Industrial Warehouse with Secure
For Sale
$2,250,000
16-118 LIILII ST, Keaau, HI 96749
Industrial warehouse with two roll-up loading doors and fenced, gated outdoor yard space on fee simple land.
Property Size8,000 SF
Lot Size1.03 Acres
Price / SF$281.25
Days on Market127
Property Features for 16-118 LIILII ST
General Information
Standard status
Active
Size
8,000 SF
Lot size
1.03 Acres
Property subtype
Commercial
Zoning
MG-20
Site & Location
Fenced Yard
Yes
Outdoor Storage
Yes
Taxes and HOA fees
Annual Taxes
$7,934
Listing Agency:
CHANEY, BROOKS & COMPANY, LLC
(808) 544-1600
Listed By:
JOSEPH T HAAS · License #RB-15404
(808) 864-6464
Source:
Corcoran
Added: May 8
Changed: Sep 10
Last Checked: Sep 10 at 5:38AM
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 CHANEY, BROOKS & COMPANY, LLC
Investment Insights
Based on property information with market context.
This for-sale industrial property includes approximately 8,000 SF of industrial improvements on 44,928 SF of fee simple land. The layout is described as flexible and suitable for manufacturing, storage, distribution, or contractor uses, and it is supported by two roll-up loading doors for loading and access. The property also features a fully fenced and gated yard, providing secure outdoor space for equipment storage and service-oriented operations.
The asset is located within an established industrial cluster in Kea’au with convenient access to Hilo and surrounding East Hawaii communities. It is zoned MG-20 (General Industrial), which allows for a wide variety of industrial uses.
The seller notes the property is sold together with TMK (3) 1-6-146: 37 38.
The asset is located within an established industrial cluster in Kea’au with convenient access to Hilo and surrounding East Hawaii communities. It is zoned MG-20 (General Industrial), which allows for a wide variety of industrial uses.
The seller notes the property is sold together with TMK (3) 1-6-146: 37 38.
Key Highlights
- Approximately 8,000 SF industrial improvements on 44,928 SF fee simple land
- Zoned MG‑20 (General Industrial) for a wide variety of industrial uses
- Tenanted industrial warehouse investment with a flexible warehouse layout
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
$125,768
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
5.59%
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%
$2,515,360
$2.5M
Cap Rate 7%
$1,796,686
$1.8M
Cap Rate 9%
$1,397,422
$1.4M
Market Conditions
NOI Build-Up for 8,000 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
$149.8K $18.72/SF
− Vacancy
−$1.8K −$0.22/SF
EGI
$148.0K $18.50/SF
− OpEx
−$22.2K −$2.77/SF
NOI
$125.8K $15.72/SF
Area
Hawaii County, HI
Vacancy
1.20%
Lease Rate
$18.72 /SF/Yr
Expense Ratio
15.00%
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%
$2,515,360
Cap Rate 7%
$1,796,686
Cap Rate 9%
$1,397,422
Alternative Uses
Best Use
Warehouse
$1.80M
$1.57M – $2.10M
NOI $125,768 @ 7.0% cap · market cap 5.59%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$2.73M
$2.39M – $3.19M
NOI $191,117 @ 7.0% cap · market cap 8.49%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Fenced yard
Location Intelligence
Demographics for 96749, HI
20,503
Population
7,545
Households
2.7
Avg Household Size
42
Median Age
23%
College-Educated
92%
High-School Grad
59.8 sq mi
ZIP Area
343
Density / Sq Mi
$74,633
Median Household Income
$41,366
Median Earnings
$1,268
Median Rent
$396,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Warehouse - Industrial warehouse with two roll-up loading doors and fenced, gated outdoor yard space on fee simple land.
Where is this warehouse located?
The property is located at 16-118 LIILII ST Keaau, HI.
What is the asking price?
The asking price for this property is $2,250,000.
What are key features of this property?
This property features: Approximately 8,000 SF industrial improvements on 44,928 SF fee simple land; Zoned MG‑20 (General Industrial) for a wide variety of industrial uses; Tenanted industrial warehouse investment with a flexible warehouse layout
