Freestanding NNN Industrial
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1051 E Broadway Rd, Phoenix, AZ 85040
Freestanding industrial asset structured with an absolute NNN lease and no landlord responsibilities.
Property Size11,580 SF
Price / SF$154.58
Days on Market6
Property Features for 1051 E Broadway Rd
General Information
Standard status
Active
Size
11,580 SF
Property subtype
INDUSTRIAL
Building Details
Buildings
1
Tenancy
Single
Listing Agency:
SRS Real Estate Partners | Tampa
(813) 371-0980
Listed By:
Matthew mousavi · License #CA 01732226
(714) 404-8849
Source:
Moodyscre
Added: Sep 18
Changed: Sep 22
Last Checked: Sep 22 at 3:21PM
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 SRS Real Estate Partners | Tampa
Investment Insights
Based on property information with market context.
The property is a freestanding industrial building totaling 11,580 square feet, offered with fee simple ownership of both the land and improvements. Hawaii Jerk Shop occupies the facility under an absolute NNN lease structure, placing landlord responsibilities at zero.
A new 5-year lease is scheduled to begin at the close of escrow, with two additional 5-year extension options. The agreement includes 2% annual rent increases during the initial term and option periods. The tenant operates a jerky business with products distributed through more than 400 locations and online.
A new 5-year lease is scheduled to begin at the close of escrow, with two additional 5-year extension options. The agreement includes 2% annual rent increases during the initial term and option periods. The tenant operates a jerky business with products distributed through more than 400 locations and online.
Key Highlights
- 11,580‑square‑foot freestanding industrial building
- Fee simple ownership includes land and building
- Absolute NNN lease with zero landlord responsibilities
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
$72,842
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
4.07%
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%
$1,456,840
$1.5M
Cap Rate 7%
$1,040,600
$1.0M
Cap Rate 9%
$809,356
$809.4K
Market Conditions
NOI Build-Up for 11,580 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
$118.1K $10.20/SF
− Vacancy
−$14.1K −$1.21/SF
EGI
$104.1K $8.99/SF
− OpEx
−$31.2K −$2.70/SF
NOI
$72.8K $6.29/SF
Area
Phoenix, AZ
Vacancy
11.90%
Lease Rate
$10.20 /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%
$1,456,840
Cap Rate 7%
$1,040,600
Cap Rate 9%
$809,356
Alternative Uses
Best Use
Industrial
$1.04M
$910.5K – $1.21M
NOI $72,842 @ 7.0% cap · market cap 4.07%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.51M
$3.07M – $4.09M
NOI $245,538 @ 7.0% cap · market cap 13.72%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
412
Businesses Nearby
Explore this area
Business Placement
Demographics for 85040, AZ
33,993
Population
11,962
Households
2.8
Avg Household Size
30
Median Age
15%
College-Educated
69%
High-School Grad
10.1 sq mi
ZIP Area
3,366
Density / Sq Mi
$57,890
Median Household Income
$36,355
Median Earnings
$1,193
Median Rent
$294,800
Median Home Value
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Market
Vacancy Rate% for Industrial in Phoenix, AZ
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Frequently Asked Questions
What type of property is this?
NNN property - Freestanding industrial asset structured with an absolute NNN lease and no landlord responsibilities.
Where is this nnn property located?
The property is located at 1051 E Broadway Rd Phoenix, AZ.
What is the asking price?
The asking price for this property is $1,790,000.
What are key features of this property?
This property features: 11,580‑square‑foot freestanding industrial building; Fee simple ownership includes land and building; Absolute NNN lease with zero landlord responsibilities
