Light Industrial
For Sale
Contact for pricing
2300 Bay Road, Redwood City, CA 94063
M-1 zoning supports commercial and industrial use potential, subject to applicable city requirements and approvals.
Property Size5,600 SF
Lot Size0.21 Acres
Price / SF$747.86
Days on Market8
Property Features for 2300 Bay Road
General Information
Standard status
Active
Size
5,600 SF
Lot size
0.21 Acres
Property subtype
Industrial
Zoning
M-1
Building Details
Building Size
5,600 SF
Listing Agency:
Exit Realty Keystone
Listed By:
Juan Bustillos · License #01784315
Source:
Crexi
Added: Sep 5
Changed: Sep 11
Last Checked: Sep 12 at 5:45AM
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 Exit Realty Keystone
Investment Insights
Based on property information with market context.
This approximately 5,600-square-foot commercial property occupies an approximately 9,200-square-foot lot and is identified as M-1 Light Industrial. The property combines operational space with tenant-occupied portions, supporting both owner-user functionality and an established income stream.
Located at 2300 Bay Road in Redwood City, California, the asset is positioned within the Peninsula commercial market. Existing occupancy may accommodate a business seeking control of its real estate while retaining income from other portions of the property. Any use or future changes remain subject to applicable City of Redwood City requirements and approvals.
Located at 2300 Bay Road in Redwood City, California, the asset is positioned within the Peninsula commercial market. Existing occupancy may accommodate a business seeking control of its real estate while retaining income from other portions of the property. Any use or future changes remain subject to applicable City of Redwood City requirements and approvals.
Key Highlights
- Approximately 5,600 square feet of commercial property
- Approximately 9,200‑square‑foot lot
- Identified as M‑1 Light Industrial
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
$256,423
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
6.12%
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%
$5,128,460
$5.1M
Cap Rate 7%
$3,663,186
$3.7M
Cap Rate 9%
$2,849,144
$2.8M
Market Conditions
NOI Build-Up for 5,600 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
$384.4K $68.64/SF
− Vacancy
−$18.1K −$3.23/SF
EGI
$366.3K $65.41/SF
− OpEx
−$109.9K −$19.62/SF
NOI
$256.4K $45.79/SF
Area
San Mateo County, CA
Vacancy
4.70%
Lease Rate
$68.64 /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%
$5,128,460
Cap Rate 7%
$3,663,186
Cap Rate 9%
$2,849,144
Alternative Uses
Best Use
Industrial
$3.66M
$3.21M – $4.27M
NOI $256,423 @ 7.0% cap · market cap 6.12%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$4.45M
$3.89M – $5.19M
NOI $311,370 @ 7.0% cap · market cap 7.43%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
2,662
Businesses Nearby
Explore this area
Business Placement
Demographics for 94063, CA
35,836
Population
12,162
Households
2.9
Avg Household Size
34
Median Age
35%
College-Educated
74%
High-School Grad
6.5 sq mi
ZIP Area
5,513
Density / Sq Mi
$115,528
Median Household Income
$50,960
Median Earnings
$2,802
Median Rent
$1,077,100
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Industrial in West region
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Frequently Asked Questions
What type of property is this?
Industrial property - M-1 zoning supports commercial and industrial use potential, subject to applicable city requirements and approvals.
Where is this industrial property located?
The property is located at 2300 Bay Road Redwood City, CA.
What is the asking price?
The asking price for this property is $4,188,000.
What are key features of this property?
This property features: Approximately 5,600 square feet of commercial property; Approximately 9,200‑square‑foot lot; Identified as M‑1 Light Industrial
