Operational Bar and Event
New
For Sale
$895,000
114 W Newgrove, Lancaster, CA 93534
Licensed hospitality property combining wine production, dining, private club space, and indoor-outdoor guest areas.
Property Size2,500 SF
Days on Market5
Property Features for 114 W Newgrove
General Information
Standard status
Active
Size
2,500 SF
Property subtype
Commercial
Restaurant
Hood Type
Type I
Commercial Hood
Yes
Patio
Yes
Equipment Included
Yes
Liquor License
Yes
Additional Details
Business Included
Yes
Utilities to Site
Yes
Building Details
Building Size
2,500 SF
Year Built
1953
Buildings
2
Listing Agency:
ESO Realty Inc.
(661) 350-8115
Listed By:
Mari Cardona · License #02010618
Source:
Elliman
Added: Aug 18
Changed: Aug 20
Last Checked: Aug 21 at 8:56AM
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 ESO Realty Inc.
Investment Insights
Based on property information with market context.
This operational hospitality property combines a tasting room, private wine club room, two bars, a certified commercial kitchen, and an on-site bonded winery. The 2,500-square-foot tasting room includes a vineyard mural, while the club room has cave-inspired finishes. A Cruvinet multi-spout nitrogen-preserved wine dispensing system serves the chef’s table area, and the kitchen includes a Type 1 hood. The property also includes winery production equipment and multiple floor sinks.
Outdoor amenities include the Baja Bar patio, which accommodates 200+ guests. Infrastructure includes 600-amp and 400-amp electrical service and commercial gas. The business has an active ABC license, TTB federal bond, DoorDash delivery, 100+ wine club members, and recurring Friday, Saturday, and Sunday programming. A documented SMS and email marketing system with conversion data is also in place.
Outdoor amenities include the Baja Bar patio, which accommodates 200+ guests. Infrastructure includes 600-amp and 400-amp electrical service and commercial gas. The business has an active ABC license, TTB federal bond, DoorDash delivery, 100+ wine club members, and recurring Friday, Saturday, and Sunday programming. A documented SMS and email marketing system with conversion data is also in place.
Key Highlights
- 2,500 SF tasting room with vineyard mural
- Certified commercial kitchen with Type 1 hood
- Federally bonded on‑site winery with production equipment
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
$46,778
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
5.23%
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%
$935,560
$935.6K
Cap Rate 7%
$668,257
$668.3K
Cap Rate 9%
$519,756
$519.8K
Market Conditions
NOI Build-Up for 2,500 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
$66.0K $26.40/SF
− Vacancy
−$3.6K −$1.45/SF
EGI
$62.4K $24.95/SF
− OpEx
−$15.6K −$6.24/SF
NOI
$46.8K $18.71/SF
Area
Lancaster, CA
Vacancy
5.50%
Lease Rate
$26.40 /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%
$935,560
Cap Rate 7%
$668,257
Cap Rate 9%
$519,756
Alternative Uses
Best Use
Specialty Retail
$668.3K
$584.7K – $779.6K
NOI $46,778 @ 7.0% cap · market cap 5.23%
Second Best
Industrial
$434.7K
$380.4K – $507.2K
NOI $30,430 @ 7.0% cap · market cap 3.40%
Theoretical Best
Office A
$785.3K
$687.1K – $916.2K
NOI $54,970 @ 7.0% cap · market cap 6.14%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Utilities to site
Yes
Commercial hood
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
1,146
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 93534, CA
43,906
Population
16,343
Households
2.7
Avg Household Size
34
Median Age
18%
College-Educated
81%
High-School Grad
19.0 sq mi
ZIP Area
2,311
Density / Sq Mi
$58,891
Median Household Income
$44,566
Median Earnings
$1,513
Median Rent
$339,900
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- BeX Bar & Grill — 706 W Lancaster Blvd, Lancaster, CA 93534
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- Happy Hours Bar & Grill on the BLVD — 741 W Lancaster Blvd, Lancaster, CA 93534
Frequently Asked Questions
What type of property is this?
Bar & Pub - Licensed hospitality property combining wine production, dining, private club space, and indoor-outdoor guest areas.
Where is this bar & pub located?
The property is located at 114 W Newgrove Lancaster, CA.
What is the asking price?
The asking price for this property is $895,000.
What are key features of this property?
This property features: 2,500 SF tasting room with vineyard mural; Certified commercial kitchen with Type 1 hood; Federally bonded on‑site winery with production equipment
