Retail Investment in Pueblo
For Sale
$5,096,000
279 South Purcell Boulevard Pueblo, Pueblo, CO 81007
NNN retail investment opportunity in growing Pueblo West, Colorado.
Property Size23,276 SF
Days on Market169
Property Features for 279 South Purcell Boulevard Pueblo
General Information
Standard status
Active
Size
23,276 SF
Property subtype
Retail
Net Operating Income
$407,651
Building Details
Building Size
23,276 SF
Year Built
2013
Listing Agency:
Faris Lee Investments
(949) 412-1616
Listed By:
Jeff Conover · License #CalDRE #01008195
(949) 412-1616
Source:
Farislee
Added: Mar 6
Changed: Aug 22
Last Checked: Aug 22 at 4:35AM
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 Faris Lee Investments
Investment Insights
Based on property information with market context.
Located in Pueblo West, Colorado, a rapidly growing residential community at the base of the Rocky Mountains, this retail property is situated within a key metropolitan district of the greater Pueblo area. The area, home to approximately 35,000 residents, functions as a central point for lifestyle and recreation in the region. The local economy is supported by its quality of life, attracting a skilled workforce for major regional employers in healthcare, education, and retail. The property benefits from its proximity to Lake Pueblo State Park. The property is a stabilized NNN retail investment with long-term leases and is priced below replacement cost. It offers a passive NNN investment with minimal landlord obligations and inflation-protected income, with tenants covering expenses and maintenance. Fee simple ownership of the land and building allows for potential tax benefits through cost segregation. There is an opportunity for value add through the lease up of 1500 square feet. The property features a high-profile retail location with unobstructed street visibility and strong trade area demographics.
Key Highlights
- Attractive 7.50% yield, stabilized NNN retail investment.
- Priced below replacement cost at $231 PSF.
- Passive NNN investment with minimal landlord obligations; tenants cover expenses and maintenance.
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
$214,327
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
4.21%
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%
$4,286,540
$4.3M
Cap Rate 7%
$3,061,814
$3.1M
Cap Rate 9%
$2,381,411
$2.4M
Market Conditions
NOI Build-Up for 23,276 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
$324.0K $13.92/SF
− Vacancy
−$17.8K −$0.77/SF
EGI
$306.2K $13.15/SF
− OpEx
−$91.9K −$3.95/SF
NOI
$214.3K $9.21/SF
Area
Pueblo, CO
Vacancy
5.50%
Lease Rate
$13.92 /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%
$4,286,540
Cap Rate 7%
$3,061,814
Cap Rate 9%
$2,381,411
Alternative Uses
Best Use
Retail
$3.06M
$2.68M – $3.57M
NOI $214,327 @ 7.0% cap · market cap 4.21%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.85M
$4.24M – $5.66M
NOI $339,518 @ 7.0% cap · market cap 6.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
307
Businesses Nearby
Explore this area
Business Placement
Demographics for 81007, CO
33,263
Population
12,678
Households
2.6
Avg Household Size
42
Median Age
31%
College-Educated
93%
High-School Grad
136.5 sq mi
ZIP Area
244
Density / Sq Mi
$95,419
Median Household Income
$50,572
Median Earnings
$1,319
Median Rent
$371,600
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - NNN retail investment opportunity in growing Pueblo West, Colorado.
Where is this retail space located?
The property is located at 279 South Purcell Boulevard Pueblo Pueblo, CO.
What is the asking price?
The asking price for this property is $5,096,000.
What are key features of this property?
This property features: Attractive 7.50% yield, stabilized NNN retail investment.; Priced below replacement cost at $231 PSF.; Passive NNN investment with minimal landlord obligations; tenants cover expenses and maintenance.
