Flex Space with Fenced
For Sale
Contact for pricing
6620 Monterey Rd, Gilroy, CA 95020
A standalone commercial building with secured outdoor storage and loading access.
Property Size2,700 SF
Price / SF$518.52
Days on Market8
Property Features for 6620 Monterey Rd
General Information
Standard status
Active
Size
2,700 SF
Class
B
Property subtype
Office, Industrial
Zoning
Downtown Specific Plan - Gateway District (DSP-G)
Investment Type
Owner/User
Warehouse & Industrial
Dock-High Doors
1
Drive-In Doors
1
Additional Details
Fenced Yard
Yes
Building Details
Year Built
2006
Buildings
1
Stories
2
Units
1
Building Size
2,700 SF
Listing Agency:
Compass Commercial Real Estate
(408) 335-3009
Listed By:
Tony Odom · License #CA 01817881
Source:
Crexi
Added: Aug 4
Changed: Aug 11
Last Checked: Aug 11 at 12:11PM
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 Compass Commercial Real Estate
Investment Insights
Based on property information with market context.
This standalone flex property includes a two-story, 2,700-square-foot building constructed in 2006. The improvements are accompanied by a paved, fenced, and gated yard suited to outdoor storage or business operations. Interior access includes one grade-level roll-up door and one dock-high roll-up door, providing two loading configurations within the existing setup.
The property is located at 6620 Monterey Rd in Gilroy, California, within the Downtown Specific Plan – Gateway District (DSP-G). It is identified as a City Housing Element opportunity site with capacity for 13 low-income residential units. The site is positioned between the 75-unit Monterey Gateway Apartments and a Roem Builders development comprising 94 residential units.
The property is located at 6620 Monterey Rd in Gilroy, California, within the Downtown Specific Plan – Gateway District (DSP-G). It is identified as a City Housing Element opportunity site with capacity for 13 low-income residential units. The site is positioned between the 75-unit Monterey Gateway Apartments and a Roem Builders development comprising 94 residential units.
Key Highlights
- 2,700 SF standalone flex building on a 0.0‑acre?
- Built in 2006 with a two‑story configuration
- Large paved yard secured by fencing and a gate
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
$45,066
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
3.22%
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%
$901,320
$901.3K
Cap Rate 7%
$643,800
$643.8K
Cap Rate 9%
$500,733
$500.7K
Market Conditions
NOI Build-Up for 2,700 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
$69.7K $25.80/SF
− Vacancy
−$5.3K −$1.96/SF
EGI
$64.4K $23.84/SF
− OpEx
−$19.3K −$7.15/SF
NOI
$45.1K $16.69/SF
Area
Santa Clara County, CA
Vacancy
7.58%
Lease Rate
$25.80 /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%
$901,320
Cap Rate 7%
$643,800
Cap Rate 9%
$500,733
Alternative Uses
Best Use
Industrial
$643.8K
$563.3K – $751.1K
NOI $45,066 @ 7.0% cap · market cap 3.22%
Second Best
Flex RnD
$597.8K
$523.1K – $697.5K
NOI $41,847 @ 7.0% cap · market cap 2.99%
Theoretical Best
Office A
$1.63M
$1.43M – $1.90M
NOI $114,102 @ 7.0% cap · market cap 8.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Dock-high doors
1
Drive-in doors
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
468
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 95020, CA
68,090
Population
20,679
Households
3.3
Avg Household Size
37
Median Age
28%
College-Educated
83%
High-School Grad
151.8 sq mi
ZIP Area
449
Density / Sq Mi
$134,242
Median Household Income
$50,421
Median Earnings
$2,256
Median Rent
$1,005,600
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - A standalone commercial building with secured outdoor storage and loading access.
Where is this flex space located?
The property is located at 6620 Monterey Rd Gilroy, CA.
What is the asking price?
The asking price for this property is $1,400,000.
What are key features of this property?
This property features: 2,700 SF standalone flex building on a 0.0‑acre?; Built in 2006 with a two‑story configuration; Large paved yard secured by fencing and a gate
