Three-Story Mixed-Use
For Sale
$2,669,000
2368 2nd AVE, San Diego, CA 92101
COMMERCIAL - San Diego, CA
Property Size3,800 SF
Lot Size0.13 Acres
Price / SF$702.37
Days on Market155
Property Features for 2368 2nd AVE
General Information
Property type
Commercial Sale
Property subtype
Other
Lot features
Corner, Free Standing, Remarks
Directions
LAUREL- TO 2ND AVE
Subdivision
SAN DIEGO DOWNTOWN (92101)
Standard status
Active
APN
533-182-11-00
Size
3,800 SF
Lot size
0.13 Acres
Utilities
Heating system
Central, Forced Air, Natural Gas
Cooling system
Gas (Cooling), Central Air
Building Details
Floors in Building
3
Number of units
1
Flooring type
Wood
Roof type
Composition
Listing Agency:
Keller Williams San Diego Metro · Keller Williams Realty
(619) 233-5935
Listed By:
Salvatore W Cefalu · License #01435914
(858) 243-4554
Added: Mar 11
Changed: Aug 6
Last Checked: Aug 12 at 6:06AM
MLS# 260005708
Copyright © 2026 San Diego MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Located at 2368 2nd AVE in San Diego, CA 92101, this three-story structure is listed as a mixed-use property with historic designation noted in the remarks. The current use is owner-occupied, and the building is offered for sale.
The listing describes independently accessible floors, each with private ingress, allowing the space to be leased, operated, and occupied in a coordinated manner. Onsite parking is also identified as part of the property.
With a total property size of approximately 3,800 square feet on a 0.1251-acre lot, the building is positioned at the intersection described as Bankers Hill, Balboa Park, and Airport. Mixed-use zoning flexibility is specifically referenced in the listing as a key attribute of the asset.
The listing describes independently accessible floors, each with private ingress, allowing the space to be leased, operated, and occupied in a coordinated manner. Onsite parking is also identified as part of the property.
With a total property size of approximately 3,800 square feet on a 0.1251-acre lot, the building is positioned at the intersection described as Bankers Hill, Balboa Park, and Airport. Mixed-use zoning flexibility is specifically referenced in the listing as a key attribute of the asset.
Key Highlights
- 3‑story structure at the intersection of Bankers Hill, Balboa Park, and Airport
- Mixed‑use zoning offers flexibility for ground‑floor retail and upper‑level residences or offices
- Independently accessible floors with private in‑egress for separate leasing and occupancy
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
$91,729
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
3.44%
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%
$1,834,580
$1.8M
Cap Rate 7%
$1,310,414
$1.3M
Cap Rate 9%
$1,019,211
$1.0M
Market Conditions
NOI Build-Up for 3,800 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
$136.8K $36.00/SF
− Vacancy
−$5.8K −$1.52/SF
EGI
$131.0K $34.48/SF
− OpEx
−$39.3K −$10.35/SF
NOI
$91.7K $24.14/SF
Area
San Diego, CA
Vacancy
4.21%
Lease Rate
$36.00 /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%
$1,834,580
Cap Rate 7%
$1,310,414
Cap Rate 9%
$1,019,211
Alternative Uses
Best Use
Retail
$1.31M
$1.15M – $1.53M
NOI $91,729 @ 7.0% cap · market cap 3.44%
Second Best
Office B
$1.05M
$917.0K – $1.22M
NOI $73,359 @ 7.0% cap · market cap 2.75%
Theoretical Best
Specialty Retail
$1.50M
$1.31M – $1.75M
NOI $105,062 @ 7.0% cap · market cap 3.94%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,728
Businesses Nearby
Explore this area
Business Placement
Demographics for 92101, CA
47,505
Population
32,909
Households
1.4
Avg Household Size
39
Median Age
57%
College-Educated
92%
High-School Grad
5.4 sq mi
ZIP Area
8,797
Density / Sq Mi
$90,477
Median Household Income
$72,371
Median Earnings
$2,351
Median Rent
$740,500
Median Home Value
Market
Vacancy Rate% for Office in San Diego, CA
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Three-story mixed-use building with independently accessible floors, private ingress, and onsite parking for flexible use.
Where is this office units located?
The property is located at 2368 2nd AVE San Diego, CA.
What is the asking price?
The asking price for this property is $2,669,000.
What are key features of this property?
This property features: 3‑story structure at the intersection of Bankers Hill, Balboa Park, and Airport; Mixed‑use zoning offers flexibility for ground‑floor retail and upper‑level residences or offices; Independently accessible floors with private in‑egress for separate leasing and occupancy
