Built-Out Restaurant with Full
For Sale
$1,500,000
1710 Cerrillos, Santa Fe, NM 87505
COMMERCIAL - Santa Fe, NM
Property Size3,500 SF
Lot Size0.22 Acres
Price / SF$428.57
Days on Market93
Property Features for 1710 Cerrillos
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
C-2
Parking features
Parking Lot
Directions
Cerrillos to property
Standard status
Active
APN
018310116
Size
3,500 SF
Lot size
0.22 Acres
Taxes and HOA fees
Tax Description
T17N R9E S34, CAPITAL LAND & TOWNSITE ADDN, LOT 7-A, 0.261 AC
Legal Description
T17N R9E S34, CAPITAL LAND & TOWNSITE ADDN, LOT 7-A, 0.261 AC
Utilities
Sewer type
Public Sewer
Water source
Public
Building Details
Year built
1985
Listing Agency:
Varela Real Estate, Inc.
(505) 982-2525
Listed By:
Phillip Varela · License #18075
(505) 982-2525
Added: May 29
Changed: Aug 4
Last Checked: Aug 29 at 11:06AM
MLS# 202602355
Copyright © 2026 Santa Fe Association of REALTORS®, Inc. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Located at 1710 Cerrillos in Santa Fe, this 3,500-square-foot restaurant property occupies 0.22 acres and was built in 1985. The interior includes multiple dining areas, fireplaces, a bar, a full kitchen, and back-of-house prep, storage, and service areas. Existing equipment includes a full hood, three-compartment sinks, and a walk-in refrigerator. Two ADA bathrooms are also provided.
The property fronts a heavily traveled commercial corridor with over 45,000 cars passing per day. On-site parking is provided through a parking lot, while public water and public sewer serve the property. C-2 zoning supports its established restaurant configuration.
The property fronts a heavily traveled commercial corridor with over 45,000 cars passing per day. On-site parking is provided through a parking lot, while public water and public sewer serve the property. C-2 zoning supports its established restaurant configuration.
Key Highlights
- 3,500‑square‑foot restaurant property on 0.22 acres
- Over 45,000 cars passing per day along Cerrillos
- Full hood, three‑compartment sinks, and walk‑in refrigerator
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
$53,185
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
3.55%
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%
$1,063,700
$1.1M
Cap Rate 7%
$759,786
$759.8K
Cap Rate 9%
$590,944
$590.9K
Market Conditions
NOI Build-Up for 3,500 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
$75.6K $21.60/SF
− Vacancy
−$4.7K −$1.34/SF
EGI
$70.9K $20.26/SF
− OpEx
−$17.7K −$5.07/SF
NOI
$53.2K $15.20/SF
Area
Santa Fe County, NM
Vacancy
6.20%
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%
$1,063,700
Cap Rate 7%
$759,786
Cap Rate 9%
$590,944
Alternative Uses
Best Use
Specialty Retail
$759.8K
$664.8K – $886.4K
NOI $53,185 @ 7.0% cap · market cap 3.55%
Second Best
Industrial
$248.6K
$217.6K – $290.1K
NOI $17,405 @ 7.0% cap · market cap 1.16%
Theoretical Best
Office A
$950.4K
$831.6K – $1.11M
NOI $66,528 @ 7.0% cap · market cap 4.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
45,000 VPD
Traffic count
Yes
Paved road access
Yes
Commercial hood
Location Intelligence
Trade Area within ½ mile
1,716
Businesses Nearby
90k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 55%
Shops & Services 40%
Electronics 3%
Home Improvements & Furnishings 2%
SONIC Drive In
Dining
19,615 visits/mo
0.4 miles
Burger King
Dining
9,512 visits/mo
0.4 miles
Discount Tire Store
Shops & Services
8,754 visits/mo
0.5 miles
Sunrise Family Restaurant
Dining
7,759 visits/mo
0.4 miles
Valero Energy
Shops & Services
6,227 visits/mo
0.4 miles
Demographics for 87505, NM
32,078
Population
18,733
Households
1.7
Avg Household Size
52
Median Age
54%
College-Educated
94%
High-School Grad
65.1 sq mi
ZIP Area
493
Density / Sq Mi
$75,912
Median Household Income
$41,169
Median Earnings
$1,348
Median Rent
$484,100
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Conventional restaurant - C-2-zoned property offers dining areas, bar service, fireplaces, and dedicated back-of-house facilities.
Where is this conventional restaurant located?
The property is located at 1710 Cerrillos Santa Fe, NM.
What is the asking price?
The asking price for this property is $1,500,000.
What are key features of this property?
This property features: 3,500‑square‑foot restaurant property on 0.22 acres; Over 45,000 cars passing per day along Cerrillos; Full hood, three‑compartment sinks, and walk‑in refrigerator
