Freestanding Restaurant
For Sale
$2,750,000
3678 Lake Tahoe Boulevard, South Lake Tahoe, CA 96150
Two-story restaurant property with paved-lot parking and multiple South Lake Tahoe development designations.
Property Size10,114 SF
Lot Size1.15 Acres
Price / SF$271.90
Days on Market723
Property Features for 3678 Lake Tahoe Boulevard
General Information
Standard status
Active
Size
10,114 SF
Total Parking Spaces
90
Lot size
1.15 Acres
Property subtype
Commercial/Industrial
Additional Details
Opportunity Zone
Yes
Building Details
Year Built
1946
Stories
2
Listing Agency:
NAI Tahoe Sierra
(530) 525-2304
Listed By:
Thomas Scott Fair · License #01761504
(530) 525-2304
Source:
Exitrealty
Added: Aug 17, 2024
Changed: Aug 8
Last Checked: Aug 9 at 6:18AM
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 NAI Tahoe Sierra
Investment Insights
Based on property information with market context.
This freestanding restaurant property occupies a 1.15-acre parcel on Lake Tahoe Blvd. The building contains 10,114 square feet, including approximately 8,710 square feet on the ground floor and 1,404 square feet on the second floor. The site includes 90 parking stalls on a paved lot.
The property is situated in three distinct development zones identified as Tourist Core and Town Center for South Lake Tahoe, along with a federally approved Opportunity Zone. Property verification includes 8,710 square feet of CFA and 44,310 square feet of coverage. Built in 1946, the building offers a two-level configuration for restaurant operations and related commercial uses.
The property is situated in three distinct development zones identified as Tourist Core and Town Center for South Lake Tahoe, along with a federally approved Opportunity Zone. Property verification includes 8,710 square feet of CFA and 44,310 square feet of coverage. Built in 1946, the building offers a two-level configuration for restaurant operations and related commercial uses.
Key Highlights
- Freestanding restaurant building on a 1.15‑acre parcel
- 10,114 sf building with 8,710 +/- sf on the ground floor
- 1,404 sf +/- second floor
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
$253,116
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
9.20%
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%
$5,062,320
$5.1M
Cap Rate 7%
$3,615,943
$3.6M
Cap Rate 9%
$2,812,400
$2.8M
Market Conditions
NOI Build-Up for 10,114 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
$376.2K $37.20/SF
− Vacancy
−$38.8K −$3.83/SF
EGI
$337.5K $33.37/SF
− OpEx
−$84.4K −$8.34/SF
NOI
$253.1K $25.03/SF
Area
El Dorado County, CA
Vacancy
10.30%
Lease Rate
$37.20 /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%
$5,062,320
Cap Rate 7%
$3,615,943
Cap Rate 9%
$2,812,400
Alternative Uses
Best Use
Specialty Retail
$3.62M
$3.16M – $4.22M
NOI $253,116 @ 7.0% cap · market cap 9.20%
Second Best
—
—
no second resolved use
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
702
Businesses Nearby
29k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Apparel 78%
Dining 12%
Shops & Services 10%
Ross Dress for Less
Apparel
22,453 visits/mo
0.4 miles
Domino's Pizza
Dining
3,474 visits/mo
0.3 miles
U.S. Bank
Shops & Services
3,006 visits/mo
0.4 miles
Demographics for 96150, CA
29,518
Population
23,472
Households
1.3
Avg Household Size
40
Median Age
39%
College-Educated
92%
High-School Grad
163.2 sq mi
ZIP Area
181
Density / Sq Mi
$83,738
Median Household Income
$45,582
Median Earnings
$1,497
Median Rent
$649,100
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?
Conventional restaurant - Two-story restaurant property with paved-lot parking and multiple South Lake Tahoe development designations.
Where is this conventional restaurant located?
The property is located at 3678 Lake Tahoe Boulevard South Lake Tahoe, CA.
What is the asking price?
The asking price for this property is $2,750,000.
What are key features of this property?
This property features: Freestanding restaurant building on a 1.15‑acre parcel; 10,114 sf building with 8,710 +/- sf on the ground floor; 1,404 sf +/- second floor
