Industrial Manufacturing
For Sale
Contact for pricing
1945 Industrial Way, Sanger, CA 93657
Industrial manufacturing property for private label baby food production in California’s Central Valley region.
Property Size28,500 SF
Price / SF$261.40
Days on Market68
Property Features for 1945 Industrial Way
General Information
Standard status
Active
Size
28,500 SF
Property subtype
Industrial
Lease Type
Absolute NNN
Investment Type
Net Lease
Building Details
Year Built
2020
Year Renovated
2020
Tenancy
Single
Listing Agency:
Marcus & Millichap - Sacramento
(916) 724-1400
Listed By:
Ross Relles, III · License #01975497
Source:
Crexi
Added: Jun 4
Changed: Aug 8
Last Checked: Aug 9 at 3:39PM
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 Marcus & Millichap - Sacramento
Investment Insights
Based on property information with market context.
This offering is an industrial manufacturing facility associated with Initiative Foods, a private label baby food manufacturer. The company is headquartered in California’s Central Valley region and focuses on producing private label baby foods as part of its manufacturing operations.
The property is located at 1945 Industrial Way in Sanger, California, within the Central Valley area referenced by the company. That positioning is tied to the manufacturer’s stated emphasis on leveraging proximity to high-quality fruits and vegetables used in its production process.
For buyers or operators seeking a manufacturing-focused facility aligned with food production and private label baby food manufacturing, this site offers a practical fit based on its documented association with Initiative Foods’ production mission. Prospective tenants and purchasers can evaluate the property for its suitability for industrial manufacturing and related processes, using the company’s operating context as a reference point for planning and due diligence.
The property is located at 1945 Industrial Way in Sanger, California, within the Central Valley area referenced by the company. That positioning is tied to the manufacturer’s stated emphasis on leveraging proximity to high-quality fruits and vegetables used in its production process.
For buyers or operators seeking a manufacturing-focused facility aligned with food production and private label baby food manufacturing, this site offers a practical fit based on its documented association with Initiative Foods’ production mission. Prospective tenants and purchasers can evaluate the property for its suitability for industrial manufacturing and related processes, using the company’s operating context as a reference point for planning and due diligence.
Key Highlights
- Industrial manufacturing property for private label baby food production in California’s Central Valley region
- Year built: 2020
- Headquartered in California’s Central Valley region
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
$368,370
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
4.94%
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%
$7,367,400
$7.4M
Cap Rate 7%
$5,262,429
$5.3M
Cap Rate 9%
$4,093,000
$4.1M
Market Conditions
NOI Build-Up for 28,500 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
$557.5K $19.56/SF
− Vacancy
−$31.2K −$1.10/SF
EGI
$526.2K $18.46/SF
− OpEx
−$157.9K −$5.54/SF
NOI
$368.4K $12.93/SF
Area
Fresno County, CA
Vacancy
5.60%
Lease Rate
$19.56 /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%
$7,367,400
Cap Rate 7%
$5,262,429
Cap Rate 9%
$4,093,000
Alternative Uses
Best Use
Industrial
$5.26M
$4.60M – $6.14M
NOI $368,370 @ 7.0% cap · market cap 4.94%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$8.08M
$7.07M – $9.42M
NOI $565,433 @ 7.0% cap · market cap 7.59%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
202
Businesses Nearby
Explore this area
Business Placement
Demographics for 93657, CA
37,464
Population
11,677
Households
3.2
Avg Household Size
34
Median Age
15%
College-Educated
76%
High-School Grad
225.8 sq mi
ZIP Area
166
Density / Sq Mi
$77,655
Median Household Income
$37,574
Median Earnings
$1,123
Median Rent
$382,700
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?
Manufacturing property - Industrial manufacturing property for private label baby food production in California’s Central Valley region.
Where is this manufacturing property located?
The property is located at 1945 Industrial Way Sanger, CA.
What is the asking price?
The asking price for this property is $7,450,000.
What are key features of this property?
This property features: Industrial manufacturing property for private label baby food production in California’s Central Valley region; Year built: 2020; Headquartered in California’s Central Valley region
