San Jose Industrial Building For
For Sale
$9,995,000
1811 S 7th Street, San Jose, CA 95112
Centrally located industrial building with investment or owner-user potential.
Property Size33,240 SF
Lot Size2.08 Acres
Price / SF$300.69
Days on Market210
Property Features for 1811 S 7th Street
General Information
Standard status
Active
Size
33,240 SF
Lot size
2.08 Acres
Property subtype
Commercial
Amenities
Central air
Central Air Cooling
Central Heating
Concrete Slab Flooring
Flat Roof
Building Details
Year Built
1985
Listing Agency:
URBAN GROUP REAL ESTATE
(415) 863-1775
Listed By:
LOUIS CORNEJO · License #01518102
(415) 786-3662
Source:
Corcoran
Added: Feb 6
Changed: Sep 4
Last Checked: Sep 4 at 6:52AM
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 URBAN GROUP REAL ESTATE
Investment Insights
Based on property information with market context.
This centrally located industrial building offers potential for investors or owner-users looking to occupy the entire building. Strategically situated in the San Jose area, the property is suited for industrial and manufacturing ventures. The sale includes two APNs: 477-25-033 and 477-25-034. The property encompasses 33240 square feet.
Key Highlights
- Centrally located in the thriving San Jose area.
- Great potential for investors or owner‑user.
- Strong potential for industrial and manufacturing ventures.
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
$554,811
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
5.55%
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%
$11,096,220
$11.1M
Cap Rate 7%
$7,925,871
$7.9M
Cap Rate 9%
$6,164,567
$6.2M
Market Conditions
NOI Build-Up for 33,240 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
$857.6K $25.80/SF
− Vacancy
−$65.0K −$1.96/SF
EGI
$792.6K $23.84/SF
− OpEx
−$237.8K −$7.15/SF
NOI
$554.8K $16.69/SF
Area
San Jose, CA
Vacancy
7.58%
Lease Rate
$25.80 /SF/Yr
Expense Ratio
30.00%
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%
$11,096,220
Cap Rate 7%
$7,925,871
Cap Rate 9%
$6,164,567
Alternative Uses
Best Use
Industrial
$7.93M
$6.94M – $9.25M
NOI $554,811 @ 7.0% cap · market cap 5.55%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$20.07M
$17.57M – $23.42M
NOI $1,405,226 @ 7.0% cap · market cap 14.06%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,501
Businesses Nearby
Explore this area
Business Placement
Demographics for 95112, CA
60,754
Population
22,969
Households
2.6
Avg Household Size
33
Median Age
39%
College-Educated
82%
High-School Grad
7.3 sq mi
ZIP Area
8,322
Density / Sq Mi
$89,649
Median Household Income
$45,690
Median Earnings
$2,095
Median Rent
$956,300
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?
Industrial property - Centrally located industrial building with investment or owner-user potential.
Where is this industrial property located?
The property is located at 1811 S 7th Street San Jose, CA.
What is the asking price?
The asking price for this property is $9,995,000.
What are key features of this property?
This property features: Centrally located in the thriving San Jose area.; Great potential for investors or owner‑user.; Strong potential for industrial and manufacturing ventures.
