Two-Story Restaurant Building with Commercial
For Sale
$2,970,000
862 Lafayette Street, Cape Coral, FL 33904
CommercialSale, Cape Coral, FL
Property Size17,500 SF
Lot Size0.90 Acres
Price / SF$169.71
Days on Market450
Property Features for 862 Lafayette Street
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning description
SC
Directions
Cape Coral, 1 block south of Cape Coral Parkway, 1 block east of Coronado Parkway.
Subdivision
CC11 - Cape Coral Unit 1, 2, 4-6
Special listing conditions
Auction
Standard status
Active
APN
18-45-24-C1-00052.0590
Lot size
0.90 Acres
Taxes and HOA fees
Tax Year
2024
Tax Description
CAPE CORAL UNIT 6 PT.3 BLK.52 PB 11 PG 77 LOTS 55 THRU 62 and CAPE CORAL UNIT 6 PART 3 BLK.52 PB 11 PG 77 LOTS 36 THRU 39
Tax Annual Amount
22133
Legal Description
CAPE CORAL UNIT 6 PT.3 BLK.52 PB 11 PG 77 LOTS 55 THRU 62 and CAPE CORAL UNIT 6 PART 3 BLK.52 PB 11 PG 77 LOTS 36 THRU 39
Building Details
Year built
2002
Floors in Building
2
Listing Agency:
Cornerstone Coastal Properties
(239) 989-0111
Listed By:
Daryl Simms · License #258026217
(239) 202-1801
Added: Jun 30, 2025
Changed: Aug 25
Last Checked: Sep 22 at 12:06PM
MLS# 225058810
Copyright © 2026 Florida Gulf Coast Multiple Listing Service, Inc. 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 two-story restaurant property encompasses 17,500+ square feet on 0.8955 acres and includes two commercial kitchens, a butcher room, six walk-in coolers, and three walk-in freezers. Phase-3 power, multiple restrooms, and existing food-service fixtures support a substantial operating layout. A second-floor office includes a small balcony overlooking the main shopping area, while the large screened patio area has power shutters and kitchen infrastructure. The building was constructed in 2002.
The offering includes 862 Lafayette Street, along with 859 Miramar Street for a separate southern access point and additional parking. The property is located one block south of Cape Coral Parkway and one block east of Coronado Parkway in downtown Cape Coral. It falls within the SC South Cape Zoning District, the CRA, and the South Cape Hospitality & Entertainment Area. Nearby residential development includes 327 units at The Cove on 47th and 82 units at Madison Square, with additional projects identified in the surrounding area.
The offering includes 862 Lafayette Street, along with 859 Miramar Street for a separate southern access point and additional parking. The property is located one block south of Cape Coral Parkway and one block east of Coronado Parkway in downtown Cape Coral. It falls within the SC South Cape Zoning District, the CRA, and the South Cape Hospitality & Entertainment Area. Nearby residential development includes 327 units at The Cove on 47th and 82 units at Madison Square, with additional projects identified in the surrounding area.
Key Highlights
- 17,500+ square feet on 0.8955 acres
- Two commercial kitchens, a butcher room, 6 walk‑in coolers, and 3 walk‑in freezers
- Phase‑3 power and multiple restrooms
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
$159,752
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
5.38%
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%
$3,195,040
$3.2M
Cap Rate 7%
$2,282,171
$2.3M
Cap Rate 9%
$1,775,022
$1.8M
Market Conditions
NOI Build-Up for 17,500 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
$241.5K $13.80/SF
− Vacancy
−$13.3K −$0.76/SF
EGI
$228.2K $13.04/SF
− OpEx
−$68.5K −$3.91/SF
NOI
$159.8K $9.13/SF
Area
Cape Coral, FL
Vacancy
5.50%
Lease Rate
$13.80 /SF/Yr
Expense Ratio
30.00%
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%
$3,195,040
Cap Rate 7%
$2,282,171
Cap Rate 9%
$1,775,022
Alternative Uses
Best Use
Specialty Retail
$3.97M
$3.47M – $4.63M
NOI $277,830 @ 7.0% cap · market cap 9.35%
Second Best
Industrial
$2.28M
$2.00M – $2.66M
NOI $159,752 @ 7.0% cap · market cap 5.38%
Theoretical Best
Office A
$4.54M
$3.97M – $5.30M
NOI $317,856 @ 7.0% cap · market cap 10.70%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
2,280
Businesses Nearby
203k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 43%
Dining 30%
Groceries 14%
Home Improvements & Furnishings 8%
Winn-Dixie
Groceries
28,327 visits/mo
0.3 miles
McDonald's
Dining
18,781 visits/mo
0.4 miles
7-Eleven
Shops & Services
18,620 visits/mo
0.4 miles
Starbucks
Dining
16,098 visits/mo
0.1 miles
Vision Ace Hardware
Home Improvements & Furnishings
14,318 visits/mo
0.2 miles
Demographics for 33904, FL
32,029
Population
20,401
Households
1.6
Avg Household Size
56
Median Age
29%
College-Educated
95%
High-School Grad
9.7 sq mi
ZIP Area
3,302
Density / Sq Mi
$66,933
Median Household Income
$43,829
Median Earnings
$1,665
Median Rent
$347,100
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 South region
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Positioned in the South Cape Zoning District, the property includes multiple restrooms and extensive commercial food-service infrastructure.
Where is this conventional restaurant located?
The property is located at 862 Lafayette Street Cape Coral, FL.
What is the asking price?
The asking price for this property is $2,970,000.
What are key features of this property?
This property features: 17,500+ square feet on 0.8955 acres; Two commercial kitchens, a butcher room, 6 walk‑in coolers, and 3 walk‑in freezers; Phase‑3 power and multiple restrooms
