Single-Tenant Day Care
For Sale
Contact for pricing
500 S Gilbert Rd, Gilbert, AZ
Single-tenant adult day care facility in a dense residential area.
Property Size9,358 SF
Lot Size1.10 Acres
Price / SF$300
Days on Market748
Property Features for 500 S Gilbert Rd
General Information
Standard status
Active
Size
9,358 SF
Lot size
1.10 Acres
Property subtype
RETAIL
Listing Agency:
LevRose Commercial Real Estate
(480) 947-0600
Listed By:
Matt Leonard · License #BR544219000
(602) 369-7127
Source:
Moodyscre
Added: Aug 30, 2024
Changed: Jul 6
Last Checked: Sep 15 at 9:06AM
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 LevRose Commercial Real Estate
Investment Insights
Based on property information with market context.
This single-tenant property is currently configured as an adult day care facility. It will be delivered vacant at the close of escrow. The property features a kitchen equipped with a hood and an established outdoor play area. Situated on Gilbert Road, the location offers great visibility and excellent accessibility. The daily traffic volume on Gilbert Road is approximately 24,449 vehicles per day. The property is located approximately 1 mile south of Downtown Gilbert Heritage District. The property has a size of 9,358 square feet.
Key Highlights
- Delivered vacant at COE, allowing immediate use or repurposing
- Gilbert Rd. frontage provides great visibility and high exposure
- Dense residential area offers a strong potential customer base
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
$103,251
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
3.68%
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%
$2,065,020
$2.1M
Cap Rate 7%
$1,475,014
$1.5M
Cap Rate 9%
$1,147,233
$1.1M
Market Conditions
NOI Build-Up for 9,358 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
$159.5K $17.04/SF
− Vacancy
−$12.0K −$1.28/SF
EGI
$147.5K $15.76/SF
− OpEx
−$44.3K −$4.73/SF
NOI
$103.3K $11.03/SF
Area
Gilbert, AZ
Vacancy
7.50%
Lease Rate
$17.04 /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%
$2,065,020
Cap Rate 7%
$1,475,014
Cap Rate 9%
$1,147,233
Alternative Uses
Best Use
Retail
$1.48M
$1.29M – $1.72M
NOI $103,251 @ 7.0% cap · market cap 3.68%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.46M
$2.15M – $2.87M
NOI $171,987 @ 7.0% cap · market cap 6.13%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
625
Businesses Nearby
112k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 39%
Dining 31%
Home Improvements & Furnishings 28%
Electronics 2%
QuikTrip
Shops & Services
33,177 visits/mo
0.2 miles
Lowe's
Home Improvements & Furnishings
31,345 visits/mo
0.3 miles
Panda Express
Dining
7,613 visits/mo
0.3 miles
Shell
Shops & Services
6,620 visits/mo
0.3 miles
Andy's Frozen Custard
Dining
6,438 visits/mo
0.2 miles
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
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Frequently Asked Questions
What type of property is this?
Storefront property - Single-tenant adult day care facility in a dense residential area.
Where is this storefront property located?
The property is located at 500 S Gilbert Rd Gilbert, AZ.
What is the asking price?
The asking price for this property is $2,807,400.
What are key features of this property?
This property features: Delivered vacant at COE, allowing immediate use or repurposing; Gilbert Rd. frontage provides great visibility and high exposure; Dense residential area offers a strong potential customer base
