Building Details

Year Built 2016

Buildings 1

Stories 2

Listing Agency: Coldwell Banker Island Properties p***@gmail.com Show Phone

Listed By: Paula Beamer · License #RB-16191

Source: Crexi

Added: Nov 11, 2022 Changed: Aug 30 Last Checked: Sep 1 at 4:12AM

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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 Coldwell Banker Island Properties

Investment Insights

Based on property information with market context.

This 3,236-square-foot commercial building, constructed in 2016, is currently configured as a restaurant and bar. The interior includes a custom bar and furnishings, pizza oven, walk-in refrigerator and freezer, kitchen frontage with marble columns, office space, and storage. Exterior materials include wood, concrete block, and travertine tile. The property also has three-phase electrical service, a backup generator, plumbed propane, and employee parking below the business.

Located at 45-3580 Mamane St in downtown Honokaa, the property is next to Honokaa Peoples Theatre and near retail stores. Ample street parking serves the site. The building includes ADA-compliant men's and women's restrooms, and the B-2 liquor license permits music, live entertainment, and dancing. CV-10 zoning applies to the property, with permitted uses and inventory detailed in the associated addenda.

Key Highlights

• 3,236 SF commercial building constructed in 2016
• Current restaurant and bar configuration with custom furnishings
• Pizza oven, walk‑in refrigerator and freezer, office, and storage areas

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

$77,307

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

7.08%

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%

$1,546,140 $1.5M

Cap Rate 7%

$1,104,386 $1.1M

Cap Rate 9%

$858,967 $859.0K

Market Conditions

NOI Build-Up for 3,236 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

$108.7K $33.60/SF

− Vacancy

−$5.7K −$1.75/SF

EGI

$103.1K $31.85/SF

− OpEx

−$25.8K −$7.96/SF

NOI

$77.3K $23.89/SF

Area

Hawaii County, HI

Vacancy

5.20%

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%

$1,546,140

Cap Rate 7%

$1,104,386

Cap Rate 9%

$858,967

Alternative Uses

Best Use

Specialty Retail

$1.10M

$966.3K – $1.29M (±1% cap)

NOI $77,307 @ 7.0% cap · market cap 7.08%

Second Best

Industrial

$598.5K

$523.7K – $698.3K (±1% cap)

NOI $41,896 @ 7.0% cap · market cap 3.84%

Theoretical Best

—

—

same as Best Use

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Cafe il Mondo Restaurant

Lease Details

Turnkey business

Opportunity

Yes

Utilities to site

Location Intelligence

Demographics for 96727, HI

4,990

Population

1,642

Households

3

Avg Household Size

45

Median Age

24%

College-Educated

91%

High-School Grad

189.5 sq mi

ZIP Area

26

Density / Sq Mi

$83,534

Median Household Income

$37,124

Median Earnings

$1,218

Median Rent

$559,900

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

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

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Frequently Asked Questions

What type of property is this?

Conventional restaurant - Three-phase power, propane service, and a backup generator support ongoing commercial operations.

Where is this conventional restaurant located?

The property is located at 45-3580 MAMANE ST Honokaa, HI.

What is the asking price?

The asking price for this property is $1,092,000.

What are key features of this property?

This property features: 3,236 SF commercial building constructed in 2016; Current restaurant and bar configuration with custom furnishings; Pizza oven, walk‑in refrigerator and freezer, office, and storage areas