Mixed-Use Industrial
New
For Sale
$2,300,000
2305 Industry Ln, Yakima, WA 98901
M-1-zoned property combines production, warehouse, and hospitality improvements in a flexible commercial setting.
Property Size13,800 SF
Price / SF$166.67
Days on Market2
Property Features for 2305 Industry Ln
General Information
Standard status
Active
Size
13,800 SF
Class
C
Property subtype
Industrial - Manufacturing
Zoning
M-1
Additional Details
Patio
Yes
Amenities
commercial kitchen
custom cocktail station
outdoor patio
Building Details
Building Size
13,800 SF
Year Built
2009
Buildings
2
Construction
insulated metal frame
Listing Agency:
NAI Tri-Cities
Listed By:
Kenny Teasdale · License #135860
(509) 491-2205
Source:
Commercialcafe
Added: Sep 21
Last Checked: Sep 21 at 2:41PM
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 NAI Tri-Cities
Investment Insights
Based on property information with market context.
Located at 2305 Industry Ln in Yakima, this 13,800-square-foot mixed-use property includes insulated metal-frame improvements with production and warehouse areas alongside a finished restaurant and bar. Hospitality features include a commercial kitchen, custom cocktail station, and outdoor patio, creating a combination of industrial and restaurant-oriented space within one property.
Constructed in 2009, the property is zoned M-1. Its existing layout supports continued use of the restaurant and bar areas while retaining dedicated space for industrial, manufacturing, or warehouse operations. The address places the property in Yakima’s industrial corridor.
Constructed in 2009, the property is zoned M-1. Its existing layout supports continued use of the restaurant and bar areas while retaining dedicated space for industrial, manufacturing, or warehouse operations. The address places the property in Yakima’s industrial corridor.
Key Highlights
- 13,800 SF mixed‑use property at 2305 Industry Ln, Yakima, WA 98901
- M‑1 zoning supports industrial and manufacturing uses
- Constructed in 2009
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
$140,401
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
6.10%
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%
$2,808,020
$2.8M
Cap Rate 7%
$2,005,729
$2.0M
Cap Rate 9%
$1,560,011
$1.6M
Market Conditions
NOI Build-Up for 13,800 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
$195.4K $14.16/SF
− Vacancy
−$8.2K −$0.59/SF
EGI
$187.2K $13.57/SF
− OpEx
−$46.8K −$3.39/SF
NOI
$140.4K $10.17/SF
Area
Yakima County, WA
Vacancy
4.20%
Lease Rate
$14.16 /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%
$2,808,020
Cap Rate 7%
$2,005,729
Cap Rate 9%
$1,560,011
Alternative Uses
Best Use
Specialty Retail
$2.01M
$1.76M – $2.34M
NOI $140,401 @ 7.0% cap · market cap 6.10%
Second Best
Warehouse
$1.90M
$1.66M – $2.21M
NOI $132,807 @ 7.0% cap · market cap 5.77%
Theoretical Best
Office A
$2.80M
$2.45M – $3.27M
NOI $196,172 @ 7.0% cap · market cap 8.53%
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
168
Businesses Nearby
Explore this area
Business Placement
Demographics for 98901, WA
32,351
Population
12,201
Households
2.7
Avg Household Size
33
Median Age
17%
College-Educated
72%
High-School Grad
184.5 sq mi
ZIP Area
175
Density / Sq Mi
$56,429
Median Household Income
$33,058
Median Earnings
$996
Median Rent
$268,100
Median Home Value
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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?
Mixed-use property - M-1-zoned property combines production, warehouse, and hospitality improvements in a flexible commercial setting.
Where is this mixed-use property located?
The property is located at 2305 Industry Ln Yakima, WA.
What is the asking price?
The asking price for this property is $2,300,000.
What are key features of this property?
This property features: 13,800 SF mixed‑use property at 2305 Industry Ln, Yakima, WA 98901; M‑1 zoning supports industrial and manufacturing uses; Constructed in 2009
