Prime Urban Retail Investment
For Sale
Contact for pricing
1485 E St, San Diego, CA
Leased retail property in downtown San Diego's East Village.
Property Size20,523 SF
Lot Size0.47 Acres
Price / SF$341.08
Days on Market403
Property Features for 1485 E St
General Information
Standard status
Active
Size
20,523 SF
Lot size
0.47 Acres
Property subtype
RETAIL
Listing Agency:
CBRE | San Diego
(858) 546-4600
Listed By:
Regis Kobzi
(858) 546-4604
Source:
Moodyscre
Added: Aug 1, 2025
Changed: Aug 10
Last Checked: Sep 6 at 2:56PM
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 CBRE | San Diego
Investment Insights
Based on property information with market context.
This property offers an opportunity to acquire approximately 20,523 square feet of physical improvements under the terms of a long-term ground lease with 47 years remaining. The location benefits from a dense urban environment and convenient accessibility in downtown San Diego's East Village, an area experiencing growth with numerous new restaurants, apartments, and condo developments. The property is 100% leased to Punch Bowl Social, which operates multiple locations across the nation. The tenant recently completed an extensive renovation, demonstrating a long-term commitment to the location. The asset provides fixed increases every 5 years, allowing for passive income growth. Developable commercial land is scarce in this downtown location, making this property virtually irreplaceable. The master leasehold estate includes a 'right of first offer' to purchase the premises from the ground lessor during the initial lease term.
Key Highlights
- Credit Tenancy: 100% leased to Punch Bowl Social, a growing national brand.
- Favorable Master Leasehold Estate: Long‑term 55‑year ground lease (47 years remaining) with 'right of first offer' to purchase.
- Built‑in NOI Growth: Fixed rental increases every 5 years for passive income growth.
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
$567,420
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
8.11%
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%
$11,348,400
$11.3M
Cap Rate 7%
$8,106,000
$8.1M
Cap Rate 9%
$6,304,667
$6.3M
Market Conditions
NOI Build-Up for 20,523 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
$788.1K $38.40/SF
− Vacancy
−$31.5K −$1.54/SF
EGI
$756.6K $36.86/SF
− OpEx
−$189.1K −$9.22/SF
NOI
$567.4K $27.65/SF
Area
San Diego, CA
Vacancy
4.00%
Lease Rate
$38.40 /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%
$11,348,400
Cap Rate 7%
$8,106,000
Cap Rate 9%
$6,304,667
Alternative Uses
Best Use
Specialty Retail
$8.11M
$7.09M – $9.46M
NOI $567,420 @ 7.0% cap · market cap 8.11%
Second Best
Retail
$7.08M
$6.19M – $8.26M
NOI $495,406 @ 7.0% cap · market cap 7.08%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
7,715
Businesses Nearby
215k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 48%
Groceries 23%
Shops & Services 21%
Hotels & Casinos 7%
McDonald's
Dining
47,938 visits/mo
0.5 miles
Jack in the Box
Dining
22,745 visits/mo
0.4 miles
Smart & Final
Groceries
18,290 visits/mo
0.1 miles
Shell
Shops & Services
18,276 visits/mo
0.5 miles
Grocery Outlet Bargain Market
Groceries
16,315 visits/mo
0.3 miles
Market
Vacancy Rate% for Retail in San Diego, CA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Storefront property - Leased retail property in downtown San Diego's East Village.
Where is this storefront property located?
The property is located at 1485 E St San Diego, CA.
What is the asking price?
The asking price for this property is $7,000,000.
What are key features of this property?
This property features: Credit Tenancy: 100% leased to Punch Bowl Social, a growing national brand.; Favorable Master Leasehold Estate: Long‑term 55‑year ground lease (47 years remaining) with 'right of first offer' to purchase.; Built‑in NOI Growth: Fixed rental increases every 5 years for passive income growth.
