San Bernardino Investment
For Sale
$2,250,000
127 W 40th St, San Bernardino, CA 92407
Tenant-occupied sports bar on a large lot for sale.
Property Size9,350 SF
Lot Size0.62 Acres
Price / SF$240.64
Days on Market132
Property Features for 127 W 40th St
General Information
Standard status
Active
Size
9,350 SF
Lot size
0.62 Acres
Property subtype
Commercial
Building Details
Building Size
9,350 SF
Year Built
1956
Listing Agency:
Providence Realty
(951) 789-1058
Listed By:
SCOTT TUCKER · License #01382514
(951) 789-1058
Source:
Elliman
Added: Apr 15
Changed: Aug 11
Last Checked: Aug 23 at 6:20AM
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 Providence Realty
Investment Insights
Based on property information with market context.
This commercial investment opportunity in San Bernardino features a tenant-occupied sports bar. The property is situated on an approximately 27,000 sq ft lot and includes a 9,350 sq ft restaurant building. The property is currently leased under a standard commercial rental agreement with a long-term lease in place, offering immediate and stable income potential. The established restaurant use and generous lot size provide ample parking and operational flexibility for food and beverage service. The large parcel presents potential for future repositioning or long-term upside, subject to buyer investigation. It is ideal for investors seeking a stabilized asset with income in place and future potential in a growing commercial area. The location has a bike score of 51, indicating it is bikeable, a walk score of 42, indicating it is car-dependent, and a transit score of 33, indicating some transit options are available.
Key Highlights
- Tenant‑occupied sports bar provides immediate and stable income.
- Long‑term commercial lease in place.
- Large 27,000 sq ft lot offers ample parking and operational flexibility.
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
$150,612
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
6.69%
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%
$3,012,240
$3.0M
Cap Rate 7%
$2,151,600
$2.2M
Cap Rate 9%
$1,673,467
$1.7M
Market Conditions
NOI Build-Up for 9,350 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
$213.2K $22.80/SF
− Vacancy
−$12.4K −$1.32/SF
EGI
$200.8K $21.48/SF
− OpEx
−$50.2K −$5.37/SF
NOI
$150.6K $16.11/SF
Area
San Bernardino, CA
Vacancy
5.80%
Lease Rate
$22.80 /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%
$3,012,240
Cap Rate 7%
$2,151,600
Cap Rate 9%
$1,673,467
Alternative Uses
Best Use
Specialty Retail
$2.15M
$1.88M – $2.51M
NOI $150,612 @ 7.0% cap · market cap 6.69%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.82M
$2.46M – $3.29M
NOI $197,113 @ 7.0% cap · market cap 8.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
465
Businesses Nearby
290k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 32%
Groceries 30%
Shops & Services 24%
Apparel 12%
Stater Bros. Markets
Groceries
49,754 visits/mo
0.2 miles
Cardenas Market
Groceries
38,504 visits/mo
0.1 miles
T.J. Maxx
Apparel
35,706 visits/mo
0.4 miles
Starbucks
Dining
27,920 visits/mo
0.4 miles
McDonald's
Dining
25,995 visits/mo
0.3 miles
Demographics for 92407, CA
67,814
Population
19,029
Households
3.6
Avg Household Size
31
Median Age
19%
College-Educated
78%
High-School Grad
81.7 sq mi
ZIP Area
830
Density / Sq Mi
$83,662
Median Household Income
$38,967
Median Earnings
$1,771
Median Rent
$473,200
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Similar Off Market Nearby
- El Patio Lounge — 4352 N Sierra Way, San Bernardino, CA 92407
- Ye Olde Lamplighter — 255 E 40th St, San Bernardino, CA 92404
- Gutierrez bar — 4775 N Sierra Way, San Bernardino, CA 92404
- Celebrities Sports Grill — 127 W 40th St, San Bernardino, CA 92407
Frequently Asked Questions
What type of property is this?
Bar & Pub - Tenant-occupied sports bar on a large lot for sale.
Where is this bar & pub located?
The property is located at 127 W 40th St San Bernardino, CA.
What is the asking price?
The asking price for this property is $2,250,000.
What are key features of this property?
This property features: Tenant‑occupied sports bar provides immediate and stable income.; Long‑term commercial lease in place.; Large 27,000 sq ft lot offers ample parking and operational flexibility.
