Listing Agency: Picor Commercial Real Estate Services Show Phone

Listed By: Dave Hammack · License #SA524273000 Show Phone

Source: Moodyscre

Added: Jun 20, 2022 Changed: Aug 19 Last Checked: Sep 8 at 6:18AM

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Investment Insights

Based on property information with market context.

The retail property, constructed in 2017, features a building size of 9,100 square feet and is situated on approximately 1.11 acres of land. The property's annual rent is $101,503.08. Dollar General is the country’s largest small box retailer and is the only dollar store chain with an investment grade rating from S&P and Moody’s. As of January 2023, Dollar General was ranked #106 on the Fortune 500 list.

Key Highlights

• Annual Rent: $101,503.08
• Building Size: 9,100 SF
• Land Area: ±1.11 acres

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

$94,390

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

5.69%

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%

$1,887,800 $1.9M

Cap Rate 7%

$1,348,429 $1.3M

Cap Rate 9%

$1,048,778 $1.0M

Market Conditions

NOI Build-Up for 9,100 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

$136.5K $15.00/SF

− Vacancy

−$10.6K −$1.17/SF

EGI

$125.9K $13.83/SF

− OpEx

−$31.5K −$3.46/SF

NOI

$94.4K $10.37/SF

Area

Cochise County, AZ

Vacancy

7.80%

Lease Rate

$15.00 /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%

$1,887,800

Cap Rate 7%

$1,348,429

Cap Rate 9%

$1,048,778

Alternative Uses

Best Use

Specialty Retail

$1.35M

$1.18M – $1.57M (±1% cap)

NOI $94,390 @ 7.0% cap · market cap 5.69%

Second Best

Retail

$839.2K

$734.3K – $979.0K (±1% cap)

NOI $58,741 @ 7.0% cap · market cap 3.54%

Theoretical Best

—

—

same as Best Use

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Dollar General Discount Store FedEx OnSite Postal Service Redbox Cinema Western Union Bank

Suggested Use

Top Pick Building Supply Auto Parts Store Grocery & Convenience Store Storage Facility (Bike/Boat/Book/etc) Store Big Box & Wholesale Store

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

84

Businesses Nearby

4k

Monthly Visits Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Foot Traffic Nearby

Shops & Services 100%

Dollar General Shops & Services

3,627 visits/mo 0.1 miles

Demographics for 85625, AZ

1,871

Population

1,437

Households

1.3

Avg Household Size

63

Median Age

36%

College-Educated

93%

High-School Grad

338.4 sq mi

ZIP Area

6

Density / Sq Mi

$51,042

Median Household Income

$53,246

Median Earnings

$800

Median Rent

$158,500

Median Home Value

Market

Vacancy Rate% for Retail in West region

7% 2020

6.3% 2021

5.5% 2022

5.3% 2023

5.5% 2024

5.8% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this storefront properties located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Storefront property - Retail property built in 2017, suitable for various business ventures.

Where is this storefront property located?

The property is located at 1323 E High St Sunizona, AZ.

What is the asking price?

The asking price for this property is $1,659,000.

What are key features of this property?

This property features: Annual Rent: $101,503.08; Building Size: **9,100 SF**; Land Area: ±1.11 acres