C-2 Storefront
For Sale
$1,100,000
2181 E State Route 89a, Cottonwood, AZ 86326
Updated commercial building with basement space, parking, and both municipal water and an individual well.
Property Size2,081 SF
Lot Size1.19 Acres
Price / SF$528.59
Days on Market151
Property Features for 2181 E State Route 89a
General Information
Standard status
Active
Size
2,081 SF
Lot size
1.19 Acres
Zoning
C-2
Additional Details
Utilities to Site
Yes
Land Use
commercial
Taxes and HOA fees
Annual Taxes
$6,203
Listing Agency:
Coldwell Banker Realty
(928) 300-6838
Listed By:
Gina Lee · License #SA572235000
(928) 300-6838
Source:
Exprealty
Added: Apr 3
Changed: Aug 30
Last Checked: Aug 30 at 7:22PM
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 Coldwell Banker Realty
Investment Insights
Based on property information with market context.
This storefront property occupies 1.19 acres and is designated C-2. The building includes a 1,260-square-foot basement, with the basement area excluded from the stated above-grade square footage. Improvements include a roof replacement completed in 2016, a new HVAC system installed in 2020, and new flooring in the main area and kitchen.
The property has ample parking and receives water service from the city as well as an individual well. Located at 2181 E State Route 89a in Cottonwood, the real estate is offered without the existing business.
The property has ample parking and receives water service from the city as well as an individual well. Located at 2181 E State Route 89a in Cottonwood, the real estate is offered without the existing business.
Key Highlights
- 1.19 acres of C‑2 commercial property
- 1,260‑square‑foot basement excluded from the stated square footage
- Roof replaced in 2016
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
$36,074
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
3.28%
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%
$721,480
$721.5K
Cap Rate 7%
$515,343
$515.3K
Cap Rate 9%
$400,822
$400.8K
Market Conditions
NOI Build-Up for 2,081 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
$54.2K $26.04/SF
− Vacancy
−$2.7K −$1.28/SF
EGI
$51.5K $24.76/SF
− OpEx
−$15.5K −$7.43/SF
NOI
$36.1K $17.33/SF
Area
Yavapai County, AZ
Vacancy
4.90%
Lease Rate
$26.04 /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%
$721,480
Cap Rate 7%
$515,343
Cap Rate 9%
$400,822
Alternative Uses
Best Use
Retail
$515.3K
$450.9K – $601.2K
NOI $36,074 @ 7.0% cap · market cap 3.28%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$697.1K
$610.0K – $813.3K
NOI $48,799 @ 7.0% cap · market cap 4.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
822
Businesses Nearby
269k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 46%
Shops & Services 23%
Groceries 13%
Home Improvements & Furnishings 11%
Fry's
Groceries
33,845 visits/mo
0.2 miles
The Home Depot
Home Improvements & Furnishings
25,577 visits/mo
0.2 miles
McDonald's
Dining
24,711 visits/mo
0.1 miles
Fry's Fuel Center
Shops & Services
18,174 visits/mo
0.1 miles
Starbucks
Dining
18,038 visits/mo
0.1 miles
Demographics for 86326, AZ
24,465
Population
12,243
Households
2
Avg Household Size
49
Median Age
25%
College-Educated
91%
High-School Grad
45.5 sq mi
ZIP Area
538
Density / Sq Mi
$58,250
Median Household Income
$36,479
Median Earnings
$1,102
Median Rent
$312,400
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Similar Off Market Nearby
- Flowers Unlimited — 820 Cove Pkwy, Cottonwood, AZ 86326
- Old Town Floral — 529 S Main St, Cottonwood, AZ 86326
Frequently Asked Questions
What type of property is this?
Storefront property - Updated commercial building with basement space, parking, and both municipal water and an individual well.
Where is this storefront property located?
The property is located at 2181 E State Route 89a Cottonwood, AZ.
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: 1.19 acres of C‑2 commercial property; 1,260‑square‑foot basement excluded from the stated square footage; Roof replaced in 2016
