Lancaster Industrial Yard Investment
For Sale
Contact for pricing
307 W Ave I, Lancaster, CA 93534
Multi-tenant industrial yard with income, upside potential, and owner-user flexibility.
Property Size6,885 SF
Lot Size1.10 Acres
Price / SF$159.62
Days on Market193
Property Features for 307 W Ave I
General Information
Standard status
Active
Size
6,885 SF
Class
C
Lot size
1.10 Acres
Property subtype
Industrial, Land, Mixed Use, Self Storage
Zoning
Commercial / Light Industrial
Investment Type
Owner/User
Net Operating Income
$78,600
Building Details
Buildings
3
Stories
1
Tenancy
Multi
Listing Agency:
Liberty Business Advisors
Listed By:
Houmehr Mike Panoussi · License #01853627
Source:
Crexi
Added: Feb 11
Changed: Aug 7
Last Checked: Aug 21 at 11:22PM
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 Liberty Business Advisors
Investment Insights
Based on property information with market context.
This multi-tenant industrial yard investment is located in the Lancaster/Antelope Valley industrial corridor. The property, suitable for contractors, automotive users, fleet operators, or light industrial businesses, offers a combination of in-place income, upside potential, and owner-user flexibility. The site consists of approximately 47,998 square feet (1.10 acres) of Commercial/Light Industrial land improved with three buildings totaling approximately 6,000+ square feet. The site is currently occupied by three service-based tenants, including two month-to-month leases, allowing immediate repositioning or expansion by a new owner. The property is ideal for a contractor yard, automotive repair/fleet service, construction companies, HVAC/plumbing/electrical contractors, equipment rental & storage, or light manufacturing. Current tenants include smog & electrical/diagnostics automotive service, auto body prep/insurance work automotive, and a flooring contractor. The property is located close to Sierra Hwy, Avenue J & Highway 14. The location benefits from nearby economic drivers including Edwards Air Force Base, Lockheed Martin & Northrop Grumman, Palmdale Regional Airport, and the Highway 14 logistics corridor.
Key Highlights
- Rare owner‑user opportunity with existing income in a high‑demand industrial submarket.
- Significant value‑add potential through increased rents and full occupancy.
- Large ±47,998 SF (1.10 Acres) industrial yard with three buildings (approx. 6,000+ SF).
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
$83,805
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
7.63%
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%
$1,676,100
$1.7M
Cap Rate 7%
$1,197,214
$1.2M
Cap Rate 9%
$931,167
$931.2K
Market Conditions
NOI Build-Up for 6,885 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
$126.4K $18.36/SF
− Vacancy
−$6.7K −$0.97/SF
EGI
$119.7K $17.39/SF
− OpEx
−$35.9K −$5.22/SF
NOI
$83.8K $12.17/SF
Area
Lancaster, CA
Vacancy
5.29%
Lease Rate
$18.36 /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%
$1,676,100
Cap Rate 7%
$1,197,214
Cap Rate 9%
$931,167
Alternative Uses
Best Use
Industrial
$1.20M
$1.05M – $1.40M
NOI $83,805 @ 7.0% cap · market cap 7.63%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.16M
$1.89M – $2.52M
NOI $151,386 @ 7.0% cap · market cap 13.77%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,286
Businesses Nearby
Explore this area
Business Placement
Demographics for 93534, CA
43,906
Population
16,343
Households
2.7
Avg Household Size
34
Median Age
18%
College-Educated
81%
High-School Grad
19.0 sq mi
ZIP Area
2,311
Density / Sq Mi
$58,891
Median Household Income
$44,566
Median Earnings
$1,513
Median Rent
$339,900
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Industrial property - Multi-tenant industrial yard with income, upside potential, and owner-user flexibility.
Where is this industrial property located?
The property is located at 307 W Ave I Lancaster, CA.
What is the asking price?
The asking price for this property is $1,099,000.
What are key features of this property?
This property features: Rare owner‑user opportunity with existing income in a high‑demand industrial submarket.; Significant value‑add potential through increased rents and full occupancy.; Large ±47,998 SF (1.10 Acres) industrial yard with three buildings (approx. 6,000+ SF).
