Freestanding Restaurant with Development
For Sale
$1,100,000
201 West W Whittier, Montebello, CA 90640
Operating restaurant on large lot with redevelopment possibilities.
Property Size1,500 SF
Lot Size0.27 Acres
Price / SF$733.33
Days on Market91
Property Features for 201 West W Whittier
General Information
Standard status
Active
Size
1,500 SF
Lot size
0.27 Acres
Property subtype
Lot/Land
Zoning
MNC2*
Listing Agency:
JC Pacific Corp
(949) 245-6226
Listed By:
Jack Cheng · License #01969949
(949) 245-6226
Source:
Compass
Added: May 27
Changed: Aug 25
Last Checked: Aug 24 at 12:22PM
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 JC Pacific Corp
Investment Insights
Based on property information with market context.
This freestanding restaurant is located in the heart of Montebello's downtown core. The 1,500 sqft interior is turn-key and fully operational, equipped with a complete commercial kitchen and professional hood system. Situated on an 11,777 sqft lot, the property includes a parking area with 20 dedicated spaces. The property benefits from exceptional visibility and daily exposure to pedestrian and vehicular traffic. Designated commercial C-2, this property supports a broad range of commercial uses and mixed-use development. Subject to city confirmation, this lot may accommodate the construction of up to 10 residential units, offering future expansion and redevelopment potential.
Key Highlights
- Freestanding, fully operational restaurant in a high foot‑traffic downtown location, offering immediate income potential.
- Large 11,777 sqft lot with 20 dedicated parking spaces, a rare amenity for a downtown commercial property.
- Significant redevelopment potential, with possible construction of up to 10 residential units (subject to city confirmation).
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
$35,557
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
3.23%
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%
$711,140
$711.1K
Cap Rate 7%
$507,957
$508.0K
Cap Rate 9%
$395,078
$395.1K
Market Conditions
NOI Build-Up for 1,500 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
$50.8K $33.84/SF
− Vacancy
−$3.4K −$2.23/SF
EGI
$47.4K $31.61/SF
− OpEx
−$11.9K −$7.90/SF
NOI
$35.6K $23.70/SF
Area
Los Angeles County, CA
Vacancy
6.60%
Lease Rate
$33.84 /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%
$711,140
Cap Rate 7%
$507,957
Cap Rate 9%
$395,078
Alternative Uses
Best Use
Specialty Retail
$508.0K
$444.5K – $592.6K
NOI $35,557 @ 7.0% cap · market cap 3.23%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$803.1K
$702.7K – $937.0K
NOI $56,217 @ 7.0% cap · market cap 5.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,234
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 90640, CA
62,678
Population
20,438
Households
3.1
Avg Household Size
38
Median Age
22%
College-Educated
74%
High-School Grad
8.3 sq mi
ZIP Area
7,552
Density / Sq Mi
$74,833
Median Household Income
$37,983
Median Earnings
$1,771
Median Rent
$660,600
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Operating restaurant on large lot with redevelopment possibilities.
Where is this conventional restaurant located?
The property is located at 201 West W Whittier Montebello, CA.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: Freestanding, fully operational restaurant in a high foot‑traffic downtown location, offering immediate income potential.; Large 11,777 sqft lot with **20 dedicated parking spaces**, a rare amenity for a downtown commercial property.; Significant redevelopment potential, with possible construction of up to 10 residential units (subject to city confirmation).
