Open-Layout Restaurant
New
For Sale
$1,750,999
2 Regency Parkway, Hilton Head Island, SC 29928
Commercial, Hilton Head Island, SC
Property Size4,848 SF
Price / SF$361.18
Days on Market3
Property Features for 2 Regency Parkway
General Information
Property type
Commercial Sale
Property subtype
Other
Subdivision
Hilton Head Commercial
Standard status
Active
Listing Agency:
Howard Hanna Allen Tate Lowcountry (222) · Weichert
(843) 341-3700
Listed By:
Carol Romano Geraghty
(843) 301-4820
Added: Sep 24
Last Checked: Sep 26 at 2:06AM
MLS# 513109
Copyright © 2026 REsides, Inc. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 4,848-square-foot commercial building is configured for restaurant use and features an open interior layout that can be adapted to a new operator’s plans. The property is currently outfitted for restaurant operations and is immediately available for occupancy.
Located at 2 Regency Parkway in Hilton Head Island, the building sits along Highway 278 in Beaufort County. Its commercial setting and existing restaurant configuration provide a practical starting point for continued restaurant use or a revised buildout.
Located at 2 Regency Parkway in Hilton Head Island, the building sits along Highway 278 in Beaufort County. Its commercial setting and existing restaurant configuration provide a practical starting point for continued restaurant use or a revised buildout.
Key Highlights
- 4,848‑square‑foot commercial building
- Configured for restaurant use
- Open interior layout
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
$84,122
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
4.80%
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%
$1,682,440
$1.7M
Cap Rate 7%
$1,201,743
$1.2M
Cap Rate 9%
$934,689
$934.7K
Market Conditions
NOI Build-Up for 4,848 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
$116.4K $24.00/SF
− Vacancy
−$4.2K −$0.86/SF
EGI
$112.2K $23.14/SF
− OpEx
−$28.0K −$5.78/SF
NOI
$84.1K $17.35/SF
Area
Beaufort County, SC
Vacancy
3.60%
Lease Rate
$24.00 /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%
$1,682,440
Cap Rate 7%
$1,201,743
Cap Rate 9%
$934,689
Alternative Uses
Best Use
Specialty Retail
$1.20M
$1.05M – $1.40M
NOI $84,122 @ 7.0% cap · market cap 4.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.46M
$1.28M – $1.71M
NOI $102,390 @ 7.0% cap · market cap 5.85%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
423
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 29928, SC
15,538
Population
19,204
Households
0.8
Avg Household Size
63
Median Age
63%
College-Educated
98%
High-School Grad
20.7 sq mi
ZIP Area
751
Density / Sq Mi
$97,979
Median Household Income
$46,798
Median Earnings
$1,806
Median Rent
$776,600
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Restaurant-configured commercial building on Highway 278 with a spacious interior ready for customization.
Where is this conventional restaurant located?
The property is located at 2 Regency Parkway Hilton Head Island, SC.
What is the asking price?
The asking price for this property is $1,750,999.
What are key features of this property?
This property features: 4,848‑square‑foot commercial building; Configured for restaurant use; Open interior layout
