Retail Property in Seattle
For Sale
$1,250,000
Pending
5622 1st Ave S, Seattle, WA 98108
Retail property for sale, with existing tenant in place.
Property Size3,360 SF
Days on Market459
Property Features for 5622 1st Ave S
General Information
Standard status
Pending
Size
3,360 SF
Property subtype
Commercial
Building Details
Year Built
1954
Listing Agency:
SPRINGER REAL ESTATE, LLC
(206) 486-3114
Listed By:
JORDAN SPRINGER
Source:
Corcoran
Added: May 8, 2025
Changed: Aug 8
Last Checked: Aug 8 at 4:47AM
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 SPRINGER REAL ESTATE, LLC
Investment Insights
Based on property information with market context.
A retail property is available for sale. The property has a size of 3360 square feet and is suitable for grocery and convenience stores, individual retail properties, and general retail purposes. The adjacent parcel is also available for sale, totaling 0.81 acres. An existing tenant occupies the convenience store.
Key Highlights
- Adjacent parcel available for sale, totaling 0.81 acres.
- Existing tenant in convenience store.
- Year built: 1954.
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
$56,609
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
4.53%
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%
$1,132,180
$1.1M
Cap Rate 7%
$808,700
$808.7K
Cap Rate 9%
$628,989
$629.0K
Market Conditions
NOI Build-Up for 3,360 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
$77.4K $23.04/SF
− Vacancy
−$1.9K −$0.58/SF
EGI
$75.5K $22.46/SF
− OpEx
−$18.9K −$5.62/SF
NOI
$56.6K $16.85/SF
Area
Seattle, WA
Vacancy
2.50%
Lease Rate
$23.04 /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%
$1,132,180
Cap Rate 7%
$808,700
Cap Rate 9%
$628,989
Alternative Uses
Best Use
Specialty Retail
$808.7K
$707.6K – $943.5K
NOI $56,609 @ 7.0% cap · market cap 4.53%
Second Best
Retail
$715.7K
$626.3K – $835.0K
NOI $50,100 @ 7.0% cap · market cap 4.01%
Theoretical Best
Office A
$1.01M
$884.5K – $1.18M
NOI $70,761 @ 7.0% cap · market cap 5.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,316
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 98108, WA
25,009
Population
9,096
Households
2.7
Avg Household Size
37
Median Age
37%
College-Educated
83%
High-School Grad
7.4 sq mi
ZIP Area
3,380
Density / Sq Mi
$90,806
Median Household Income
$48,703
Median Earnings
$1,463
Median Rent
$693,500
Median Home Value
Market
Vacancy Rate% for Retail in Seattle, WA
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Grocery and convenience store - Retail property for sale, with existing tenant in place.
Where is this grocery and convenience store located?
The property is located at 5622 1st Ave S Seattle, WA.
What is the asking price?
The asking price for this property is $1,250,000.
What are key features of this property?
This property features: Adjacent parcel available for sale, totaling 0.81 acres.; Existing tenant in convenience store.; Year built: 1954.
