Machine Shop Industrial
For Sale
$1,125,000
5726 S CENTRAL Avenue, Los Angeles, CA 90011
Industrial property currently operated as a machine shop, with flexibility subject to City review.
Property Size3,585 SF
Days on Market125
Property Features for 5726 S CENTRAL Avenue
General Information
Standard status
Active
Size
3,585 SF
Property subtype
Industrial
Building Details
Building Size
3,585 SF
Listing Agency:
CENTURY 21 REALTY MASTERS
(562) 882-6408
Listed By:
SERGIO TAFOLLA · License #00993732
Source:
Archetyperealty
Added: Apr 28
Changed: Aug 28
Last Checked: Aug 29 at 1:45PM
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 CENTURY 21 REALTY MASTERS
Investment Insights
Based on property information with market context.
This industrial property is currently used as a machine shop. The site offers practical manufacturing/industrial space suitable for operations aligned with that use, with potential for other uses that would require confirmation with the City.
The property is positioned in an excellent Los Angeles location. Transit access and walkability are described as good to very walkable, and bike accessibility is also noted as moderate.
Prospective buyers and brokers should review the City’s requirements for permitted uses and operating parameters before finalizing any plans for repurposing or continuing machine shop use.
The property is positioned in an excellent Los Angeles location. Transit access and walkability are described as good to very walkable, and bike accessibility is also noted as moderate.
Prospective buyers and brokers should review the City’s requirements for permitted uses and operating parameters before finalizing any plans for repurposing or continuing machine shop use.
Key Highlights
- Industrial property currently operated as a machine shop
- Flexible use potential, subject to City review
- City location highlighted; please check with the City for potential uses
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
$44,535
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
3.96%
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%
$890,700
$890.7K
Cap Rate 7%
$636,214
$636.2K
Cap Rate 9%
$494,833
$494.8K
Market Conditions
NOI Build-Up for 3,585 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
$68.0K $18.96/SF
− Vacancy
−$4.4K −$1.21/SF
EGI
$63.6K $17.75/SF
− OpEx
−$19.1K −$5.32/SF
NOI
$44.5K $12.42/SF
Area
ZIP 90011
Vacancy
6.40%
Lease Rate
$18.96 /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%
$890,700
Cap Rate 7%
$636,214
Cap Rate 9%
$494,833
Alternative Uses
Best Use
Industrial
$636.2K
$556.7K – $742.3K
NOI $44,535 @ 7.0% cap · market cap 3.96%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$72.63M
$63.55M – $84.73M
NOI $5,084,096 @ 7.0% cap · market cap 451.92%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,459
Businesses Nearby
Explore this area
Business Placement
Demographics for 90011, CA
102,308
Population
25,119
Households
4.1
Avg Household Size
30
Median Age
6%
College-Educated
43%
High-School Grad
4.3 sq mi
ZIP Area
23,793
Density / Sq Mi
$53,781
Median Household Income
$27,889
Median Earnings
$1,497
Median Rent
$575,200
Median Home Value
Market
Vacancy Rate% for Industrial in Los Angeles, CA
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Manufacturing property - Industrial property currently operated as a machine shop, with flexibility subject to City review.
Where is this manufacturing property located?
The property is located at 5726 S CENTRAL Avenue Los Angeles, CA.
What is the asking price?
The asking price for this property is $1,125,000.
What are key features of this property?
This property features: Industrial property currently operated as a machine shop; Flexible use potential, subject to City review; City location highlighted; please check with the City for potential uses
