Established Restaurant with Mountain
For Sale
Contact for pricing
Pending
40311 Sierra Dr, Three Rivers, CA 93271
Successful restaurant for sale in high-traffic tourist area.
Property Size2,800 SF
Lot Size1.00 Acre
Days on Market493
Property Features for 40311 Sierra Dr
General Information
Standard status
Pending
Size
2,800 SF
Lot size
1.00 Acre
Property subtype
Retail
Zoning
C-2-SC
Investment Type
Owner/User
Building Details
Year Built
2013
Buildings
1
Stories
1
Units
1
Tenancy
Single
Listing Agency:
Modern Broker, Inc
(559) 731-7095
Listed By:
Preston Miller · License #01421642
Source:
Crexi
Added: Apr 7, 2025
Changed: Aug 8
Last Checked: Aug 12 at 7:57AM
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 Modern Broker, Inc
Investment Insights
Based on property information with market context.
This established restaurant, built in 2013, presents an opportunity in Three Rivers. The property features over 2,800 sq. ft. of interior space situated on a one-acre lot. It includes both indoor and outdoor seating areas that offer mountain views. The restaurant is equipped with a large commercial kitchen, including a walk-in commercial refrigerator and freezer. A spacious bonus room, currently utilized as a gift shop, provides potential for additional income through retail, private events, storage, or expansion. Ample parking is available to accommodate large groups and events. The property is located on Sierra Dr, a high-traffic area near hotels, RV parks, and shopping. Its proximity to Sequoia and Kings Canyon National Parks, Tokopah Falls, Slick Rock Recreation Area, the Kaweah River, a nearby golf course, and scenic hiking trails positions it within a major tourist destination.
Key Highlights
- Established restaurant property in a prime, high‑traffic location on Sierra Dr, attracting locals and tourists.
- Over 2,800 sq. ft. of interior space on a one‑acre lot with indoor and outdoor seating and mountain views.
- Large commercial kitchen with walk‑in commercial fridge and freezer.
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
$59,535
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
4.45%
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%
$1,190,700
$1.2M
Cap Rate 7%
$850,500
$850.5K
Cap Rate 9%
$661,500
$661.5K
Market Conditions
NOI Build-Up for 2,800 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
$84.0K $30.00/SF
− Vacancy
−$4.6K −$1.65/SF
EGI
$79.4K $28.35/SF
− OpEx
−$19.8K −$7.09/SF
NOI
$59.5K $21.26/SF
Area
Tulare County, CA
Vacancy
5.50%
Lease Rate
$30.00 /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%
$1,190,700
Cap Rate 7%
$850,500
Cap Rate 9%
$661,500
Alternative Uses
Best Use
Specialty Retail
$850.5K
$744.2K – $992.3K
NOI $59,535 @ 7.0% cap · market cap 4.45%
Second Best
Retail
$570.9K
$499.6K – $666.1K
NOI $39,965 @ 7.0% cap · market cap 2.98%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
39
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 93271, CA
1,930
Population
1,441
Households
1.3
Avg Household Size
56
Median Age
54%
College-Educated
98%
High-School Grad
152.4 sq mi
ZIP Area
13
Density / Sq Mi
$83,810
Median Household Income
$70,524
Median Earnings
$1,626
Median Rent
$457,500
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.
Frequently Asked Questions
What type of property is this?
Conventional restaurant - Successful restaurant for sale in high-traffic tourist area.
Where is this conventional restaurant located?
The property is located at 40311 Sierra Dr Three Rivers, CA.
What is the asking price?
The asking price for this property is $1,339,000.
What are key features of this property?
This property features: Established restaurant property in a prime, high‑traffic location on Sierra Dr, attracting locals and tourists.; Over 2,800 sq. ft. of interior space on a one‑acre lot with indoor and outdoor seating and mountain views.; Large commercial kitchen with walk‑in commercial fridge and freezer.
