Freestanding Drive-Thru
For Sale
$1,350,000
5828 W INDIAN SCHOOL Road, Phoenix, AZ 85031
Freestanding restaurant with a dedicated drive-thru, ample parking, and a flexible layout, offered for sale.
Property Size4,038 SF
Price / SF$334.32
Days on Market152
Property Features for 5828 W INDIAN SCHOOL Road
General Information
Standard status
Active
Size
4,038 SF
Property subtype
Commercial/Industrial
Taxes and HOA fees
Annual Taxes
$13,419
Building Details
Year Built
1966
Listing Agency:
Gile Commercial Real Estate
(602) 373-9729
Listed By:
Luis Espinoza · License #SA663217000
(602) 373-9729
Source:
Exitrealty
Added: Mar 29
Changed: Aug 27
Last Checked: Aug 26 at 7:08AM
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 Gile Commercial Real Estate
Investment Insights
Based on property information with market context.
This freestanding restaurant is configured with a dedicated drive-thru and ample parking, supported by a flexible interior layout designed for quick-service style operations. The property is being offered for sale as an end-to-end drive-thru restaurant asset.
Located at 5828 W Indian School Rd in Phoenix, Arizona, the site is positioned for customers approaching by both vehicle and on-site parking, with the drive-thru serving as the primary service orientation.
Located at 5828 W Indian School Rd in Phoenix, Arizona, the site is positioned for customers approaching by both vehicle and on-site parking, with the drive-thru serving as the primary service orientation.
Key Highlights
- Freestanding restaurant at 5828 W Indian School Rd, Phoenix, AZ 85031, positioned on a high‑traffic corridor.
- Dedicated drive‑thru designed for speed and efficiency.
- Ample parking for customers.
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
$60,182
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
4.46%
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%
$1,203,640
$1.2M
Cap Rate 7%
$859,743
$859.7K
Cap Rate 9%
$668,689
$668.7K
Market Conditions
NOI Build-Up for 4,038 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
$87.2K $21.60/SF
− Vacancy
−$7.0K −$1.73/SF
EGI
$80.2K $19.87/SF
− OpEx
−$20.1K −$4.97/SF
NOI
$60.2K $14.90/SF
Area
Phoenix, AZ
Vacancy
8.00%
Lease Rate
$21.60 /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%
$1,203,640
Cap Rate 7%
$859,743
Cap Rate 9%
$668,689
Alternative Uses
Best Use
Specialty Retail
$859.7K
$752.3K – $1.00M
NOI $60,182 @ 7.0% cap · market cap 4.46%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.22M
$1.07M – $1.43M
NOI $85,620 @ 7.0% cap · market cap 6.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
264
Businesses Nearby
Explore this area
Business Placement
Demographics for 85031, AZ
31,162
Population
8,816
Households
3.5
Avg Household Size
29
Median Age
8%
College-Educated
64%
High-School Grad
4.1 sq mi
ZIP Area
7,600
Density / Sq Mi
$59,641
Median Household Income
$36,097
Median Earnings
$1,503
Median Rent
$240,300
Median Home Value
Market
Vacancy Rate% for Retail in Phoenix, AZ
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Drive through restaurant - Freestanding restaurant with a dedicated drive-thru, ample parking, and a flexible layout, offered for sale.
Where is this drive through restaurant located?
The property is located at 5828 W INDIAN SCHOOL Road Phoenix, AZ.
What is the asking price?
The asking price for this property is $1,350,000.
What are key features of this property?
This property features: Freestanding restaurant at 5828 W Indian School Rd, Phoenix, AZ 85031, positioned on a high‑traffic corridor.; Dedicated drive‑thru designed for speed and efficiency.; Ample parking for customers.
