Two-Story Office
For Sale
Contact for pricing
2609 Honolulu Avenue, Montrose, CA 91020
Two-story office building with private offices, open work areas, and support rooms, maintained and ready for occupancy.
Property Size6,082 SF
Price / SF$575.47
Days on Market49
Property Features for 2609 Honolulu Avenue
General Information
Standard status
Active
Size
6,082 SF
Total Parking Spaces
20
Property subtype
Office
Zoning
C2-I
Investment Type
Owner/User
Building Details
Year Built
1980
Stories
2
Tenancy
Multi
Listing Agency:
Lee & Associates - Pasadena
(562) 568-2034
Listed By:
Chris Johnson · License #CA 01934154
Source:
Crexi
Added: Jul 13
Changed: Aug 20
Last Checked: Aug 28 at 11:41PM
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 Lee & Associates - Pasadena
Investment Insights
Based on property information with market context.
Built in 1980 and carefully maintained over the years, this two-story professional office building offers approximately 6,082 square feet of adaptable workspace. The interior is laid out with a practical mix of private offices, open work areas, and support rooms, providing flexibility for a range of office configurations.
Ongoing investment has been made in the roof, mechanical systems, and the parking lot, supporting a turn-key condition. The building is positioned in Montrose for an owner-occupant or office-focused user looking for ready-to-operate space.
Ongoing investment has been made in the roof, mechanical systems, and the parking lot, supporting a turn-key condition. The building is positioned in Montrose for an owner-occupant or office-focused user looking for ready-to-operate space.
Key Highlights
- Two‑story professional office building built in 1980
- Approximately 6,082 SF of adaptable office space
- Floorplan includes private offices, open work areas, and support rooms
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
$132,948
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
3.80%
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%
$2,658,960
$2.7M
Cap Rate 7%
$1,899,257
$1.9M
Cap Rate 9%
$1,477,200
$1.5M
Market Conditions
NOI Build-Up for 6,082 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
$233.5K $38.40/SF
− Vacancy
−$56.3K −$9.25/SF
EGI
$177.3K $29.15/SF
− OpEx
−$44.3K −$7.29/SF
NOI
$132.9K $21.86/SF
Area
Los Angeles County, CA
Vacancy
24.10%
Lease Rate
$38.40 /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%
$2,658,960
Cap Rate 7%
$1,899,257
Cap Rate 9%
$1,477,200
Alternative Uses
Best Use
Office B
$1.90M
$1.66M – $2.22M
NOI $132,948 @ 7.0% cap · market cap 3.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.26M
$2.85M – $3.80M
NOI $227,940 @ 7.0% cap · market cap 6.51%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
2,019
Businesses Nearby
Explore this area
Business Placement
Demographics for 91020, CA
8,439
Population
3,501
Households
2.4
Avg Household Size
42
Median Age
51%
College-Educated
91%
High-School Grad
0.7 sq mi
ZIP Area
12,056
Density / Sq Mi
$60,899
Median Household Income
$59,838
Median Earnings
$2,258
Median Rent
$880,700
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Two-story office building with private offices, open work areas, and support rooms, maintained and ready for occupancy.
Where is this office building located?
The property is located at 2609 Honolulu Avenue Montrose, CA.
What is the asking price?
The asking price for this property is $3,500,000.
What are key features of this property?
This property features: Two‑story professional office building built in 1980; Approximately 6,082 SF of adaptable office space; Floorplan includes private offices, open work areas, and support rooms
