Income-Producing Mixed-Use
For Sale
$1,975,000
1080 KILAUEA AVE, Hilo, HI 96720
Mixed-use property with lease in place until 2029.
Property Size9,455 SF
Price / SF$208.88
Days on Market165
Property Features for 1080 KILAUEA AVE
General Information
Standard status
Active
Size
9,455 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$12,846
Building Details
Year Built
1973
Listing Agency:
IOKUA REAL ESTATE
(808) 934-7050
Listed By:
MISTI R TYRIN · License #RB-22375
Source:
Corcoran
Added: Mar 10
Changed: Aug 19
Last Checked: Aug 20 at 4:57AM
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 IOKUA REAL ESTATE
Investment Insights
Based on property information with market context.
This mixed-use property presents an opportunity for investors or owner-occupants in a high-traffic, highly visible area. The property is currently occupied by a single tenant with a lease extending through February 1, 2029, but it has previously accommodated multiple tenants. Parking is available at both the front and back of the building. The property features separate electric meters, facilitating straightforward leasing to multiple tenants. The front office area and back warehouse with a mezzanine are conveniently separated, with interior access via a hallway to two half bathrooms. The front office space is configured with seven private offices, a common area with cubicles, and a break room. Recent updates include a new roof installed in March 2024, a new air conditioning compressor in September 2018, and 135 PV panels with 3 inverters installed in December 2014. The property size is approximately 9455 square feet.
Key Highlights
- Solid income‑producing property with a lease in place through February 1, 2029.
- High‑traffic, highly visible location** suitable for investors or owner‑occupants.
- Parking available in both the front and back of the building.
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
$178,434
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
9.03%
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%
$3,568,680
$3.6M
Cap Rate 7%
$2,549,057
$2.5M
Cap Rate 9%
$1,982,600
$2.0M
Market Conditions
NOI Build-Up for 9,455 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
$312.0K $33.00/SF
− Vacancy
−$26.5K −$2.81/SF
EGI
$285.5K $30.20/SF
− OpEx
−$107.1K −$11.32/SF
NOI
$178.4K $18.87/SF
Area
Hawaii County, HI
Vacancy
8.50%
Lease Rate
$33.00 /SF/Yr
Expense Ratio
37.50%
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%
$3,568,680
Cap Rate 7%
$2,549,057
Cap Rate 9%
$1,982,600
Alternative Uses
Best Use
Mixed Use
$2.55M
$2.23M – $2.97M
NOI $178,434 @ 7.0% cap · market cap 9.03%
Second Best
Warehouse
$2.12M
$1.86M – $2.48M
NOI $148,643 @ 7.0% cap · market cap 7.53%
Theoretical Best
Specialty Retail
$3.23M
$2.82M – $3.76M
NOI $225,876 @ 7.0% cap · market cap 11.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Demographics for 96720, HI
46,615
Population
19,826
Households
2.4
Avg Household Size
43
Median Age
34%
College-Educated
95%
High-School Grad
287.8 sq mi
ZIP Area
162
Density / Sq Mi
$78,537
Median Household Income
$41,268
Median Earnings
$1,346
Median Rent
$458,100
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use property with lease in place until 2029.
Where is this mixed-use property located?
The property is located at 1080 KILAUEA AVE Hilo, HI.
What is the asking price?
The asking price for this property is $1,975,000.
What are key features of this property?
This property features: Solid income‑producing property with a lease in place through February 1, 2029.; High‑traffic, highly visible location** suitable for investors or owner‑occupants.; Parking available in both the front and back of the building.
