Corner Restaurant
New
For Sale
$1,175,000
2995 Esplanade, Chico, CA 95973
Improved restaurant interior with dining, bar, patio, private dining, restrooms, storage, tall ceilings, and abundant windows.
Property Size4,812 SF
Days on Market4
Property Features for 2995 Esplanade
General Information
Standard status
Active
Size
4,812 SF
Property subtype
Retail
Additional Details
Corner Location
Yes
Patio
Yes
Amenities
open dining areas
bar
small patio
private dining room
private restrooms
storage
Building Details
Building Size
4,812 SF
Listing Agency:
Harris Commercial Real Estate
Listed By:
Calen Chapman · License #02002193
(530) 419-1600
Source:
Homesbyupside
Added: Sep 9
Changed: Sep 11
Last Checked: Sep 12 at 8:22AM
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 Harris Commercial Real Estate
Investment Insights
Based on property information with market context.
Restaurant space at 2995 Esplanade within the Shasta Plaza retail center. The interior includes open dining areas, a bar, small patio, private dining room, private restrooms, and storage. Tall ceilings, abundant windows, and professional finishes contribute to the completed interior configuration.
The property occupies a hard-corner position with easy access and ample parking. Dense residential neighborhoods surround the center, with approximately 66,000 residents within a 3-mile radius. A separately metered adjacent space is occupied by a long-term professional salon tenant.
The property occupies a hard-corner position with easy access and ample parking. Dense residential neighborhoods surround the center, with approximately 66,000 residents within a 3-mile radius. A separately metered adjacent space is occupied by a long-term professional salon tenant.
Key Highlights
- Hard‑corner restaurant location at 2995 Esplanade in Shasta Plaza
- Approximately 66,000 residents within a 3‑mile radius
- Open dining areas, bar, small patio, and private dining room
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
$63,777
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
5.43%
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%
$1,275,540
$1.3M
Cap Rate 7%
$911,100
$911.1K
Cap Rate 9%
$708,633
$708.6K
Market Conditions
NOI Build-Up for 4,812 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
$90.1K $18.72/SF
− Vacancy
−$5.0K −$1.05/SF
EGI
$85.0K $17.67/SF
− OpEx
−$21.3K −$4.42/SF
NOI
$63.8K $13.25/SF
Area
Chico, CA
Vacancy
5.60%
Lease Rate
$18.72 /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%
$1,275,540
Cap Rate 7%
$911,100
Cap Rate 9%
$708,633
Alternative Uses
Best Use
Specialty Retail
$911.1K
$797.2K – $1.06M
NOI $63,777 @ 7.0% cap · market cap 5.43%
Second Best
Retail
$850.4K
$744.1K – $992.1K
NOI $59,525 @ 7.0% cap · market cap 5.07%
Theoretical Best
Office A
$971.6K
$850.1K – $1.13M
NOI $68,010 @ 7.0% cap · market cap 5.79%
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
807
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 95973, CA
39,609
Population
15,836
Households
2.5
Avg Household Size
39
Median Age
41%
College-Educated
94%
High-School Grad
300.1 sq mi
ZIP Area
132
Density / Sq Mi
$92,228
Median Household Income
$45,897
Median Earnings
$1,546
Median Rent
$484,600
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 Retail in West region
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Improved restaurant interior with dining, bar, patio, private dining, restrooms, storage, tall ceilings, and abundant windows.
Where is this conventional restaurant located?
The property is located at 2995 Esplanade Chico, CA.
What is the asking price?
The asking price for this property is $1,175,000.
What are key features of this property?
This property features: Hard‑corner restaurant location at 2995 Esplanade in Shasta Plaza; Approximately 66,000 residents within a 3‑mile radius; Open dining areas, bar, small patio, and private dining room
