1K −$0.68/SF
EGI
$41.7K $25.36/SF
− OpEx
−$10.4K −$6.34/SF
NOI
$31.3K $19.02/SF
Area
Navajo County, AZ
Vacancy
2.60%
Lease Rate
$26.04 /SF/Yr
Expense Ratio
25.00%
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%
$625,840
Cap Rate 7%
$447,029
Cap Rate 9%
$347,689
Alternative Uses
Best Use
Specialty Retail
$447.0K
$391.2K – $521.5K
NOI $31,292 @ 7.0% cap · market cap 5.22%
Second Best
—
—
no second resolved use
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
145
Businesses Nearby
28k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 42%
Dining 38%
Hotels & Casinos 20%
Circle K
Shops & Services
11,941 visits/mo
0.5 miles
Burger King
Dining
10,600 visits/mo
0.5 miles
Best Western Arizonian Inn
Hotels & Casinos
1,736 visits/mo
0.4 miles
Days Inn Holbrook
Hotels & Casinos
1,531 visits/mo
0.5 miles
Motel 6 Holbrook, AZ
Hotels & Casinos
1,260 visits/mo
0.4 miles
Demographics for 86025, AZ
5,358
Population
1,921
Households
2.8
Avg Household Size
37
Median Age
13%
College-Educated
88%
High-School Grad
737.1 sq mi
ZIP Area
7
Density / Sq Mi
$64,167
Median Household Income
$40,913
Median Earnings
$940
Median Rent
$144,600
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Highway-frontage restaurant with an operational kitchen, coffee bar, and drive-through access potential.
Where is this conventional restaurant located?
The property is located at 2226 Navajo Boulevard Holbrook, AZ.
What is the asking price?
The asking price for this property is $599,000.
What are key features of this property?
This property features: 1,645 SF restaurant building on a 0.14‑acre site; Frontage on Old Route 66 with highway access; Operational restaurant kitchen and dedicated coffee bar
