Restaurant Space with
New
For Sale
$999,000
1818 SE 122nd Ave, Portland, OR 97233
Existing restaurant infrastructure allows continued restaurant use or adaptation to a new concept.
Property Size4,945 SF
Price / SF$202.02
Days on Market2
Property Features for 1818 SE 122nd Ave
General Information
Standard status
Active
Size
4,945 SF
Property subtype
Retail
Listing Agency:
Portland
(503) 499-0051
Listed By:
Jon Rubey · License #200606420
(503) 499-0051
Source:
Colliers
Added: Aug 9
Changed: Aug 10
Last Checked: Aug 10 at 2:53AM
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 Portland
Investment Insights
Based on property information with market context.
This 4,945-square-foot former restaurant property retains restaurant infrastructure that can support continued use in that format or a different configuration. The space offers a practical starting point for an operator seeking an existing commercial restaurant setting without limiting the property to its prior concept.
Positioned along a high-traffic corridor at 1818 SE 122nd Ave in Portland, the property includes dedicated off-street parking, with additional on-street parking available for customers and visitors. The combination of existing restaurant improvements and multiple parking options provides a functional foundation for a range of restaurant-oriented plans.
Positioned along a high-traffic corridor at 1818 SE 122nd Ave in Portland, the property includes dedicated off-street parking, with additional on-street parking available for customers and visitors. The combination of existing restaurant improvements and multiple parking options provides a functional foundation for a range of restaurant-oriented plans.
Key Highlights
- 4,945 SF former restaurant space with existing restaurant infrastructure
- Dedicated off‑street parking included
- Abundant on‑street parking for customers and visitors
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
$66,579
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
6.66%
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%
$1,331,580
$1.3M
Cap Rate 7%
$951,129
$951.1K
Cap Rate 9%
$739,767
$739.8K
Market Conditions
NOI Build-Up for 4,945 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
$94.9K $19.20/SF
− Vacancy
−$6.2K −$1.25/SF
EGI
$88.8K $17.95/SF
− OpEx
−$22.2K −$4.49/SF
NOI
$66.6K $13.46/SF
Area
Portland, OR
Vacancy
6.50%
Lease Rate
$19.20 /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%
$1,331,580
Cap Rate 7%
$951,129
Cap Rate 9%
$739,767
Alternative Uses
Best Use
Specialty Retail
$951.1K
$832.2K – $1.11M
NOI $66,579 @ 7.0% cap · market cap 6.66%
Second Best
Retail
$823.3K
$720.4K – $960.6K
NOI $57,634 @ 7.0% cap · market cap 5.77%
Theoretical Best
Office A
$1.39M
$1.22M – $1.62M
NOI $97,207 @ 7.0% cap · market cap 9.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
989
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 97233, OR
41,625
Population
14,844
Households
2.8
Avg Household Size
34
Median Age
18%
College-Educated
80%
High-School Grad
4.6 sq mi
ZIP Area
9,049
Density / Sq Mi
$54,886
Median Household Income
$37,216
Median Earnings
$1,352
Median Rent
$385,100
Median Home Value
Market
Vacancy Rate% for Retail in Portland, OR
Questions? Ask Rey
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Similar Off Market Nearby
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Existing restaurant infrastructure allows continued restaurant use or adaptation to a new concept.
Where is this conventional restaurant located?
The property is located at 1818 SE 122nd Ave Portland, OR.
What is the asking price?
The asking price for this property is $999,000.
What are key features of this property?
This property features: 4,945 SF former restaurant space with existing restaurant infrastructure; Dedicated off‑street parking included; Abundant on‑street parking for customers and visitors
