Established Restaurant and Building For
For Sale
$750,000
Pending
1425 Main Street, Newman, CA 95360
Operating restaurant with building in Newman, CA, prime investment opportunity.
Property Size4,200 SF
Lot Size0.17 Acres
Days on Market562
Property Features for 1425 Main Street
General Information
Standard status
Pending
Size
4,200 SF
Lot size
0.17 Acres
Listing Agency:
SVN Executive Commercial Advisors
7653767
Listed By:
Randy S Hayer · License #01251542
7653767
Source:
Exprealty
Added: Feb 5, 2025
Changed: Aug 8
Last Checked: Aug 8 at 2:30PM
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 SVN Executive Commercial Advisors
Investment Insights
Based on property information with market context.
This property presents an investment opportunity to acquire a restaurant business and building in Newman, California. The building, approximately 4,200 square feet in size, is situated on a 7,405 square foot lot. It features a mediterranean design, incorporating real wood floors, brick walls, and high ceilings, along with central heating and air conditioning. The interior includes a large bar sitting counter, a kitchen equipped with a walk-in refrigerator and freezer, stainless steel appliances, a giant imperial cooking stove, a 10-burner gas stove, ample prep area, and a storage area. A second-level office is present, and the property also offers a back area with a courtyard sitting area and rear parking. The restaurant, El Campestre Dos, has been in operation for over 18 years and features a selection of specialty liquor.
Key Highlights
- Established Restaurant Business: Includes the El Campestre Dos Restaurant with 18+ years of operation.
- Own the Restaurant and Building: Opportunity to own both the restaurant business and the physical building.
- Spacious Building: Approximately 4,200 sq ft building on a 7,405 sq ft lot.
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
$65,182
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
8.69%
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%
$1,303,640
$1.3M
Cap Rate 7%
$931,171
$931.2K
Cap Rate 9%
$724,244
$724.2K
Market Conditions
NOI Build-Up for 4,200 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
$90.7K $21.60/SF
− Vacancy
−$3.8K −$0.91/SF
EGI
$86.9K $20.69/SF
− OpEx
−$21.7K −$5.17/SF
NOI
$65.2K $15.52/SF
Area
Stanislaus County, CA
Vacancy
4.20%
Lease Rate
$21.60 /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%
$1,303,640
Cap Rate 7%
$931,171
Cap Rate 9%
$724,244
Alternative Uses
Best Use
Specialty Retail
$931.2K
$814.8K – $1.09M
NOI $65,182 @ 7.0% cap · market cap 8.69%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.95M
$1.71M – $2.28M
NOI $136,649 @ 7.0% cap · market cap 18.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
404
Businesses Nearby
78k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 52%
Groceries 25%
Dining 19%
Home Improvements & Furnishings 4%
Nob Hill Foods
Groceries
19,618 visits/mo
0.4 miles
AMPM
Shops & Services
11,745 visits/mo
0.3 miles
Dollar General
Shops & Services
10,716 visits/mo
0.4 miles
Burger King
Dining
7,024 visits/mo
0.4 miles
Chevron
Shops & Services
5,665 visits/mo
0.1 miles
Demographics for 95360, CA
13,892
Population
4,556
Households
3
Avg Household Size
33
Median Age
9%
College-Educated
74%
High-School Grad
61.8 sq mi
ZIP Area
225
Density / Sq Mi
$74,006
Median Household Income
$41,145
Median Earnings
$1,244
Median Rent
$385,500
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Restaurant - Operating restaurant with building in Newman, CA, prime investment opportunity.
Where is this restaurant located?
The property is located at 1425 Main Street Newman, CA.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: Established Restaurant Business: Includes the El Campestre Dos Restaurant with 18+ years of operation.; Own the Restaurant and Building: Opportunity to own both the restaurant business and the physical building.; Spacious Building: Approximately 4,200 sq ft building on a 7,405 sq ft lot.
