Retail Buildings with Income
For Sale
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1039 Niles St, Bakersfield, CA
Two commercial buildings totaling approximately 3,500 SF for sale.
Property Size3,500 SF
Lot Size0.17 Acres
Price / SF$150
Days on Market384
Property Features for 1039 Niles St
General Information
Standard status
Active
Size
3,500 SF
Lot size
0.17 Acres
Property subtype
RETAIL
Listing Agency:
KW Commercial | Central California
(559) 302-8698
Listed By:
Kevin Land · License #01516541
(559) 359-4035
Source:
Moodyscre
Added: Aug 6, 2025
Changed: Aug 9
Last Checked: Aug 23 at 7:55AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of KW Commercial | Central California
Investment Insights
Based on property information with market context.
This property features two commercial buildings, comprising four units and totaling approximately 3,500 square feet. The property benefits from a corner location with limited competition in a strategic trade area. The buildings are of quality construction, well-maintained, and offer economical spaces. Ample street parking is available, and the location provides easy access to CA-178, surrounding major corridors, and downtown. One of the buildings has an existing tenant. The property is located in a secure, private, and established location with a quality tenant mix. This presents an owner-user opportunity with value-add potential, requiring little management or maintenance.
Key Highlights
- Owner User Opportunity | Value Add Potential
- Corner Location w/ Limited Competition | Strategic Trade Area
- Ample Street Parking & Easy Access to CA- 178
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
$33,516
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
6.38%
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%
$670,320
$670.3K
Cap Rate 7%
$478,800
$478.8K
Cap Rate 9%
$372,400
$372.4K
Market Conditions
NOI Build-Up for 3,500 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
$50.4K $14.40/SF
− Vacancy
−$2.5K −$0.72/SF
EGI
$47.9K $13.68/SF
− OpEx
−$14.4K −$4.10/SF
NOI
$33.5K $9.58/SF
Area
Bakersfield, CA
Vacancy
5.00%
Lease Rate
$14.40 /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%
$670,320
Cap Rate 7%
$478,800
Cap Rate 9%
$372,400
Alternative Uses
Best Use
Retail
$478.8K
$419.0K – $558.6K
NOI $33,516 @ 7.0% cap · market cap 6.38%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$928.8K
$812.7K – $1.08M
NOI $65,016 @ 7.0% cap · market cap 12.38%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
666
Businesses Nearby
30k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Bank of America
Shops & Services
11,050 visits/mo
0.3 miles
ARCO
Shops & Services
6,737 visits/mo
0.1 miles
AMPM
Shops & Services
4,700 visits/mo
0.1 miles
76
Shops & Services
4,619 visits/mo
0.3 miles
Watermill Express
Shops & Services
2,886 visits/mo
0.4 miles
Market
Vacancy Rate% for Retail in Bakersfield, CA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Storefront property - Two commercial buildings totaling approximately 3,500 SF for sale.
Where is this storefront property located?
The property is located at 1039 Niles St Bakersfield, CA.
What is the asking price?
The asking price for this property is $525,000.
What are key features of this property?
This property features: Owner User Opportunity | Value Add Potential; Corner Location w/ Limited Competition | Strategic Trade Area; Ample Street Parking & Easy Access to CA- 178
