Drive-Through Restaurant with
For Sale
$329,900
1215 W Jefferson, Kokomo, IN 46901
Renovated restaurant includes a drive-up window, outdoor dining, and dedicated storage improvements.
Property Size3,600 SF
Price / SF$91.64
Days on Market9
Property Features for 1215 W Jefferson
General Information
Standard status
Active
Size
3,600 SF
Building Details
Year Built
1951
Listing Agency:
The Wyman Group
(765) 854-1234
Listed By:
Paul Wyman · License #RB14023441
Source:
Spencerchildersgroup
Added: Aug 21
Changed: Aug 29
Last Checked: Aug 25 at 5:30AM
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 The Wyman Group
Investment Insights
Based on property information with market context.
This renovated drive-through restaurant includes a functioning drive-up window, an updated interior layout, and restaurant equipment. The property also offers outdoor dining with a fenced area for guests accompanied by pets, along with a gazebo positioned along the Heritage Trail. A separate 2,400-square-foot storage hut expands the on-site support space.
The property is located at 1215 W Jefferson in Kokomo, Indiana, at the intersection of Jefferson and Philips. A large parking area supports customer access, while the existing restaurant improvements and operational business setup provide a complete food-service property configuration.
The property is located at 1215 W Jefferson in Kokomo, Indiana, at the intersection of Jefferson and Philips. A large parking area supports customer access, while the existing restaurant improvements and operational business setup provide a complete food-service property configuration.
Key Highlights
- Functioning drive‑up window
- 2,400‑square‑foot storage hut
- Outdoor dining area with fenced pet‑friendly space
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
$15,257
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
4.62%
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%
$305,140
$305.1K
Cap Rate 7%
$217,957
$218.0K
Cap Rate 9%
$169,522
$169.5K
Market Conditions
NOI Build-Up for 3,600 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
$21.2K $5.88/SF
− Vacancy
−$826 −$0.23/SF
EGI
$20.3K $5.65/SF
− OpEx
−$5.1K −$1.41/SF
NOI
$15.3K $4.24/SF
Area
Howard County, IN
Vacancy
3.90%
Lease Rate
$5.88 /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%
$305,140
Cap Rate 7%
$217,957
Cap Rate 9%
$169,522
Alternative Uses
Best Use
Specialty Retail
$218.0K
$190.7K – $254.3K
NOI $15,257 @ 7.0% cap · market cap 4.62%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$2.83M
$2.48M – $3.31M
NOI $198,450 @ 7.0% cap · market cap 60.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
183
Businesses Nearby
65k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Home Improvements & Furnishings 73%
Groceries 17%
Shops & Services 10%
Menards
Home Improvements & Furnishings
47,959 visits/mo
0.4 miles
Gordon Food Service
Groceries
10,943 visits/mo
0.4 miles
O'Reilly Auto Parts
Shops & Services
4,702 visits/mo
0.5 miles
Tire Barn
Shops & Services
1,201 visits/mo
0.4 miles
Speedway
Shops & Services
686 visits/mo
0.4 miles
Demographics for 46901, IN
38,072
Population
18,307
Households
2.1
Avg Household Size
41
Median Age
17%
College-Educated
90%
High-School Grad
140.9 sq mi
ZIP Area
270
Density / Sq Mi
$61,041
Median Household Income
$37,107
Median Earnings
$869
Median Rent
$131,700
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Drive through restaurant - Renovated restaurant includes a drive-up window, outdoor dining, and dedicated storage improvements.
Where is this drive through restaurant located?
The property is located at 1215 W Jefferson Kokomo, IN.
What is the asking price?
The asking price for this property is $329,900.
What are key features of this property?
This property features: Functioning drive‑up window; 2,400‑square‑foot storage hut; Outdoor dining area with fenced pet‑friendly space
