Storefront Retail Landmark with
For Sale
Contact for pricing
436 Alisal Rd, Solvang, CA 93463
Iconic storefront retail landmark anchoring a Danish village theme at a hard-corner on Alisal Road in Solvang.
Property Size7,711 SF
Price / SF$389.05
Days on Market53
Property Features for 436 Alisal Rd
General Information
Standard status
Active
Size
7,711 SF
Total Parking Spaces
14
Property subtype
Retail
Zoning
Village Mixed-Use (VMU)
Occupancy
100%
Lease Type
Gross
Investment Type
Core
Net Operating Income
$98,740
Additional Details
Asking Price
$3,000,000
Corner Location
Yes
Building Details
Units
8
Tenancy
Multi
Listing Agency:
CBRE - South Bay
Listed By:
Bo Henderson · License #02148577
(310) 892-5644
Source:
Crexi
Added: Jul 27
Changed: Sep 12
Last Checked: Sep 16 at 12:32PM
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 CBRE - South Bay
Investment Insights
Based on property information with market context.
This iconic storefront retail landmark anchors a Danish village theme, built around a windmill and a Rundetarn tower replica. The property encompasses approximately 7,711 square feet and is presented as a trophy village retail entry point.
Situated at the hard-corner of Alisal Road in Solvang, the site is positioned to capture visitor foot traffic moving through the city’s principal corridor. Solvang is described as a major tourism destination in California’s Santa Ynez Valley, drawing roughly one million visitors per year.
With its distinctive Danish-themed character and prominent hard-corner storefront presence, the property is well-suited for retail users seeking visibility in a walkable, tourism-driven downtown environment.
Situated at the hard-corner of Alisal Road in Solvang, the site is positioned to capture visitor foot traffic moving through the city’s principal corridor. Solvang is described as a major tourism destination in California’s Santa Ynez Valley, drawing roughly one million visitors per year.
With its distinctive Danish-themed character and prominent hard-corner storefront presence, the property is well-suited for retail users seeking visibility in a walkable, tourism-driven downtown environment.
Key Highlights
- Approximately 7,711 square feet storefront retail
- Hard‑corner location on Alisal Road
- Windmill feature and Rundetarn tower replica
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
$119,829
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
3.99%
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%
$2,396,580
$2.4M
Cap Rate 7%
$1,711,843
$1.7M
Cap Rate 9%
$1,331,433
$1.3M
Market Conditions
NOI Build-Up for 7,711 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
$185.1K $24.00/SF
− Vacancy
−$13.9K −$1.80/SF
EGI
$171.2K $22.20/SF
− OpEx
−$51.4K −$6.66/SF
NOI
$119.8K $15.54/SF
Area
Santa Barbara County, CA
Vacancy
7.50%
Lease Rate
$24.00 /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%
$2,396,580
Cap Rate 7%
$1,711,843
Cap Rate 9%
$1,331,433
Alternative Uses
Best Use
Retail
$1.71M
$1.50M – $2.00M
NOI $119,829 @ 7.0% cap · market cap 3.99%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$2.42M
$2.12M – $2.82M
NOI $169,412 @ 7.0% cap · market cap 5.65%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Unlock full access to Insights
Subscribe to Realmo Intelligence
Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
978
Businesses Nearby
23k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Home Improvements & Furnishings 53%
Hotels & Casinos 39%
Dining 8%
Valley Hardware and Garden Center
Home Improvements & Furnishings
12,078 visits/mo
0.2 miles
Svendsgaard's Danish Lodge Americas Best Value Inn
Hotels & Casinos
8,976 visits/mo
0.3 miles
Domino's Pizza
Dining
1,735 visits/mo
0.2 miles
Demographics for 93463, CA
8,731
Population
3,672
Households
2.4
Avg Household Size
52
Median Age
44%
College-Educated
94%
High-School Grad
33.9 sq mi
ZIP Area
258
Density / Sq Mi
$130,123
Median Household Income
$53,188
Median Earnings
$1,895
Median Rent
$1,044,100
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
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?
Storefront property - Iconic storefront retail landmark anchoring a Danish village theme at a hard-corner on Alisal Road in Solvang.
Where is this storefront property located?
The property is located at 436 Alisal Rd Solvang, CA.
What is the asking price?
The asking price for this property is $3,000,000.
What are key features of this property?
This property features: Approximately 7,711 square feet storefront retail; Hard‑corner location on Alisal Road; Windmill feature and Rundetarn tower replica
