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Coffee Shop with Drive-Through
For Sale
$599,000

2226 Navajo Boulevard, Holbrook, AZ 86025

COMMERCIAL - Holbrook, AZ

Property Size1,645 SF
Lot Size0.14 Acres
Price / SF$364.13
Days on Market200

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
Listed By: Yvonne Larson · License #SA626193000
Added: Jan 20 Changed: Aug 4 Last Checked: Aug 8 at 9:06PM
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 coffee shop and food-service property occupies 0.14 acres and includes a functioning restaurant kitchen, coffee bar, dine-in space, and drive-through capability. The building and business equipment are included, providing an existing setup for continued café or restaurant operations. A lighted exterior coffee sign and rustic interior finishes contribute to the property’s Route 66-themed presentation. Built in 1969, the structure has a metal roof and evaporative cooling.

The property fronts Old Route 66 on Navajo Boulevard in Holbrook, Arizona, providing direct highway exposure and convenient access for both dine-in customers and drive-through traffic. Its combination of food-service infrastructure, coffee-focused improvements, and included equipment supports a range of café and restaurant concepts.

Key Highlights

  • 1,645 SF coffee shop and food‑service property on 0.14 acres
  • Restaurant kitchen and coffee bar included
  • Dine‑in and drive‑through service configuration

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 (±1% cap)
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

Current Use

Studio 66 Cafe Restaurant

Suggested Use

Top Pick Parking Lot & Garage Real Estate Agency Grocery & Convenience Store Garden Center (Bike/Boat/Book/etc) Store Barber Shop

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Lease Details

Yes
Highway access
Yes
Paved road access

Location Intelligence

Trade Area within ½ mile

145
Businesses Nearby
28k
Monthly Visits Nearby
Well-served
Demand for This Use

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

Market

Vacancy Rate% for Retail in West region

7% 2020
6.3% 2021
5.5% 2022
5.3% 2023
5.5% 2024
5.8% 2025
Rey
Questions? Ask Rey
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Similar Off Market Nearby

  • Circle K 101 Mission Ln, Holbrook, AZ 86025
  • Studio 66 Cafe 2226 Navajo Blvd, Holbrook, AZ 86025

Frequently Asked Questions

What type of property is this?
Coffee shop - Established food-service improvements feature a working kitchen, coffee bar, dine-in area, and highway access.
Where is this coffee shop 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 coffee shop and food‑service property on 0.14 acres; Restaurant kitchen and coffee bar included; Dine‑in and drive‑through service configuration
More about this property
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