Versatile Commercial Property Near Sequoia
For Sale
$448,777
40398 Sierra, Three Rivers, CA 93271
Multi-use property in Three Rivers with high visibility.
Property Size914 SF
Lot Size0.73 Acres
Price / SF$491
Days on Market152
Property Features for 40398 Sierra
General Information
Standard status
Active
Size
914 SF
Lot size
0.73 Acres
Property subtype
Commercial
Building Details
Building Size
914 SF
Year Built
1970
Listing Agency:
(559) 732-2500
Listed By:
Rocio Barajas · License #01974970
Source:
Elliman
Added: Mar 10
Changed: Aug 8
Last Checked: Aug 8 at 4:36AM
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 Rocio Barajas
Investment Insights
Based on property information with market context.
This commercial multi-use property is located in the rapidly growing Three Rivers community, minutes from the Sequoia National Park entrance. The property includes two separate buildings on almost 0.75 acres, offering flexibility for business, retail, or creative uses. The main building provides 914 square feet of functional space with a newer 2-ton A/C system. The second building offers approximately 400 square feet, suitable for additional offices, studio use, or guest services. Each building includes its own fireplace and features wood details throughout. The property has two half bathrooms. Situated along the main highway, the property benefits from excellent visibility and high traffic exposure, making it suitable for attracting tourists, visitors, and locals. It has parking to accommodate staff and customers. Located directly across from the newly opened Sequoia Auto Camp, this property is in a desirable and up-and-coming area with commercial potential. The property once was residential and can be easily converted back.
Key Highlights
- Prime location in the rapidly growing Three Rivers community, near Sequoia National Park entrance, offering high tourist traffic and visibility.
- Versatile multi‑use commercial property with two separate buildings (914 sq. ft. and 400 sq. ft.) providing flexibility for various business or creative endeavors.
- Excellent visibility and high traffic exposure due to its location along the main highway.
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
$13,046
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
2.91%
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%
$260,920
$260.9K
Cap Rate 7%
$186,371
$186.4K
Cap Rate 9%
$144,956
$145.0K
Market Conditions
NOI Build-Up for 914 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
$19.7K $21.60/SF
− Vacancy
−$1.1K −$1.21/SF
EGI
$18.6K $20.39/SF
− OpEx
−$5.6K −$6.12/SF
NOI
$13.0K $14.27/SF
Area
Tulare County, CA
Vacancy
5.60%
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%
$260,920
Cap Rate 7%
$186,371
Cap Rate 9%
$144,956
Alternative Uses
Best Use
Retail
$186.4K
$163.1K – $217.4K
NOI $13,046 @ 7.0% cap · market cap 2.91%
Second Best
Office B
$162.9K
$142.5K – $190.0K
NOI $11,402 @ 7.0% cap · market cap 2.54%
Theoretical Best
Specialty Retail
$277.6K
$242.9K – $323.9K
NOI $19,434 @ 7.0% cap · market cap 4.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
140
Businesses Nearby
Explore this area
Business Placement
Demographics for 93271, CA
1,930
Population
1,441
Households
1.3
Avg Household Size
56
Median Age
54%
College-Educated
98%
High-School Grad
152.4 sq mi
ZIP Area
13
Density / Sq Mi
$83,810
Median Household Income
$70,524
Median Earnings
$1,626
Median Rent
$457,500
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Multi-use property in Three Rivers with high visibility.
Where is this mixed-use property located?
The property is located at 40398 Sierra Three Rivers, CA.
What is the asking price?
The asking price for this property is $448,777.
What are key features of this property?
This property features: Prime location in the rapidly growing Three Rivers community, near Sequoia National Park entrance, offering high tourist traffic and visibility.; Versatile multi‑use commercial property with two separate buildings (914 sq. ft. and 400 sq. ft.) providing flexibility for various business or creative endeavors.; Excellent visibility and high traffic exposure due to its location along the main highway.
