Corner Lot in Chinatown
For Sale
$3,999,000
905 Kekaulike St, Honolulu, HI 96817
Mixed-use property with high visibility and development potential.
Property Size5,392 SF
Price / SF$741.65
Days on Market624
Property Features for 905 Kekaulike St
General Information
Standard status
Active
Size
5,392 SF
Taxes and HOA fees
Annual Taxes
$34,056
Listing Agency:
I2C Realty, Ltd.
(808) 386-0953
Listed By:
Ronald YK Lee · License #RB-18197
(808) 386-0953
Source:
Exprealty
Added: Nov 25, 2024
Changed: Aug 8
Last Checked: Aug 8 at 1:22PM
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 I2C Realty, Ltd.
Investment Insights
Based on property information with market context.
Located at the corner of Nimitz Highway and Kekaulike St. in Honolulu's Chinatown Special District, this property offers prime visibility frontage. It is zoned BMX4 Central Business Mixed use, with an 80-foot height limit. The property is situated within the Downtown Neighborhood Transit Oriented Development (TOD) plan, adopted by the City Council, which proposes a 200-foot height limit and a 4.0 to 7.5 Floor Area Ratio. Potential harbor and ocean views are possible from the location. The property is located across the street from the planned Chinatown rail station. Occupants include Lanakila Marine Service, Kaya Fishing Supply, and residences. According to the tax assessor's office, the property features approximately 5,392 square feet on the first floor, 2,049 square feet on the mezzanine, and 5,392 square feet on the second floor. The property is located in Chinatown historic district. An adjoining property at 915 Kekaulike St., featuring approximately 11,168 square feet of BMX4 land and a 3-story concrete building of approximately 30,522 square feet, is also for sale.
Key Highlights
- Prime visibility frontage at the corner of Nimitz Highway and Kekaulike St.
- BMX4 Central Business Mixed use zoning with 80' height limit.
- Located across the street from planned Chinatown rail station.
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
$142,723
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
3.57%
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%
$2,854,460
$2.9M
Cap Rate 7%
$2,038,900
$2.0M
Cap Rate 9%
$1,585,811
$1.6M
Market Conditions
NOI Build-Up for 5,392 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
$214.2K $39.72/SF
− Vacancy
−$10.3K −$1.91/SF
EGI
$203.9K $37.81/SF
− OpEx
−$61.2K −$11.34/SF
NOI
$142.7K $26.47/SF
Area
Honolulu County, HI
Vacancy
4.80%
Lease Rate
$39.72 /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%
$2,854,460
Cap Rate 7%
$2,038,900
Cap Rate 9%
$1,585,811
Alternative Uses
Best Use
Retail
$2.04M
$1.78M – $2.38M
NOI $142,723 @ 7.0% cap · market cap 3.57%
Second Best
Mixed Use
$1.33M
$1.16M – $1.55M
NOI $93,012 @ 7.0% cap · market cap 2.33%
Theoretical Best
Specialty Retail
$2.18M
$1.91M – $2.55M
NOI $152,918 @ 7.0% cap · market cap 3.82%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Demographics for 96817, HI
56,823
Population
21,489
Households
2.6
Avg Household Size
46
Median Age
30%
College-Educated
84%
High-School Grad
9.3 sq mi
ZIP Area
6,110
Density / Sq Mi
$74,690
Median Household Income
$42,492
Median Earnings
$1,419
Median Rent
$930,000
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.
Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use property with high visibility and development potential.
Where is this mixed-use property located?
The property is located at 905 Kekaulike St Honolulu, HI.
What is the asking price?
The asking price for this property is $3,999,000.
What are key features of this property?
This property features: Prime visibility frontage at the corner of Nimitz Highway and Kekaulike St.; BMX4 Central Business Mixed use zoning with 80' height limit.; Located across the street from planned Chinatown rail station.
