Two-Unit Flex
For Sale
$1,100,000
16788 Smoke Tree, Hesperia, CA 92345
Separate yards, metering, and 200-amp service support adaptable commercial operations.
Property Size5,533 SF
Price / SF$198.81
Days on Market129
Property Features for 16788 Smoke Tree
General Information
Standard status
Active
Size
5,533 SF
Property subtype
Industrial
Site & Location
Fenced Yard
Yes
Outdoor Storage
Yes
Utilities to Site
Yes
Additional Details
Power
200 amps
Building Details
Building Size
5,533 SF
Year Renovated
2019
Buildings
1
Tenancy
Multi
Listing Agency:
Lee & Associates
(760) 241-5211
Listed By:
Elizabeth Brown · License #01382494
Source:
Elliman
Added: Apr 24
Changed: Aug 29
Last Checked: Aug 29 at 3:16PM
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 Lee & Associates
Investment Insights
Based on property information with market context.
This ±5,533 SF flex-space property is configured as two independent units. One unit has been recently remodeled and is ready for occupancy, while the second is occupied under a month-to-month tenancy. Each side includes a gated yard, separate utility metering, and 200-amp power. The layout supports service-oriented and automotive-related operations, with on-site parking included.
Located in Hesperia’s industrial corridor near Main Street, the property is positioned at 16788 Smoke Tree. Capital improvements include a roof and septic system installed in 2019, and a clean environmental report is available as part of the property’s documented condition.
Located in Hesperia’s industrial corridor near Main Street, the property is positioned at 16788 Smoke Tree. Capital improvements include a roof and septic system installed in 2019, and a clean environmental report is available as part of the property’s documented condition.
Key Highlights
- ±5,533 SF flex‑space property with two separate units
- One unit recently remodeled and available for immediate use
- Each unit includes a gated yard and separate utility metering
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
$72,245
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
6.57%
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%
$1,444,900
$1.4M
Cap Rate 7%
$1,032,071
$1.0M
Cap Rate 9%
$802,722
$802.7K
Market Conditions
NOI Build-Up for 5,533 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
$119.5K $21.60/SF
− Vacancy
−$8.4K −$1.51/SF
EGI
$111.1K $20.09/SF
− OpEx
−$38.9K −$7.03/SF
NOI
$72.2K $13.06/SF
Area
Hesperia, CA
Vacancy
7.00%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
35.00%
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%
$1,444,900
Cap Rate 7%
$1,032,071
Cap Rate 9%
$802,722
Alternative Uses
Best Use
Flex RnD
$1.03M
$903.1K – $1.20M
NOI $72,245 @ 7.0% cap · market cap 6.57%
Second Best
Industrial
$640.1K
$560.1K – $746.8K
NOI $44,808 @ 7.0% cap · market cap 4.07%
Theoretical Best
Office A
$1.57M
$1.37M – $1.83M
NOI $109,846 @ 7.0% cap · market cap 9.99%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Fenced yard
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
15
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 92345, CA
86,499
Population
27,247
Households
3.2
Avg Household Size
34
Median Age
11%
College-Educated
77%
High-School Grad
98.9 sq mi
ZIP Area
875
Density / Sq Mi
$65,949
Median Household Income
$37,235
Median Earnings
$1,499
Median Rent
$359,700
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Separate yards, metering, and 200-amp service support adaptable commercial operations.
Where is this flex space located?
The property is located at 16788 Smoke Tree Hesperia, CA.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: ±5,533 SF flex‑space property with two separate units; One unit recently remodeled and available for immediate use; Each unit includes a gated yard and separate utility metering
