Grocery Store with Type 21
For Sale
$800,000
13056 Sherman Way, North Hollywood, CA 91605
Two customer entrances, rear parking, and renovated coolers support the store’s day-to-day retail operation.
Property Size1,550 SF
Price / SF$516.13
Days on Market152
Property Features for 13056 Sherman Way
General Information
Standard status
Active
Size
1,550 SF
Property subtype
Commercial/Industrial
Additional Details
Business Included
Yes
Liquor License
Yes
Listing Agency:
Positive Realty & Investments
(805) 766-2569
Listed By:
Kuldeep Singh · License #02241860
(805) 766-2569
Source:
Exitrealty
Added: Apr 1
Changed: Aug 29
Last Checked: Aug 29 at 4:57PM
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 Positive Realty & Investments
Investment Insights
Based on property information with market context.
This grocery and convenience store occupies approximately 1,550 square feet and includes a Type 21 Off-Sale General Liquor License for beer, wine, and distilled spirits. The premises offer two separate customer entrances, a large rear parking area, and street parking along the front. The coolers were renovated approximately 5 years ago.
Located at 13056 Sherman Way in North Hollywood, the store operates on a busy street with reported foot traffic and visibility. The current owners have operated the business since May 2015. Existing services include liquor retailing, lottery sales, and ATM access; EBT, money orders, and check cashing are not currently offered.
Located at 13056 Sherman Way in North Hollywood, the store operates on a busy street with reported foot traffic and visibility. The current owners have operated the business since May 2015. Existing services include liquor retailing, lottery sales, and ATM access; EBT, money orders, and check cashing are not currently offered.
Key Highlights
- Type 21 Off‑Sale General Liquor License for beer, wine, and distilled spirits
- Approximately 1,550 square feet of retail space
- Two separate customer entrances
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
$36,743
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
4.59%
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%
$734,860
$734.9K
Cap Rate 7%
$524,900
$524.9K
Cap Rate 9%
$408,256
$408.3K
Market Conditions
NOI Build-Up for 1,550 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
$52.5K $33.84/SF
− Vacancy
−$3.5K −$2.23/SF
EGI
$49.0K $31.61/SF
− OpEx
−$12.2K −$7.90/SF
NOI
$36.7K $23.70/SF
Area
Los Angeles County, CA
Vacancy
6.60%
Lease Rate
$33.84 /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%
$734,860
Cap Rate 7%
$524,900
Cap Rate 9%
$408,256
Alternative Uses
Best Use
Specialty Retail
$524.9K
$459.3K – $612.4K
NOI $36,743 @ 7.0% cap · market cap 4.59%
Second Best
Retail
$489.9K
$428.7K – $571.6K
NOI $34,293 @ 7.0% cap · market cap 4.29%
Theoretical Best
Office A
$829.9K
$726.1K – $968.2K
NOI $58,090 @ 7.0% cap · market cap 7.26%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
2,077
Businesses Nearby
4k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
7-Eleven
Shops & Services
4,257 visits/mo
0.3 miles
Demographics for 91605, CA
54,341
Population
17,206
Households
3.2
Avg Household Size
36
Median Age
22%
College-Educated
71%
High-School Grad
5.4 sq mi
ZIP Area
10,063
Density / Sq Mi
$64,539
Median Household Income
$32,751
Median Earnings
$1,736
Median Rent
$729,900
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Similar Off Market Nearby
- Bangluck Market Corporation — 12980 Sherman Way, North Hollywood, CA 91605
- Royal Fresh Market — 12811 Sherman Way, Valley Glen, CA 91605
- El Super — 12727 Sherman Way, North Hollywood, CA 91605
- BlackJack - Monte Market Group — 12643 Sherman Way # G, Valley Glen, CA 91605
Frequently Asked Questions
What type of property is this?
Grocery and convenience store - Two customer entrances, rear parking, and renovated coolers support the store’s day-to-day retail operation.
Where is this grocery and convenience store located?
The property is located at 13056 Sherman Way North Hollywood, CA.
What is the asking price?
The asking price for this property is $800,000.
What are key features of this property?
This property features: Type 21 Off‑Sale General Liquor License for beer, wine, and distilled spirits; Approximately 1,550 square feet of retail space; Two separate customer entrances
