Established Restaurant on High-Traffic
For Sale
Contact for pricing
1736 Union Avenue, Bakersfield, CA 93305
Prime C-2 real estate with successful, long-standing restaurant.
Property Size3,681 SF
Lot Size0.50 Acres
Price / SF$203.75
Days on Market159
Property Features for 1736 Union Avenue
General Information
Standard status
Active
Size
3,681 SF
Lot size
0.50 Acres
Property subtype
Special Purpose
Building Details
Year Built
1965
Listing Agency:
Coldwell Banker Preferred, Realtors
(661) 205-7078
Listed By:
Adam Belter · License #CA
Source:
Crexi
Added: Mar 24
Changed: Aug 26
Last Checked: Aug 26 at 7:05PM
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 Coldwell Banker Preferred, Realtors
Investment Insights
Based on property information with market context.
This is an opportunity to own a commercial property located on a high-traffic corner. The property is currently operating as a long-standing Mexican restaurant. Situated on Union Avenue and 18th Street, the location benefits from significant traffic flow, with Union Avenue averaging between 23,000 and 32,000 vehicles per day and 18th Street averaging between 2,000 and 3,000 vehicles per day. The parcel is just under 1/2 acre and includes a 3,681 square foot restaurant building. The sale price includes the land, building, all fixtures, a liquor license, kitchen equipment, security gates, and inventory. The seller is open to considering selling just the land and building. The restaurant is currently operational, and prospective buyers are requested not to disturb the ongoing business operations.
Key Highlights
- High‑traffic corner location on Union Avenue (23,000‑32,000 cars per day) and 18th Street (2,000‑3,000 cars per day).
- Includes land, building (3,681 sq ft restaurant), fixtures, liquor license, kitchen equipment, security gates, and inventory.
- Established, successful Mexican restaurant business included.
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
$37,767
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
5.04%
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%
$755,340
$755.3K
Cap Rate 7%
$539,529
$539.5K
Cap Rate 9%
$419,633
$419.6K
Market Conditions
NOI Build-Up for 3,681 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
$53.0K $14.40/SF
− Vacancy
−$2.7K −$0.72/SF
EGI
$50.4K $13.68/SF
− OpEx
−$12.6K −$3.42/SF
NOI
$37.8K $10.26/SF
Area
Bakersfield, CA
Vacancy
5.00%
Lease Rate
$14.40 /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%
$755,340
Cap Rate 7%
$539,529
Cap Rate 9%
$419,633
Alternative Uses
Best Use
Specialty Retail
$539.5K
$472.1K – $629.5K
NOI $37,767 @ 7.0% cap · market cap 5.04%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$976.8K
$854.7K – $1.14M
NOI $68,378 @ 7.0% cap · market cap 9.12%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
722
Businesses Nearby
16k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Fastrip
Shops & Services
6,138 visits/mo
0.5 miles
76
Shops & Services
4,619 visits/mo
0.2 miles
Watermill Express
Shops & Services
2,886 visits/mo
0.5 miles
Valero Energy
Shops & Services
2,606 visits/mo
0.2 miles
Demographics for 93305, CA
38,392
Population
11,824
Households
3.2
Avg Household Size
29
Median Age
9%
College-Educated
64%
High-School Grad
5.8 sq mi
ZIP Area
6,619
Density / Sq Mi
$41,290
Median Household Income
$27,936
Median Earnings
$1,065
Median Rent
$245,000
Median Home Value
Market
Vacancy Rate% for Retail in Bakersfield, CA
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 - Prime C-2 real estate with successful, long-standing restaurant.
Where is this conventional restaurant located?
The property is located at 1736 Union Avenue Bakersfield, CA.
What is the asking price?
The asking price for this property is $749,999.
What are key features of this property?
This property features: High‑traffic corner location on Union Avenue (23,000‑32,000 cars per day) and 18th Street (2,000‑3,000 cars per day).; Includes land, building (3,681 sq ft restaurant), fixtures, liquor license, kitchen equipment, security gates, and inventory.; Established, successful Mexican restaurant business included.
