Class A Manufacturing Flex
For Sale
Contact for pricing
3925 Cypress Drive, Petaluma, CA 94954
Class A manufacturing building with heavy power, full HVAC, and multi-tenant configuration including two-story office space with elevator.
Property Size87,486 SF
Price / SF$225
Days on Market85
Property Features for 3925 Cypress Drive
General Information
Standard status
Active
Size
87,486 SF
Class
A
Total Parking Spaces
202
Property subtype
Office, Industrial
Zoning
M-L (Light Manufacturing), BP (Business Park)
Lease Type
NNN
Additional Details
Heavy Power
Yes
Building Details
Year Built
1999
Stories
2
Tenancy
Multi
Listing Agency:
Cushman & Wakefield - Larkspur, California
Listed By:
Brian Foster · License #CA 01393059
(415) 297-6817
Source:
Crexi
Added: Jun 13
Changed: Aug 16
Last Checked: Sep 5 at 12:04PM
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 Cushman & Wakefield - Larkspur, California
Investment Insights
Based on property information with market context.
3925 Cypress Drive is a Class A manufacturing flex building built in 1999 as a build-to-suit for a manufacturing tenant. The property offers heavy power, full building HVAC, and extensive solar areas. It is currently configured as a three-tenant building and includes recessed dock loading. A two-story office component with elevator service supports an integrated office and production layout.
The ownership is willing to lease back space to be determined, with delivery available to a user for either the majority or a portion of the building.
With its dock loading and office elevator service, the configuration is designed for an on-site manufacturing and administrative footprint.
The ownership is willing to lease back space to be determined, with delivery available to a user for either the majority or a portion of the building.
With its dock loading and office elevator service, the configuration is designed for an on-site manufacturing and administrative footprint.
Key Highlights
- 1999‑built Class‑A manufacturing building offers user flexibility to purchase and take the majority or a portion of the space
- Currently configured as a three (3) tenant building with space that can be delivered to a user for majority or portion
- Heavily powered manufacturing space with full building HVAC
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
$1,290,314
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
6.56%
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%
$25,806,280
$25.8M
Cap Rate 7%
$18,433,057
$18.4M
Cap Rate 9%
$14,336,822
$14.3M
Market Conditions
NOI Build-Up for 87,486 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
$1.98M $22.68/SF
− Vacancy
−$140.9K −$1.61/SF
EGI
$1.84M $21.07/SF
− OpEx
−$553.0K −$6.32/SF
NOI
$1.29M $14.75/SF
Area
Sonoma County, CA
Vacancy
7.10%
Lease Rate
$22.68 /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%
$25,806,280
Cap Rate 7%
$18,433,057
Cap Rate 9%
$14,336,822
Alternative Uses
Best Use
Industrial
$18.43M
$16.13M – $21.51M
NOI $1,290,314 @ 7.0% cap · market cap 6.56%
Second Best
Flex RnD
$17.79M
$15.57M – $20.75M
NOI $1,245,295 @ 7.0% cap · market cap 6.33%
Theoretical Best
Specialty Retail
$23.71M
$20.74M – $27.66M
NOI $1,659,469 @ 7.0% cap · market cap 8.43%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Heavy power
Location Intelligence
Trade Area within ½ mile
321
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 94954, CA
38,301
Population
15,147
Households
2.5
Avg Household Size
43
Median Age
37%
College-Educated
92%
High-School Grad
62.2 sq mi
ZIP Area
616
Density / Sq Mi
$107,564
Median Household Income
$58,362
Median Earnings
$2,405
Median Rent
$790,100
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?
Flex space - Class A manufacturing building with heavy power, full HVAC, and multi-tenant configuration including two-story office space with elevator.
Where is this flex space located?
The property is located at 3925 Cypress Drive Petaluma, CA.
What is the asking price?
The asking price for this property is $19,684,350.
What are key features of this property?
This property features: 1999‑built Class‑A manufacturing building offers user flexibility to purchase and take the majority or a portion of the space; Currently configured as a three (3) tenant building with space that can be delivered to a user for majority or portion; Heavily powered manufacturing space with full building HVAC
