Mixed-Use Property with
For Sale
$2,998,000
1625 Palmetto Avenue, Pacifica, CA 94044
Pacifica asset combining one-bedroom residences, retail layouts, balconies, garage parking, and on-site laundry.
Property Size7,480 SF
Lot Size0.25 Acres
Price / SF$400.80
Days on Market10
Property Features for 1625 Palmetto Avenue
General Information
Standard status
Active
Size
7,480 SF
Lot size
0.25 Acres
Property subtype
General Commercial
Units
Unit Mix
4 x 1BR
Multifamily Units
4
Additional Details
Highway Access
Yes
Taxes and HOA fees
Annual Taxes
$39,716
Amenities
private balconies
garage parking
on-site laundry facility
3
Shingle
14 Parking Spaces.
Building Details
Year Built
1981
Listing Agency:
Marcus & Millichap
(650) 391-1700
Listed By:
Cole Simpson · License #(S):CA:02016525
Source:
Xome
Added: Aug 8
Changed: Aug 16
Last Checked: Aug 17 at 4:41AM
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 Marcus & Millichap
Investment Insights
Based on property information with market context.
Located at 1625 Palmetto Avenue, this mixed-use property combines residential and retail components within an approximately 7,480-square-foot building on a 10,835-square-foot parcel. Constructed in 1981, the asset is described as including four one-bedroom residential layouts and four retail floor plans. Private balconies, garage parking, on-site laundry, and 14 parking spaces add practical features for occupants and visitors.
The property is in Pacifica, a beachfront city positioned approximately fifteen minutes from San Francisco. Highway 1 provides regional connectivity, with access to San Francisco International Airport and San Jose International Airport. The surrounding setting includes beaches and hiking areas such as Rockaway Beach, Sharp Park Beach, Mori Point, Milagra Ridge, and Sweeney Ridge.
The property is in Pacifica, a beachfront city positioned approximately fifteen minutes from San Francisco. Highway 1 provides regional connectivity, with access to San Francisco International Airport and San Jose International Airport. The surrounding setting includes beaches and hiking areas such as Rockaway Beach, Sharp Park Beach, Mori Point, Milagra Ridge, and Sweeney Ridge.
Key Highlights
- Mixed‑use building with approximately 7,480 square feet on a 10,835‑square‑foot parcel
- Four one‑bedroom residential layouts and four retail floor plans
- Constructed in 1981
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
$241,632
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
8.06%
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%
$4,832,640
$4.8M
Cap Rate 7%
$3,451,886
$3.5M
Cap Rate 9%
$2,684,800
$2.7M
Market Conditions
NOI Build-Up for 7,480 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
$513.4K $68.64/SF
− Vacancy
−$126.8K −$16.95/SF
EGI
$386.6K $51.69/SF
− OpEx
−$145.0K −$19.38/SF
NOI
$241.6K $32.30/SF
Area
San Mateo County, CA
Vacancy
24.70%
Lease Rate
$68.64 /SF/Yr
Expense Ratio
37.50%
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%
$4,832,640
Cap Rate 7%
$3,451,886
Cap Rate 9%
$2,684,800
Alternative Uses
Best Use
Mixed Use
$3.45M
$3.02M – $4.03M
NOI $241,632 @ 7.0% cap · market cap 8.06%
Second Best
Apartment 5plus
$2.91M
$2.54M – $3.39M
NOI $203,584 @ 7.0% cap · market cap 6.79%
Theoretical Best
Warehouse
$5.94M
$5.20M – $6.93M
NOI $415,902 @ 7.0% cap · market cap 13.87%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
539
Businesses Nearby
Explore this area
Business Placement
Demographics for 94044, CA
38,675
Population
14,609
Households
2.6
Avg Household Size
43
Median Age
48%
College-Educated
96%
High-School Grad
15.1 sq mi
ZIP Area
2,561
Density / Sq Mi
$156,658
Median Household Income
$75,296
Median Earnings
$3,075
Median Rent
$1,211,700
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Pacifica asset combining one-bedroom residences, retail layouts, balconies, garage parking, and on-site laundry.
Where is this mixed-use property located?
The property is located at 1625 Palmetto Avenue Pacifica, CA.
What is the asking price?
The asking price for this property is $2,998,000.
What are key features of this property?
This property features: Mixed‑use building with approximately 7,480 square feet on a 10,835‑square‑foot parcel; Four one‑bedroom residential layouts and four retail floor plans; Constructed in 1981
