Fairfax Mixed-Use Development
For Sale
$2,650,000
2170 Sir Francis Drake Boulevard, Fairfax, CA 94930
1.22-acre property with development potential in Fairfax's Commercial Limited district.
Property Size6,113 SF
Lot Size1.17 Acres
Price / SF$433.50
Days on Market211
Property Features for 2170 Sir Francis Drake Boulevard
General Information
Standard status
Active
Size
6,113 SF
Lot size
1.17 Acres
Property subtype
Commercial
Building Details
Year Built
1903
Listing Agency:
ARG REAL ESTATE
(415) 724-6391
Listed By:
JASON D GOMEZ · License #01391802
Source:
Corcoran
Added: Jan 23
Changed: Aug 21
Last Checked: Aug 22 at 6:41AM
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 ARG REAL ESTATE
Investment Insights
Based on property information with market context.
This 1.22-acre property is located in Fairfax within the Commercial Limited (CL) zoning district and identified by the Town of Fairfax as a housing opportunity location within the town's Workforce overlay map. The property contains two primary structures. The first is a renovated Victorian building, formerly an art gallery, featuring a bright, open main level and a large, open lower level previously used as additional gallery space. This building is versatile for creative, commercial, or mixed-use concepts. The second structure, referred to as 'The Barn', is a freestanding building with wide-open interiors, last used as a retail shop. The site also includes several smaller outbuildings that were recently used by local artisans for small-scale creative work and craft production, offering additional utility or future redevelopment options. The property, also known as 10 Olema Rd, features expansive grounds, mature natural surroundings, and close proximity to downtown Fairfax.
Key Highlights
- 1.22‑acre property in the heart of Fairfax with Commercial Limited (CL) zoning.
- Identified as a housing opportunity location within the town's Workforce overlay map.
- Two primary structures: Renovated Victorian and a freestanding Barn.
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
$123,788
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
4.67%
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%
$2,475,760
$2.5M
Cap Rate 7%
$1,768,400
$1.8M
Cap Rate 9%
$1,375,422
$1.4M
Market Conditions
NOI Build-Up for 6,113 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
$220.1K $36.00/SF
− Vacancy
−$22.0K −$3.60/SF
EGI
$198.1K $32.40/SF
− OpEx
−$74.3K −$12.15/SF
NOI
$123.8K $20.25/SF
Area
Marin County, CA
Vacancy
10.00%
Lease Rate
$36.00 /SF/Yr
Expense Ratio
37.50%
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%
$2,475,760
Cap Rate 7%
$1,768,400
Cap Rate 9%
$1,375,422
Alternative Uses
Best Use
Mixed Use
$1.77M
$1.55M – $2.06M
NOI $123,788 @ 7.0% cap · market cap 4.67%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$29.86M
$26.13M – $34.84M
NOI $2,090,165 @ 7.0% cap · market cap 78.87%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
747
Businesses Nearby
Explore this area
Business Placement
Demographics for 94930, CA
8,729
Population
3,729
Households
2.3
Avg Household Size
49
Median Age
66%
College-Educated
97%
High-School Grad
14.2 sq mi
ZIP Area
615
Density / Sq Mi
$136,341
Median Household Income
$65,945
Median Earnings
$2,314
Median Rent
$1,152,100
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - 1.22-acre property with development potential in Fairfax's Commercial Limited district.
Where is this mixed-use property located?
The property is located at 2170 Sir Francis Drake Boulevard Fairfax, CA.
What is the asking price?
The asking price for this property is $2,650,000.
What are key features of this property?
This property features: 1.22‑acre property in the heart of Fairfax with Commercial Limited (CL) zoning.; Identified as a housing opportunity location within the town's Workforce overlay map.; Two primary structures: Renovated Victorian and a freestanding Barn.
