Downtown Forest Grove Leased
For Sale
Contact for pricing
1927 21st Ave, Forest Grove, OR
Restaurant, bar, stage, dance floor, and arcade included.
Property Size10,268 SF
Lot Size0.51 Acres
Price / SF$243.47
Days on Market1179
Property Features for 1927 21st Ave
General Information
Standard status
Active
Size
10,268 SF
Lot size
0.51 Acres
Property subtype
RETAIL
Listing Agency:
Norris & Stevens, Inc. - Corporate
(503) 223-3171
Listed By:
Tim Budelman
(503) 225-8472
Source:
Moodyscre
Added: Jun 28, 2023
Changed: Sep 4
Last Checked: Sep 16 at 9:07PM
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 Norris & Stevens, Inc. - Corporate
Investment Insights
Based on property information with market context.
This commercial property, currently 100% leased, is located in downtown Forest Grove, Oregon, a rapidly growing city. The building, which includes a restaurant, bar, stage, dance floor, and arcade, is situated two blocks from Pacific University. The property offers 16 parking spaces, supplemented by ample street parking. The building has a size of 10,268 square feet.
Key Highlights
- Located in the heart of downtown Forest Grove, one of Oregon’s fastest growing cities.
- Building currently 100% leased.
- Diversity cafe includes a restaurant, bar, stage, dance floor and arcade.
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
$158,856
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
6.35%
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%
$3,177,120
$3.2M
Cap Rate 7%
$2,269,371
$2.3M
Cap Rate 9%
$1,765,067
$1.8M
Market Conditions
NOI Build-Up for 10,268 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
$221.8K $21.60/SF
− Vacancy
−$10.0K −$0.97/SF
EGI
$211.8K $20.63/SF
− OpEx
−$53.0K −$5.16/SF
NOI
$158.9K $15.47/SF
Area
Washington County, OR
Vacancy
4.50%
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%
$3,177,120
Cap Rate 7%
$2,269,371
Cap Rate 9%
$1,765,067
Alternative Uses
Best Use
Specialty Retail
$2.27M
$1.99M – $2.65M
NOI $158,856 @ 7.0% cap · market cap 6.35%
Second Best
Retail
$1.66M
$1.46M – $1.94M
NOI $116,439 @ 7.0% cap · market cap 4.66%
Theoretical Best
Office A
$2.77M
$2.43M – $3.23M
NOI $194,011 @ 7.0% cap · market cap 7.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
748
Businesses Nearby
27k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 60%
Shops & Services 40%
Dutch Bros. Coffee
Dining
14,309 visits/mo
0.5 miles
Chevron
Shops & Services
6,307 visits/mo
0.4 miles
Wells Fargo
Shops & Services
2,477 visits/mo
0.2 miles
Pizza Hut
Dining
1,343 visits/mo
0.4 miles
H&R Block
Shops & Services
1,253 visits/mo
0.4 miles
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in West region
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Similar Off Market Nearby
- Waltz Brewing — 1900 A St, Forest Grove, OR 97116
- Red Rooster Saloon — 2004 Main St #110, Forest Grove, OR 97116
- Diamond Palace — 1921 Main St, Forest Grove, OR 97116
- Ridgewalker Brewing — 1921 21st Ave, Forest Grove, OR 97116
- The Growler Garage — 1837 Pacific Ave Suite 133, Forest Grove, OR 97116
Frequently Asked Questions
What type of property is this?
Bar & Pub - Restaurant, bar, stage, dance floor, and arcade included.
Where is this bar & pub located?
The property is located at 1927 21st Ave Forest Grove, OR.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: Located in the heart of downtown Forest Grove, one of Oregon’s fastest growing cities.; Building currently 100% leased.; Diversity cafe includes a restaurant, bar, stage, dance floor and arcade.
