Single-Story Office Building with Vacant
For Sale
$2,500,000
1245 E Walnut Street, Pasadena, CA 91106
16-suite office building with individually leased spaces and multiple vacant suites, supported by CG zoning for redevelopment.
Property Size6,536 SF
Lot Size0.39 Acres
Price / SF$382.50
Days on Market92
Property Features for 1245 E Walnut Street
General Information
Standard status
Active
Size
6,536 SF
Total Parking Spaces
17
Lot size
0.39 Acres
Property subtype
Office
Zoning
CG
Occupancy
56%
Site & Location
Traffic Count
16,808 vehicles/day
Highway Access
Yes
Additional Details
Office Units
16
Amenities
Central Air
3
Flat
Corner Lot.
17 Parking Spaces.
Level
Corner, Public Transport, Level.
Building Details
Year Built
1961
Stories
1
Tenancy
Multi
Listing Agency:
Growth Investment Group Pasade
(626) 594-4900
Listed By:
Handoko Chen · License #01749321
Source:
Xome
Added: May 25
Changed: Aug 23
Last Checked: Aug 24 at 3:13AM
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 Growth Investment Group Pasade
Investment Insights
Based on property information with market context.
The Portofino is a single-story commercial office property configured into 16 individual suites on a corner lot. The building totals 6,536 square feet and is offered as a fixer-upper. Eight suites are currently vacant and would be delivered vacant (buyer to verify approximate square footage). The remaining eight tenants are on month-to-month rent. The property has two shared bathrooms and front-area landscaping designed for easier upkeep, with parking provided at the rear including 16 open spaces and 1 disabled parking space. Electricity is separately metered, with 17 electrical meters and an updated main panel.
The building is located on Walnut Street with wide street exposure and is positioned between Lake Ave and Hill Ave, south of the 210 Freeway. The site is in high density CG (Commercial General) zoning, with a reported 150-foot exposure on Walnut Street. The property sits on a 16,881 square-foot corner lot and includes the ability to support a range of uses including medical, medical R&D, retail, residential, transit-oriented development, and professional office (buyer to verify).
For owner-users and investors, the mix of month-to-month tenancy and vacant suites can support operational flexibility and potential repositioning. For developers, the CG zoning and corner-lot configuration provide redevelopment pathways that could accommodate ground-floor retail with residential above floors (subject to approvals and buyer verification).
The building is located on Walnut Street with wide street exposure and is positioned between Lake Ave and Hill Ave, south of the 210 Freeway. The site is in high density CG (Commercial General) zoning, with a reported 150-foot exposure on Walnut Street. The property sits on a 16,881 square-foot corner lot and includes the ability to support a range of uses including medical, medical R&D, retail, residential, transit-oriented development, and professional office (buyer to verify).
For owner-users and investors, the mix of month-to-month tenancy and vacant suites can support operational flexibility and potential repositioning. For developers, the CG zoning and corner-lot configuration provide redevelopment pathways that could accommodate ground-floor retail with residential above floors (subject to approvals and buyer verification).
Key Highlights
- 16,881 SF (0.39‑acre) corner lot with 6,536 SF, single‑story commercial office building built in 1961
- 16 individual suites with 8 vacant and delivered vacant (~2,860 SF / ~44% vacancy; buyer to verify)
- Remaining 8 tenants are on month‑to‑month rent, offering potential to increase rents for owner‑user or redeveloper
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
$140,001
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
5.60%
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%
$2,800,020
$2.8M
Cap Rate 7%
$2,000,014
$2.0M
Cap Rate 9%
$1,555,567
$1.6M
Market Conditions
NOI Build-Up for 6,536 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
$219.6K $33.60/SF
− Vacancy
−$32.9K −$5.04/SF
EGI
$186.7K $28.56/SF
− OpEx
−$46.7K −$7.14/SF
NOI
$140.0K $21.42/SF
Area
Pasadena, CA
Vacancy
15.00%
Lease Rate
$33.60 /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%
$2,800,020
Cap Rate 7%
$2,000,014
Cap Rate 9%
$1,555,567
Alternative Uses
Best Use
Office B
$2.00M
$1.75M – $2.33M
NOI $140,001 @ 7.0% cap · market cap 5.60%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$147.13M
$128.73M – $171.65M
NOI $10,298,797 @ 7.0% cap · market cap 411.95%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
16
Office units
16,808 VPD
Traffic count
56%
Occupancy
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
5,570
Businesses Nearby
Explore this area
Business Placement
Demographics for 91106, CA
24,172
Population
11,809
Households
2
Avg Household Size
38
Median Age
63%
College-Educated
94%
High-School Grad
2.7 sq mi
ZIP Area
8,953
Density / Sq Mi
$89,213
Median Household Income
$59,700
Median Earnings
$2,096
Median Rent
$966,700
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?
Office units - 16-suite office building with individually leased spaces and multiple vacant suites, supported by CG zoning for redevelopment.
Where is this office units located?
The property is located at 1245 E Walnut Street Pasadena, CA.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: 16,881 SF (0.39‑acre) corner lot with 6,536 SF, single‑story commercial office building built in 1961; 16 individual suites with 8 vacant and delivered vacant (~2,860 SF / ~44% vacancy; buyer to verify); Remaining 8 tenants are on month‑to‑month rent, offering potential to increase rents for owner‑user or redeveloper
