Hemet Retail Opportunity on
For Sale
$1,500,000
103 E Stetson Ave, Hemet, CA 92543
Retail building on a signalized corner with high visibility.
Property Size3,219 SF
Lot Size0.31 Acres
Price / SF$465.98
Days on Market617
Property Features for 103 E Stetson Ave
General Information
Standard status
Active
Size
3,219 SF
Lot size
0.31 Acres
Listing Agency:
Farnam & Associates Real Estate
(844) 432-7626
Listed By:
Freshta Shalikar · License #01870152
(844) 432-7626
Source:
Exprealty
Added: Dec 7, 2024
Changed: Aug 8
Last Checked: Aug 8 at 1:21PM
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 Farnam & Associates Real Estate
Investment Insights
Based on property information with market context.
This retail building, constructed in 1976, offers a prime commercial opportunity at a signalized corner in Hemet, California. The 3,219 square-foot single-story structure is situated on a 0.31-acre lot and features central heating. The property benefits from its location on a major thoroughfare at the intersection of Stetson Avenue and State Street. It has 25 parking spaces, which translates to 7.77 spaces per 1,000 SF leased. Zoned C2 - General Commercial, the property allows for a wide range of commercial uses. The location is surrounded by established traffic generators, including Stater Bros, CVS Pharmacy, and Dollar General. The property, formerly a bank branch, may offer turn-key adaptability for various uses, including retail owner-users, small investors, or food and beverage operations. The property is located in an Opportunity Zone, potentially offering preferential tax treatment for investors.
Key Highlights
- High Visibility & Accessibility: Located on a major thoroughfare at a signalized intersection ensuring excellent exposure.
- Ample Parking: Features 25 parking spaces providing convenient access for customers.
- Strong Retail Corridor: Surrounded by established traffic generators.
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
$46,140
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
3.08%
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%
$922,800
$922.8K
Cap Rate 7%
$659,143
$659.1K
Cap Rate 9%
$512,667
$512.7K
Market Conditions
NOI Build-Up for 3,219 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
$69.5K $21.60/SF
− Vacancy
−$3.6K −$1.12/SF
EGI
$65.9K $20.48/SF
− OpEx
−$19.8K −$6.14/SF
NOI
$46.1K $14.33/SF
Area
Riverside County, CA
Vacancy
5.20%
Lease Rate
$21.60 /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%
$922,800
Cap Rate 7%
$659,143
Cap Rate 9%
$512,667
Alternative Uses
Best Use
Retail
$659.1K
$576.8K – $769.0K
NOI $46,140 @ 7.0% cap · market cap 3.08%
Second Best
Specialty Retail
$579.8K
$507.4K – $676.5K
NOI $40,588 @ 7.0% cap · market cap 2.71%
Theoretical Best
Office A
$964.4K
$843.8K – $1.13M
NOI $67,505 @ 7.0% cap · market cap 4.50%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
483
Businesses Nearby
Explore this area
Business Placement
Demographics for 92543, CA
39,323
Population
15,225
Households
2.6
Avg Household Size
37
Median Age
13%
College-Educated
75%
High-School Grad
19.1 sq mi
ZIP Area
2,059
Density / Sq Mi
$47,002
Median Household Income
$34,376
Median Earnings
$1,306
Median Rent
$250,800
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail property - Retail building on a signalized corner with high visibility.
Where is this retail property located?
The property is located at 103 E Stetson Ave Hemet, CA.
What is the asking price?
The asking price for this property is $1,500,000.
What are key features of this property?
This property features: High Visibility & Accessibility: Located on a major thoroughfare at a signalized intersection ensuring excellent exposure.; Ample Parking: Features 25 parking spaces providing convenient access for customers.; Strong Retail Corridor: Surrounded by established traffic generators.
