Commercial Property in Tehachapi,
For Sale
$499,000
20031 W Valley Boulevard, Tehachapi, CA 93561
Commercial Sale, Tehachapi, CA
Property Size3,340 SF
Lot Size0.24 Acres
Price / SF$149.40
Days on Market97
Property Features for 20031 W Valley Boulevard
General Information
Property type
Residential
Property subtype
Office
Zoning
C-2
Subdivision
County
Standard status
Active
APN
46807113
Size
3,340 SF
Lot size
0.24 Acres
Taxes and HOA fees
Tax Annual Amount
3993
Building Details
Year built
1984
Listing Agency:
Tehachapi Summit Real Estate
(661) 822-8888
Listed By:
Adonae Faris · License #1881511
(310) 775-0786
Added: May 17
Changed: Aug 19
Last Checked: Aug 21 at 5:06PM
MLS# 9994031
Copyright © 2026 Tehachapi Area Association of Realtors. 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 commercial property is located in the heart of Tehachapi's business corridor, offering excellent visibility along Valley Blvd. The property is fully occupied and versatile, with easy access and two off-street parking lots, in addition to alley access. It is surrounded by established local businesses and professional services, making it suitable for a variety of uses. The property has a long-term established tenant and delivers an attractive 8% cap rate. The lot size is 0.24 acres and the property size is 3340 square feet. The zoning is C-2.
Key Highlights
- Attractive 8% cap rate offers strong investment yield.
- Fully occupied with a long‑term established tenant provides immediate income and stability.
- Excellent visibility on Valley Blvd in Tehachapi's vibrant business corridor.
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
$38,378
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
7.69%
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%
$767,560
$767.6K
Cap Rate 7%
$548,257
$548.3K
Cap Rate 9%
$426,422
$426.4K
Market Conditions
NOI Build-Up for 3,340 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
$58.1K $17.40/SF
− Vacancy
−$6.9K −$2.08/SF
EGI
$51.2K $15.32/SF
− OpEx
−$12.8K −$3.83/SF
NOI
$38.4K $11.49/SF
Area
Kern County, CA
Vacancy
11.95%
Lease Rate
$17.40 /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%
$767,560
Cap Rate 7%
$548,257
Cap Rate 9%
$426,422
Alternative Uses
Best Use
Office B
$548.3K
$479.7K – $639.6K
NOI $38,378 @ 7.0% cap · market cap 7.69%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$713.5K
$624.3K – $832.4K
NOI $49,946 @ 7.0% cap · market cap 10.01%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
464
Businesses Nearby
Explore this area
Business Placement
Demographics for 93561, CA
31,091
Population
13,876
Households
2.2
Avg Household Size
42
Median Age
28%
College-Educated
92%
High-School Grad
301.8 sq mi
ZIP Area
103
Density / Sq Mi
$86,149
Median Household Income
$52,088
Median Earnings
$1,299
Median Rent
$377,400
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - Well-located commercial property with high visibility and income potential.
Where is this office building located?
The property is located at 20031 W Valley Boulevard Tehachapi, CA.
What is the asking price?
The asking price for this property is $499,000.
What are key features of this property?
This property features: Attractive 8% cap rate offers strong investment yield.; Fully occupied with a long‑term established tenant provides immediate income and stability.; Excellent visibility on Valley Blvd in Tehachapi's vibrant business corridor.
