Equipped Coffee Shop with Walk-In
For Sale
$150,000
3500 S Meridian, Puyallup, WA 98373
Established seven-year beverage business inside South Hill Mall with dedicated equipment and on-site parking.
Property Size1,000 SF
Price / SF$150
Days on Market32
Property Features for 3500 S Meridian
General Information
Standard status
Active
Size
1,000 SF
Property subtype
Business Opportunity
Additional Details
Business Included
Yes
Amenities
walk-in refrigerator
hood system
Listing Agency:
RE/MAX Town Center
(425) 922-1343
Listed By:
Amy Wang · License #1110494
Source:
Hanshagmeier
Added: Jul 29
Changed: Aug 28
Last Checked: Aug 29 at 11:34AM
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 RE/MAX Town Center
Investment Insights
Based on property information with market context.
This coffee shop business occupies 1,000 square feet within South Hill Mall and has operated for 7 years. The space is equipped for beverage service, including a walk-in refrigerator and hood system, with remodeling completed. Existing menu offerings include milk tea, fresh fruit bubble tea, fruit smoothies, and slushes.
The property is located in Puyallup at South Hill Mall, providing a mall-based setting with substantial parking. The business is not franchised, and the existing space and equipment can support a new operator’s concept.
The property is located in Puyallup at South Hill Mall, providing a mall-based setting with substantial parking. The business is not franchised, and the existing space and equipment can support a new operator’s concept.
Key Highlights
- 1,000 square feet within South Hill Mall
- Operating history of 7 years
- Walk‑in refrigerator and hood system included
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
$10,001
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
6.67%
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%
$200,020
$200.0K
Cap Rate 7%
$142,871
$142.9K
Cap Rate 9%
$111,122
$111.1K
Market Conditions
NOI Build-Up for 1,000 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
$14.4K $14.40/SF
− Vacancy
−$1.1K −$1.07/SF
EGI
$13.3K $13.33/SF
− OpEx
−$3.3K −$3.33/SF
NOI
$10.0K $10.00/SF
Area
Pierce County, WA
Vacancy
7.40%
Lease Rate
$14.40 /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%
$200,020
Cap Rate 7%
$142,871
Cap Rate 9%
$111,122
Alternative Uses
Best Use
Specialty Retail
$142.9K
$125.0K – $166.7K
NOI $10,001 @ 7.0% cap · market cap 6.67%
Second Best
Retail
$123.8K
$108.4K – $144.5K
NOI $8,669 @ 7.0% cap · market cap 5.78%
Theoretical Best
Office A
$270.1K
$236.3K – $315.1K
NOI $18,906 @ 7.0% cap · market cap 12.60%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
981
Businesses Nearby
2k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 100%
SUBWAY
Dining
2,245 visits/mo
0.5 miles
Demographics for 98373, WA
28,165
Population
11,113
Households
2.5
Avg Household Size
35
Median Age
26%
College-Educated
94%
High-School Grad
9.4 sq mi
ZIP Area
2,996
Density / Sq Mi
$102,791
Median Household Income
$51,865
Median Earnings
$1,823
Median Rent
$517,600
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Dutch Bros Coffee — 201 39th Ave SW, Puyallup, WA 98373
- Melody Boba House — 3850 S Meridian, Puyallup, WA 98373
- Jamba — 3803 S Meridian, Puyallup, WA 98373
- Starbucks — 3705 S Meridian a, Puyallup, WA 98373
- S & L — 1007 39th Ave SE, Puyallup, WA 98374
Frequently Asked Questions
What type of property is this?
Coffee shop - Established seven-year beverage business inside South Hill Mall with dedicated equipment and on-site parking.
Where is this coffee shop located?
The property is located at 3500 S Meridian Puyallup, WA.
What is the asking price?
The asking price for this property is $150,000.
What are key features of this property?
This property features: 1,000 square feet within South Hill Mall; Operating history of 7 years; Walk‑in refrigerator and hood system included
