Hotel and Retail Conversion
For Sale
$18,000,000
4100 Chiles Road, Davis, CA 95618
Renovated 78-key hotel with leased retail space occupied by Domino's and Sherwin Williams, with direct I-80 frontage.
Property Size36,108 SF
Lot Size3.39 Acres
Price / SF$498.50
Days on Market121
Property Features for 4100 Chiles Road
General Information
Standard status
Active
Size
36,108 SF
Lot size
3.39 Acres
Property subtype
Commercial
Zoning
CMU
Site & Location
Highway Access
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$47,871
Amenities
Lot Size: Under 1/2 Acre
Building Details
Year Built
1965
Year Renovated
2022
Tenancy
Multi
Listing Agency:
San Mateo
Listed By:
Rachna Gandhi · License #02040779
(650) 339-6818
Source:
Corcoran
Added: May 8
Changed: Aug 25
Last Checked: Sep 5 at 8:34AM
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 San Mateo
Investment Insights
Based on property information with market context.
The Prodigy Hotel + Retail combines a fully operational 78-key hotel with 11,108 SF of retail space currently occupied by Domino’s and Sherwin Williams. The property was built in 1974 and renovated in 2022. Hotel units are arranged in an interior corridor design with private bathrooms in every unit and approximately 355 SF room sizes.
The site offers direct I-80 frontage with freeway visibility and pylon signage. The property is located near UC Davis campus and UC Davis Health, and it is described as CMU zoning, supporting mixed-use development.
As a single site with operating hotel income and existing retail tenants, the asset presents a conversion/repositioning pathway while also supporting continued hotel operation, depending on buyer goals and underwriting.
The site offers direct I-80 frontage with freeway visibility and pylon signage. The property is located near UC Davis campus and UC Davis Health, and it is described as CMU zoning, supporting mixed-use development.
As a single site with operating hotel income and existing retail tenants, the asset presents a conversion/repositioning pathway while also supporting continued hotel operation, depending on buyer goals and underwriting.
Key Highlights
- 3.39‑acre property in Davis, CA with direct I‑80 frontage, freeway visibility, and pylon signage
- Fully operational 78‑key hotel (36,108 SF), built in 1974 and renovated in 2022
- Includes 11,108 SF of retail space leased to Domino’s and Sherwin‑Williams
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
$513,742
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
2.85%
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%
$10,274,840
$10.3M
Cap Rate 7%
$7,339,171
$7.3M
Cap Rate 9%
$5,708,244
$5.7M
Market Conditions
NOI Build-Up for 36,108 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
$779.9K $21.60/SF
− Vacancy
−$46.0K −$1.27/SF
EGI
$733.9K $20.33/SF
− OpEx
−$220.2K −$6.10/SF
NOI
$513.7K $14.23/SF
Area
Yolo County, CA
Vacancy
5.90%
Lease Rate
$21.60 /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%
$10,274,840
Cap Rate 7%
$7,339,171
Cap Rate 9%
$5,708,244
Alternative Uses
Best Use
Retail
$7.34M
$6.42M – $8.56M
NOI $513,742 @ 7.0% cap · market cap 2.85%
Second Best
Hotel Hospitality
$1.89M
$1.66M – $2.21M
NOI $132,442 @ 7.0% cap · market cap 0.74%
Theoretical Best
Office A
$9.74M
$8.53M – $11.37M
NOI $682,008 @ 7.0% cap · market cap 3.79%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
447
Businesses Nearby
Explore this area
Business Placement
Demographics for 95618, CA
27,472
Population
10,898
Households
2.5
Avg Household Size
33
Median Age
72%
College-Educated
95%
High-School Grad
32.1 sq mi
ZIP Area
856
Density / Sq Mi
$112,454
Median Household Income
$51,999
Median Earnings
$2,237
Median Rent
$839,900
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?
Hotel - Renovated 78-key hotel with leased retail space occupied by Domino's and Sherwin Williams, with direct I-80 frontage.
Where is this hotel located?
The property is located at 4100 Chiles Road Davis, CA.
What is the asking price?
The asking price for this property is $18,000,000.
What are key features of this property?
This property features: 3.39‑acre property in Davis, CA with direct I‑80 frontage, freeway visibility, and pylon signage; Fully operational 78‑key hotel (36,108 SF), built in 1974 and renovated in 2022; Includes 11,108 SF of retail space leased to Domino’s and Sherwin‑Williams
